The Wutherich & Co. Composite was down 4.5% in December. This compares with the S&P/TSX down 5.4% and the BMO Small Cap Index down 3.8%.
The Wutherich & Co. Portfolio did a partial u-ey in December. Though we didn’t get quite turned around, we did come back from an 11.6% deficit at one point during the month. Still, the portfolio is down about 16% from the end of September. It is very hard to imagine that our companies are worth, collectively, 16% less than three months ago when we don’t believe that they were overpriced to begin with. As we said during the last few months, we would like to bring cash even lower while buying more of our favourite names. At 3%, we are just about there. Being nearly fully invested, we get to watch and wait. The market should eventually get the value of these stocks and drive performance over time.
We don’t normally suggest any kind of timing or push our clients to take a harder look at making contributions, but we will give them a nudge this time. The Wutherich & Co. Portfolio is about as cheap as it has been for probably 7 years, the last time being the Fall of 2011. We think that the odds are very much on our side that we should have good performance over the next five or ten years. JF and I are putting our money where our mouth is! We have both added money to our various accounts this January. How about you?
Once again, we would like to wish our clients and friends all the very best in the New Year.
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