Here is an update on the performance of the Chinese Yuan Carry Trade Basket. The experiment was started with a base of $100,000 on March 20, 2007.
Since Inception:
Increase (decrease) in Account Balance: $7,379.42
Increase (decrease) in Unrealized Gains: $12,751.94
Increase (decrease) in Net Asset Value: $20,131.36
Total Portfolio Value: $120,131.36 +20.13%
Although the Chinese Yuan has been gaining considerable strength over the past three months, declining about 1.31%, my belief is that the currency will tread water for now. The quick decline was due to political pressure placed on China to appreciate the Yuan. I have also been running the Chinese Yuan Carry Trade Basket at double the size of the positions as was presented in the original post. The performance of that fund is just two times the above performance figures. Please check back for further updates at a later time. I would appreciate any suggestions on improving the strategy.
