5.24.2010

Some honesty

I'm not having a good year. My fiscal "Year 1" (October 1, 2008 through September 30, 2009) was pretty good. I had a return of over 21%, easily beating the Dow Jones and S&P. Below is a graph of my YTD returns, "Year 2" (October 1, 2009 through May 24, 2010).
I've been posting my cumulative returns on this blog, so while I'm still beating the Dow Jones since October 2008, I would have been better off since October 2009 if I had put all of my money in an index. In fact, after the 11%+ plummet in the market this month, I'm down for the year.

Obviously, this market correction was an opportunity. After being extremely patient, last Thursday I moved some more money into my brokerage account and doubled my AgFeed position. I bought shares at $3.03, bringing my average cost down a full dollar per share (from $4.98 to $3.98). AgFeed started rallying today on good news out of China, ending the day up 6%+. I think I nailed that one.

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