Performance returns since year 2000.

paulren's picture
Portfolio Update

May 20, 2010.

Here are the annual portfolio percentage returns, since year 2000.  As documented to members through all along.

Many ask what the long term performance record shows on my advocated style of investing here, as advocated at since 1997.

I have gone back and am convinced these below stated annual returns are very close to the actual numbers achieved since the turn of this century.  Model portfolios have here been shown all along to members they support the returns here claimed achieved.  Some of you more seasoned members as well as myself, of course know they are true...and then some.         

Year 2000     37.00%    
Year 2001     29.00%    
Year 2002     24.00%    
Year 2003     96.00%    
Year 2004     -22.00%    
Year 2005     33.00%    
Year 2006     38.00%    
Year 2007     42.00%    
Year 2008     -40.00%    

Year 2009     55.00 %

Now as in the past I post model portfolio' returns on an every six month basis. The cumulative returns for the latest shown model portfolio is 102% for the latest fiscal period April 10 1009 to April 10 2010.

This comes close to a 25% annualized return over the past 10 years, even while 2008 was the worst -evenwhile a most recent year  All models always are on a fully diversified and unleveraged portfolio of 7-12 stocks which combined often along the way, fluctuated considerably less then the SET index.

One million Baht would have grown to 8.12 million Baht over this period.  (Incls. of dividends.)   Or about  700%  during the 10 years, which comes to 23.8% per year. Year 2008 was by far the worse, showing a -40% loss.  Had I advocated exiting Thai stocks by mid year '08, the yearly return would be around 38%.  But I did not and at the time of this writting glad I stayed fully invested as the markets rocketed back since mid 2009 and since May 21 '10.

Consider that during this same time period the SET benchmark index today is barely only 90% higher then at the begining of year 2000!

As comparison, an index-fund on the SET benchmark at current levels would likely show that 1 mill. Baht grew to around 1.9 mill. Baht worth today, plus dividends.  Even adding the estimated dividends for these 10 years would show an index fund to be worth around 1/4 of what it would compared  to above achieved  model returns. "Smaller cap's can and do outperform on average -as I know how to pick them...."       

As always comments most welcome.

Best Regards,

Paul A. Renaud.