Added to Trade Desk at US$160 on Friday 3^rd April, BIPC spin off stock received from Brookfield Infrastructure partners as well as cash and cash dividends received from BP and Bank of America – portfolio page updated.

My fund is now 24,89% lower than from 11^th February. I am curious about the performance of other fund managers when they announce their quarterly net asset unit values from 1^st January to 31 March 2020.

The S&P 500, Footsie 100, Euro 100 and Hang Seng index have all declined 4,5%, 3,4%, 4,5% and 1,1% respectively from 31 March 2020 so I expect US and European fund managers when they announce their performance, will have a performance around 4-5% higher than if such a comparison was made as at 3^rd April.

Moreover from January 1^st to February 11^th, the US S&P 500 index was a further 3% higher (the other indices’ movement was less than 1%) so the performance of US fund managers will be overstated further if the comparison was made from 11^th February 2020.

I am personally pleased when I look at the companies in my portfolio that their finances and businesses are such that they are unlikely to go bankrupt or require recapitalisation which would wipe out their equity valuations.

That would indicate a temporary loss in value than a permanent loss.

The capital structure of the fund will also enable the portfolio to recover over the next 3 years. I certainly do not expect any inflation, more like deflation in 2020 and perhaps inflation over the following two years to net off the contraction this year. As a consequence, to reach my target of a 4% compounded annual cumulative return above inflation by 11 Feb 2023 (which was the objective of the fund), the net asset value target would then be an increase of just 12.4% from February 11^th 2020.

Why I find this to be an acceptable return is because I expect interest rates and A rated government bonds to remain near zero due to the current economic mess created by government policies worldwide in trying to mitigate covid -19.