Newbie's IB Portfolio and New Bond Portfolio - End February 2014

Portfolio 1 - IB Portfolio (Started in February 2014) - Screenshot attached below

End February 2014 (against 31st January 2014), 1 month = +4.57% (annualised 54.82% p.a.)

Comments: The Leighton bond jumped 2% in the OTC market the moment I transferred it into IB. Slight concerns about IB's bond valuation prices, but I guess that will even out in the long run. Unlikely for the extrapolated 55% annualised return to materialise since a large chunk is from Leighton bond's paper gains.

Return measurement is using the formula: (Net Liquidation Value - Initial Capital) / (Initial Capital). Initial Capital is in the form of $150k notional of Leighton bonds transferred in on 20th February 2014 at clean price of 98.7 with accrued interest of approximately 1.5%, hence Initial Capital is deemed as USD150k.

Portfolio 2 - Bond Portfolio (Started in January 2013) - No screenshot being shared

End February 2014 (against 31st December 2012), 14 months
Style 1: +16.39% (annualised +14.05% p.a.)
Style 2: +13.56% (annualised +11.62% p.a.)

End January 2014 (against 31st December 2012), 13 months
Style 1: +11.39% (annualised +10.51% p.a.)
Style 2: +9.38% (annualised +8.66% p.a.)

Comments: Nothing extraordinary to highlight. This bond portfolio is going towards my steady-state projected yield of 12-16% p.a.

Style 1 is calculated by first converting the various currencies of my Initial Capital (which was never converted into any other currency) into USD equivalent based on the CURRENT month-end FX rate and the result compared against the current month-end USD Net Portfolio Value.

Style 2 is calculated by first converting the various currencies of my Initial Capital into USD equivalent based on the PORTFOLIO INCEPTION FX rate and the result compared against the current month-end USD Net Portfolio Value.

The above figures have incorporated a manual adjustment for SGD500k of loans that were switched into USD loans to take advantage of lower USD loan rates. I had simultaneously switched USD loans into SGD loans in my main portfolio. Although this has no FX impact looking at the overall picture across my portfolios, this results in an artificial loss of SGD5k in my new portfolio for every 0.01 movement in the USD/SGD rate above USD1.239.