Sauvie Island Barn
Bohr is one of the two Growth-Income portfolios where growth comes from VTI, VEA, and VWO whereas the income comes from 10 to 15 CEFs. Currently, the Bohr is investing in 15 CEFs providing a yield of 4.9%. I want to elevate this yield as this portfolio needs to provide more income for the owner.
Bohr Investment Quiver
Below is the investment quiver and the current holdings for the Bohr. Holding over $40,000 in cash is exceedingly high and this needs to be investing, most likely in CEFs that are generating yields in excess of 8.0% when the Net Asset Value (NAV) is negative. A negative NAV is when the CEF is priced lower than the underlying value of the stocks.
Bohr Performance Data
Over the past 13.5 months the IRR for the Bohr is -8.3% while the AOA benchmark turned in a – 10.4%. AOA is the top performing benchmark of the six I am currently tracking using the commercial program, Investment Account Manager.
Bohr Risk Ratios
January and February show negative Jensen Alpha values and that is a concern. Those numbers need to be positive. Counter to the Jensen is the Information Ratio which is showing improvement since last October. The Information value shows whether or not the portfolio is outperforming its benchmark (AOA).
If I invest the available cash and increase the income, I should be able to move the Jensen “needle” into positive territory.
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