Performance

TRACKING PORTFOLIO

Tracking Portfolio is intended to simulate the aggregate performance of special situation ideas posted on SSI since 2017. Each idea receives 5% allocation based on tracking portfolio value at the time. Tracking positions are opened/closed at prices indicated in the write-ups. Quick Ideas are excluded from the tracking portfolio. A full list of ideas published on SSI can be found here.

Disclaimer: These are not actual trading results. Tracking Portfolio is only an information tool to indicate the aggregate performance of special situation investments published on this website. See full disclaimer here.

 

2022 PERFORMANCE REVIEW

2022 was a challenging and painful year for most investors. But at the same time, the increased risk aversion and high volatility presented plenty of event-driven opportunities to dig into. During the year we have:

  • Published 30 Portfolio ideas and
  • Highlighted a further 152 Quick Pitches in SSI Weekly reports.

All things considered, the performance of ideas published on SSI was rather solid, with SSI Tracking Portfolio generating +13.6% during 2022. While this is far below the 50%+ returns posted in 2020 and 2021, such a result is still way ahead of the market returns (S&P 500 fell 18% and most merger arb ETFs generated single-digit losses). It seems that our strategy of picking out attractive special situation opportunities continues to work well even in bearish markets. Here is a table with monthly returns over the last six years. A full breakdown of 2022 returns by individual positions is shown at the bottom of this post.

See here for a detailed review of 2022.

The chart below illustrates a detailed breakdown of returns on individual SSI ideas that were active during 2022 and that were part of SSI Tracking Portfolio. While a large part of these event-driven trades generated returns in the range of 10%-40%, keep in mind that the average holding period was just a few months or less, which translates into impressive IRRs. That’s the nature of special situation investing.

ANNUAL PERFORMANCE REVIEWS

MONTHLY PERFORMANCE REPORTS