Saturday, June 4, 2016

Portfolio Update - May 2016

      The month of May 2016 is now behind us.  During the month, Canada had some major wildfires in the Fort McMurray area.  This is wear the Alberta oilsands are located.  The town had mass evacuation and businesses along with houses were burnt to the ground.  This might of sent the price of a barrel of WTI crude oil up towards $50.00 a barrel.   The price of oil has fallen slightly due to an OPEC meeting and the oilsands plants getting back on stream. 

     On May 2, I purchased 100 shares of Potash Corporation as an investment, which you can ad about here.   To get some more cashflow from this investment, I then sold a covered call on May 17 with a Jun 17th expiration date. .  I collected a premium of $45.05 after commissions.  If the price of the stock stays below $22.00, I get to keep the stock and the premium. If the price of the stock goes sideways I get to keep the premium.  If the price of the stock goes above $22 at or before expiration, the shares can be called away resulting in a bigger capital gain.

    On May 20,  my covered call option in TD Bank was assigned as the price of the stock  was greater than the strike price at expiration.  I do plan on buying this stock again in the future. 

On May 24, I purchased 27 units of HNY.TO.  This is the Horizon Natural Gas Yield ETF.  The summary of the ETF, as per Yahoo Finance, is described below. 
      The investment seeks to achieve its investment objectives by gaining exposure to a portfolio of securities and other instruments that provide exposure to the price of natural gas futures contracts, or exchange traded funds that are directly or indirectly only exposed to natural gas and/or natural gas options, forwards and futures contracts on natural gas by entering into a forward purchase and sale agreement with the Bank Counter party pursuant to which it will gain exposure to the Natural Gas Portfolio. The Natural Gas Portfolio is comprised primarily of exchange-traded funds, which may or may not be managed by the Manager or its affiliates, that are directly, or indirectly, and only, exposed to natural gas or natural gas futures,and will include natural gas futures, financial swaps and total return swaps - Yahoo Finance

   As of 4 Jun 2016, the value of the portfolio is $88467.91. This is a 2.73% increase over last month's total.  The spreadsheet in the investment tab above has been updated.

Disclosure: Long  all mentioned securities.


I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should be NOT taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk

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