In June, there was very little trading activity in the Aspect Large Cap Investment portfolio. The only significant development was my decision to add to my position in Newmont Mining (NEM).
I want to reiterate that I am not a gold or silver bug, but I do believe that precious metals seem to be underpriced versus many other asset classes, especially considering the generally high levels of anxiety in the stock market. In my opinion, many investors don’t trust the sustainability of the current bull market.
The stocks that I do own in the portfolio seem to be doing well generally, though the performance of Ambac Financial (AMBC) has been weak in line with other financials lately.
I continue to expect good performance from other holdings such as Ford (F), Intel (INTC), Teva Pharmaceuticals (TEVA) and Rick’s Cabaret (RICK).
That said, my cash position is still higher than normal because I am finding it very hard to put money to work. In my opinion, the U.S. economy is improving slightly, and it is being led by the stock market, which in turn is being stimulated by the Fed.
Don’t be surprised if we see a nasty pullback before the end of the year. However, in my opinion, this bull market will not end until the Nasdaq Composite Index (COMP) touches a new high.
DISCLAIMER: The investments discussed are held in client accounts as of May 31, 2013. These investments may or may not be currently held in client accounts. The reader should not assume that any investments identified were or will be profitable or that any investment recommendations or investment decisions we make in the future will be profitable. Past performance is no guarantee of future results.
