Update..

Been awhile since I posted.

Given that the portfolio is heavily weighted to Japan, it has been an incredible slow start to the year due to the events happening in Japan.

From the elections where Abe and his party returned to power, the "optimistic" view that he will bring about strong reforms to stop Japan's deflation has culminated in the portfolio being flat till currently. However the Month-to-month returns endured a torrid time with -15% in the first month, - 4% in the second month before a +15% in the third month.

The appointment of Haruhiko Kuroda also had an effect on Japan. Since last October 2012 till now, the Nikkei has gone up more than 50%. YTD for 2013 is close to 50%..

The portfolio YTD is only at 1.25% at 21st-May-2013.

However the portfolio is fully invested and I hope that profits can be realised in this month or the next.

Fingers crossed.

On the FX front, the model has proven to be still very volatile. More back-testing needs to be done.

Signing off ,
T