Everyday Finance Portfolio Update

For the prior 5 trading days, the Everyday Finance portfolio managed to lose less than the major indices, in spite of the high Beta holdings. Both the median and the average performed better than the S&P500 for several weeks straight now. Changes from the last report include:

• The sale of General Cable (BGC), as I lost confidence in any near term upside. Even though I sold it, I included it in the results below (which adversely impacted performance) to be fair since I sold it late in the week.


• The purchase of Akeena Solar (AKNA) on news of a massive contract, which bodes well for future business, in spite of the huge runup this week in excess of 80%. I excluded the massive runup from the results below since I purchased this and the next entry during Friday's chaos.


• The purchase of the Powershares Clean Energy ETF (PBW). I went heavy on solar this week given the Akeena purchase as well. Admittedly, I'm somewhat late to the party on solar. However, it's an election year and I know what's coming. Just like the ethanol craze that ensued a few years back when it was cited as the cure for our nation's insatiable energy demands (even though ethanol is one of the biggest hoaxes ever pulled on the American public), Solar will be the next political promise. However, Solar is actually a more viable, sustainable source that doesn't increase the cost of everything else we consume from tortillas to milk, like ethanol impacted. As the rhetoric increases, I anticipate you'll start to see the clean energy index in general, and especially solar shares start to move in the coming year.


• Finally, not reflected here, I sold 4 (QQQQ) puts on Friday at the Jan 49 strike to capture some downside gains. I am still holding 2 anticipating some more possible downside action. In the event the market reverses itself, that would certainly be fine by me, given the net long position of the portfolio and my other holdings in IRA, 401k, etc. It does allow me to sleep at night though, knowing that I'm covered on the way down on a week where the market tanks 5% or more.


• I also hold a position in the Kinetics Paradigm Fund, which is simply incredible as posted here: