[LTC-GLOBAL] LTC-ATF

[Deprived]

Exchange-rate : .00419 (currently very volatile)
Adjusted NAV/U : 23.607
Bid at : 23

Higher bid placed at 24 to buy-back at over NAV/U from anyone disagreeing with the motion to run pass-throughs.  This is pretty irrelevant as there's significant higher bids already up.

Trading profit for the week has now passed 10% - in fact it'd be even higher but I've already written down 20% (100 LTC) of the ticker costs for the pass-throughs (as with previous ticker I'll be aggressively marking it down quickly).  A fair chunk of that is due to currency movement - but actualy profits from trading ignoring currency impact are around 7% (8% if you counted in the marked-down ticker fees).  We also have some decent unrealised profits in a few assets (valued on book at below what I could sell at) so looking like another good week for us.

Both pass-throughs got moderator approval overnight - and the first units of S-DICE are up for sale.  S.DICE price has been rising over the last few days and is likely to shoot up into a bubble before long in my opinion (there's very little asks left before a 10% -15% rise).  If anyone wants to gamble on that, now would be the time - though you'd be taking a risk on whether I'll be around to process sells back if you try to sell out at peak.

S.BBET won't be put up for sale just yet - as previously (and elsewhere) discussed.

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Well both pass-throughs are now live and there's been a decent amount of trade, especially on S.DICE.

Exchange-rate : 0.004 (it seems to be dropping through this having climbed back a little overnight).
Adjusted NAV/U : 24.8175
Bid at : 24.2
Higher bid (for those unhappy with the motion passed) : 25.4

The pass-throughs are making a slow but steady profit for us - and we realised some decent profit from S.Dice I bought before the motion was passed (when it became obvious price was going to break through to well over 5.0).  I also traded some profit for us on S.Dice.

We ran out of cash on CoinBR last night to keep selling more pass-through shares (deposits are manually approved - there were 3 there for operator when he logged in this morning).  I've increased the cash we use to operate the pass-throughs (pulled a bit from BitFUnder - where it was no longer needed as I've totally stopped trading S.Dice passthrough there and on BTC.Co).  If necessarily I'll sell some more bonds to increase capital available further - but will wait to see whether trade volume dies down before doing that (the cost of bonds is small to us - but ANY cost is less profit for us if we can get by without it).

I'm expecting this to be a record week for us in terms of profit (though maybe not in terms of actual trading profit - a decent chunk of current profit comes from the exchange-rate change though we're over 10% in actual trading profit already).

I'll be posting pass-through news in this thread (to avoid bumping multiple threads).

S.Dice saw a small drop overnight.  Up until just now there was one sell order significantly below the rest - so some LTC Global investors got some pretty cheap shares.  As I type I have the last of that batch up for sale - after which price will rise again to match the new lowest Ask (unless another cheap order shows up).  As LTC seems to just have started dropping again, price may rise as well due to that.

S.BBet still has around same trading ranges as yesterday.  Bids at .001,  Asks at .0013 then a big hole in asks up to .002.  Yesterday I obtained some at just over .001 and sold 1k of those at just over that (I bought 20 then someone else scooped the other 980 I sold).  Prices at moment reflect the lowest ask of ~.0013 but we DO have a bid up just over .001 and will sell some at that lower price if it gets filled.

Before buying shares in either pass-through I'd advise anyone to take a look at the markt for them on MPEx and at the exchange-rate and work out roughly what price you should be paying.  Because I'm trying to match the market as best I can, I can't leave large blocks sitting up unattended (too much risk to the fund) so at times the lowest asks on LTC Global will be from resellers - and they may not always be especially good deals.

[usagi]

I have a question. Where is the 0.6% per week interest coming from on your bond? I'm not saying your not making money, I'm just asking if it's profitable to run the bond. I'm considering investing in it since I.... (can't believe I'm saying this) like what your doing with ATF.

[Deprived]

I have a question. Where is the 0.6% per week interest coming from on your bond? I'm not saying your not making money, I'm just asking if it's profitable to run the bond. I'm considering investing in it since I.... (can't believe I'm saying this) like what your doing with ATF.

The 0.6% profit comes from LTC-ATF's trading.  To take a snap-shot right now (we're up a bit since last report):

The total assets LTC-ATF manages (ignoring shares SOLD in pass-throughs as those aren't tradable) are:

47.07 BTC worth of BTC cash and BTC denominated securities
plus 9.6k LTC worth of LTC cash and LTC denominated securities

Bonds sold have a face value of 35 BTC

All of those funds are used for trading and (now) to run the pass-throughs.

Now if we didn't have the bonds issued we'd only have 12.07 BTC in BTC cash or BTC-denominated capital - which means we couldn't do anything like the amount of trading the fund actually does.  That leads to two questions:

1.  Is the extra trading profitable by enough to pay for the bonds?
2.  Would the fund be better off selling more units in itself (where there's no commitment to pay dividends) rather than selling bonds?

The answer to both of these questions is a resounding yes in my view.

The cost to support the bonds is 0.6% of face value per week - so with 35 BTC worth of them out there that's a whopping 0.216 BTC per week we need to make in extra profit to pay for them.  That's buying 2 shares at 1.0 and selling them at 1.1.  Every week since starting the bonds they've generated far more profit than that.

Here's some of the very early trades I did on S-Dice - prior to that I'd made another deposit and bouhgt some as a float for the pass-through.

01/16/2013 22:17PM    863    Sell    S.DICE    500    0.005807    2.9035    -0.0145175    8.51370531
01/16/2013 22:13PM    861    Buy    S.DICE    500    0.00539589    -2.697945    -0.01348973    5.62472281
01/16/2013 22:08PM    860    Sell    S.DICE    500    0.00569016    2.84508    -0.0142254    8.33615754
01/16/2013 21:59PM    857    Buy    S.DICE    500    0.00525471    -2.627355    -0.01313678    5.50530294
01/16/2013 21:27PM    541    Fund    BTC    1    6    6    0    8.14579472

You can see that after 2 buys and 2 sells all of 500 shares we'd made .35 profit - that's more than this week's bond payment already covered.  And we wouldn't be on that platform at all were it not for the bonds.

We also have made far more than that on BTC.CO this week - so if you took ALL BTC profits and allocated a percentage of it to bonds you'd still easily see the bonds covered.

But that's just the tip of it.

Consider the 2 pass-throughs - which again couldn't be run without the bonds capital providing the liquidity to keep orders refreshed.  The fund makes around 1-1.5% profit on each sale (more if we manage to buy below lowest ask).  On what we've sold so far in the few days the pass-throughs has been running that's made 0.4 BTC + whatever we've made by buying on bids rather than asks.  And that last bit is where the real profit potentially comes from.  Consider the very first S.DICE I bought (these are the very first transactions on my CoinBR account - immediately before the ones above.  Note that the tat end is available balance - which was altered by other orders that hadn't filled yet so doesnt mean much here).

01/16/2013 20:29PM    855    Buy    S.DICE    500    0.00503208    -2.51604    -0.0125802    0.64553972
01/15/2013 12:07PM    803    Buy    S.DICE    500    0.00462803    -2.314015    -0.01157008    1.67441492
01/15/2013 01:52AM    541    Fund    BTC    1    7    7    0    7

Those blocks were bought at .0046 and .005 but sold at the lowest ask of around .006 - another 0.5 BTC profit.

So just from looking at the first few trades on CoinBR and adding worst-case profits from the pass-through we see a bit over 1.2 BTC profit - over 5 weeks of dividend for ALL the bonds when under half the capital from them is used for that area.  And that's ignoring that once shares in a pass-through are sold the funds gets 1% of their dividends as well.  There's been more profit on there since - and a fair bit on BTC.CO as well this week (none whatsoever on Bitfunder or Crypto - but they've both had weeks when they made enough for 3 months of bond dividends for ALL bonds)

The bonds were issued for two reasons:

1.  To reduce the fund's own exposure to BTC - giving more control to investors to choose and manage their own exposure to different currencies.
2.  To retain as much profit as possible for holders of actual units in the fund.

Point 2 works precisely because  the average profit we make per week on capital is far over 0.6% (ignoring currency movements its actually over 8% on average).  That has built in assumptions that profit is similar on BTC to LTC and that the extra capital can be put to use with similar profitability to old capital (or, more importantly, with a profitability significantly greater than the liability the dividends represents).  So far I'm confident those assumptions are valid (some weeks our BTC stuff does better than our LTC stuff - other weeks its the other way round, but it balances out).

But do bear in mind the fund is still tiny - the rates of profit being achieved wouldn't be deliverable if it was an order of magnitude larger (unless the BTC/LTC securities market also increased by an order of magnitude).  And there IS a not insignificant risk with the bonds - as the fund itself absorbs all trading losses, leveraging bond capital does leave open the possibility of larger losses if something gos badly wrong.  I try to mitigate that by diversification and by selling out positions at the first sniff of trouble (unless I'd already priced it in) even if that means taking a small loss.

If you want to invest you're welcome - however the hard part would be getting units of the fund in the first place.  The only units on sale are a few of my own at prices of around double current NAV/U - and I can't see any reason why the fund itself would sell new units when we can sell bonds that only pay out 0.6% of profit.  Which isn't to say bond-holders get a bad deal either - with LTC falling vs BTC this week the face value (at which they can redeem at ANY time for a small admin fee) has shot up as did their dividend (expressed in LTC) though obviously it was still only 0.6% of the new higher value.

But if you put up bids at a good markup you may find a seller (it won't be me).

[Deprived]

I should clarify a point in the above post.

When I refer to a trading profit of 8% per week that's measured as a percentage of the fund's own capital.  The capital actually used is the fund's profit + bond-raised capital, so the percentage return on capital USED is actually lower (though for most historical results there were no bonds - so historically it's actually pretty accurate).

A limit is set on number of bonds that can be issued (face-value of 150% of fund's own capital) and on interest rate payable (1/3 average trading profit %) such that the rate paid isn't allowed to exceed the returns generated on actual capital used anyway (if it falls near there then I have to start buying back bonds - if it falls below it I have to force-recall all bonds at a markup to face value).

[Deprived]

WEEKLY REPORT




There's a few additions to the spreadsheet this week:

CoinBR added as a location we hold BTC at.

A section for pass-through assets has been added.  This lists the shares we operate pass-throughs to and for each lists:
The number we hold on CoinBR.
The number we've sold in our pass-through (this MUST never be higher than the number we hold on CoinBR).
Their price (in BTC) - this will be roughly the mid-point between highest Bid and Lowest Ask on MPEx.
Their value - this is the value of (Number we hold - Number we've sold) so represents the value of them that the fund holds on its own behalf (which counts towards our Gross and Net Asset Values).

Ticker cost has also reappeared as a Miscellaneous item.  We paid 500 LTC for the two tickers which will be depreciated to 0 over a period not exceeding 20 weeks.  As we had a rather good week I've already knocked 30% (150 LTC) off of this.

This was a very good week for the fund - made to look even better in the results because of LTC diving vs BTC.  Before management fee (but after ticker depreciation and bond dividends were paid) our NAV/U grew by 22.61%.   If we apply calculation to remove the effect of the currency change from that we end up with a figure of 14.14% growth in NAV/U due to trading.  Not quite a record for us - but still very respectable.

The pass-throughs (especially S.DICE) have started off nicely.  Now the initial flurry of purchases is out of the way trade on them will probably die down a bit until something happens causing major interest in either.  S.DICE price has dropped back a bit since we launched the pass-through - but there's still few sell orders up to .007 so no great resistance to it rising back over the price when we launched.  S.BBET has had little trading on MPEx and the price is currently pretty stable - with Bids at just over .001 and lowest ask at .0013.  I'd expect major activity on that when the first results for it come in - it could shoot right up or drop right down.  The results for first month won't actually be that meaningful (it'll be a partial month and the business model means profits SHOULD be way lower than usual in it anyway) but I'd still expect an over-reaction in one way or the other when they are published and dividend distributed.

Trading has been pretty slow on most platforms - though we made a respectable profit on BTC.CO on fairly low volume.  Both BTC.CO and Bitfunder have their fair share of dead/dieing ex-GLBSE assets that are using them as a retirement home in which to quietly die.  Those assets get very little trade - current investors want to sell for a price that won't cause them much loss, noone else wants to buy in above real current value which is a LOT lower.  Crypto-Stocks remains pretty much dead - but will leave the few BTC we have on there as there are a couple of decentish trading opportunities that show up from time to time.

With the velocity slowing down on pass-through sales we'll need no extra cash for that - so at present I see no need to issue extra bonds.  The fund is bidding on some assets being sold during the closedown of the various assets run by usagi.  If we win a lot of our bids then this may need to be revisited (most of them are things that I believe we can sell at good profit over a longer period than usual).  I'll give an explanation of why I bought any assets that we won - as the record of my pruchase would be public (and it's a one-off) there's no harm to the fund in my explaining why I was willing to pay what I paid.

Bid at : 25.2
Higher bid (because of contract change) : 26.5

[Deprived]

I forgot to say that management fee for the week was 9 units (rounded down from 9.21) which have now been transferred.

Since posting the report (or maybe whilst I was typing it) S.DICE has gone up a bit in price - and our price on the pass-through raised in line with this.  We also just picked up some S.BBET on the bid side - which are being sold in the pass-through at a price equivalent to .0011 (highest bid on MPEx is still just over .001 and lowest ask .0013).  Price of the BBET will return back up to equivalent to .0013 once we've sold the cheap ones either in the pass-through or on MPEx.

[Deprived]

Exchange-rate : .00339
Adjusted NAV/U : 27.062

Bid at : 26.4
Higher bid (for those unhappy with addition of pass-throughs) : 27.5

NAV/U (unadjusted) is up 5.17% so far this week but a fair chunk of this is from LTC falling further vs BTC.  We are, however, up just over 3% from actual trading (split about 50/50 between BTC and LTC).  We've also had a fair few shares sell into us - and cash on hand has dropped from just under 90% (when report was produced) to 64%.  Hopefully we'll see some nice profits when those assets sell - remember we never make a profit by buying only by selling (in fact we make a small loss on the books when we buy on all platforms except BitFunder due to transaction fees).

S.BBET is still static at the same price ranges - though has risen on LTC-GLOBAL to reflect the exchange-rate change.  I picked up some more on the buy side yesterday (also sold some on the sell side - which made a profit for the fund) so at present there's still some up at a cheaper rate.

S.DICE seems to be slowly continuing the rise back which started yesterday.  Asks are at ~ .0054 at present but there's very little there then a jump to .0058.  Will keep listings up at the lower price all the time I can replace at that rate - but will have to take listings at that price down later this evening when I go out.  Those wanting to buy in will likely still be able to buy from earlier purchasers who are now reselling at a profit (though S.DICE is still down on MPEx from when we started, the exchange-rate change means it's actually risen in value in LTC).

[Deprived]

Exchange-rate : .00319
Adjusted NAV/U : 27.8738

Bid at : 28.5

Have only put up the higher bid for now (the one on offer until end of tomorrow in case anyone wants out because of the pass-through motion).  The lower bid got auto-cancelled earlier - a few sells into us took cash too low to cover both bids.  I should have seen that coming really - as 2 bids totalling 150 units (30% of ALL units) was nearly 4k LTC - which is pretty much what I keep on hand on LTC-GLOBAL.  I'd not taken into account that the rapidly rising NAV/U means more funds needed to cover the bid-wall.

No harm done - the 50 unit higher bid remained untouched.  For now I'll just keep the higher bid up but at 100 units.  Do remember that the fund's commitment is only to have a bid up for 5% of units anyway (25) but I like to keep a larger bid-wall up both to provde faster exit if someone wants out and as a means of showing that we DO have significant LTC on hand on LTC Global.

NAV/U continues to rise as a result of LTC falling - though we're up just over 4.5% from trading so far this week, so a decent part of the rise is 'real' profits.

Not much happening price-wise on either pass-through other than them both rising in LTC price due to the exchange-rate changes.  The BTC rise still continues - so a further drop in LTC (and rise in price of the pass-throughs) seems pretty inevitable.  Of course if this turns out to be a BTC bubble then when it bursts LTC is going to rise back up and the price of pass-throughs fall.  Investors will have to mkae their own call on whether the BTC rise is long-term or short-term - I don't have a strong view either way on it.

[Deprived]

Exchange-Rate : .0036
Adjusted NAV/U : 28.1709

LTC has been moving around a lot today.  It fell as low as .0031 then rapidly soared to over .004.  It then fell back down to .0035 very quickly before, for now, settling at the current price around .0036.

Despite LTC gaining over 10% on BTC since last update our NAV/U has grown slightly - we've made enouhg trading profit to more than compensate for LTC regaining ground (though when LTC was over .004 we were below yesterday's NAV/U briefly).  At present we're up a bit over 9% from trading so far this week.

S.BBET seems to be trading in the same range - but obviously price on the pass-through has fallen as LTC strengthened.

S.DICE has had a fair bit of activity today.  Earlier the lowest Ask was at .0052 - but then there was significant buying of it on MPEx and now the lowest Ask is .0062.  So, despite LTC rising, the price of this on the pass-through hasn't dropped.  It DID drop earlier - as LTC rose before S.DICE rose: so for a while cheap ones were being sold on LTC Global (think last buyer may have noticed the rise before I did and so got 300 of them cheap).

Looking like another decent week for us - though if LTC rises that may only end up reflected in trading profits rather than large growth.  WHETHER LTC will rise remains to be seen.

Bid up at 29 - though someone else (or more than 1 person) has higher bids up - so likely this is irrelevant.

[Deprived]

Exchange-rate : .00336
Adjusted NAV/U : 30.194
Bid at : 29.5

The week of offering to buy back above NAV/U (because of contract change) has ended.  Noone sold any units back.

We had a very profitable trade last night which has boosted NAV/U very nicely.  We look set for a record week for us (trading profits are over 16% already - and can only drop if I make unprofitable trades, exchange-rate movement can't touch them).  We're still below last week's record of 22.6% on profits including exchange-rate movement - but with a few days to go we can hopefully pass that one too (we're at over 18% profit before exchange-rate effects are ignored).

S.BBET seems to be settling into its current range (bids at .009x, asks at .0011x).
S.DICE is back up to asks being at .0062 and lowest bid not too far below that (so no scope for getting cheap ones on the buy side).  This, with the low LTC/BTC exchange-rate means my Asks on LTC-Global are now over 1.9 - at present there's a few resellers/early purchasers with asks below the fund's own (the fund won't sell below the cost to us to replace - as that would make us a loss).

[superbit]

I really like what you are doing here!  Is there a pass through so this security can be held in BTC?

[Deprived]

I really like what you are doing here!  Is there a pass through so this security can be held in BTC?

Nope - as I'm not planning on selling more units there's no incentive for me to run a pass-through.  And there's basically never any units up for sale on market anyway (only ones up now are 10 of my own at very high prices) - so no way for anyone else to buy units to run a private pass-through.

If we need more capital it's likely to be to expand BTC operations - in which case we'd just sell more bonds rather than extra units.  Bonds cost less to service (0.6% per week rather than a fair share of profits) and can be denominated in BTC, keeping our BTC-exposure down.

EDIT: Just to clarify, the only circumstance in which the fund would currently be likely to issue new units would be if the ratio of Bond capital to Fund Net assets got too near to the 150% limit (at which stage we have to either issue new units or buy back bonds).  For that to occur would need some mix of the following three things to occur:

1.  Our need for BTC-denominated capital significantly grows.
2.  LTC weakens significantly further vs BTC (for this to cause a need to issue new units on its own the exchange-rate would need to fall to around .0015).
3.  We incur significant trading losses (for this to cause a need to issue new units on its own we'd need to lose around 40% of NAV).

[Deprived]

Exchange-rate : .0038
Adjusted NAV/U : 29.80277
Bid at : 29.5

With LTC regaining some ground against BTC NAV/U has fallen slightly since I last reported.  Trading profits have grown a tiny amount from ~16% to 18% for the week - pretty much guaranteeing our best percentage rise in NAV/U (after adjustment to remove exchange-rate effects) to date (would take either some heavy trading losses or a big drop in S.DICE/S.BBET to prevent us breaking our old record).

S.DICE price on MPEx has shot up, with lowest Ask now at .00745 (a few very small quantity ones down to .00733).  Highest Bid is at .00725 but although there's quite a few bids all the ones at highish prices are low volume.  My guess is that price will move around a bit in the .006 - .0075 range for a while before settling near the top of that range: there's just not many investments that can support large investments and give a fiat-proof return.  The price of this on LTC-Global hasn't risen to the same extent as on MPEx due to LTC regaining ground.

S.BBET is still trading in same range - but the Ask wall at .00114 has almost been eroded.  If that gos then there's only a few token Asks below .002.  On the bid side, highest bid is at .001 still with quite a few bids just below it but no decent sized ones until .0085.  So price could still move significantly in either direction on this one.  I have some reservations about the business model of S.BBET (specifically, that it's not really offering what the gambling market wants - which is fixed odds - so may struggle to attract any significant volume other than on BTC-related bets which can't be placed anywhere at fixed odds).  It'll be interesting to see what the site does to address this - it remains a risky investment but with a significant upside if they get it right.

Paying this week's bond dividend shortly - will do proper report for the fund itself tomorrow as usual.

[Deprived]

Just to note further to the above that the Asks at .00114 has gone on S.BBET -as did an ask at .014 (which was the fund's own one trading some profit on a resell).  Right now the fund's Ask on LTC-Global is at .4821 (and will go higher if the small MPEx ask at .00175 - also mine - gets bought out).  All asks below that are investors who bought previously and relisted higher.  I'll clear the Asks on LTC-GLobal out if bids move up on MPEx to the point where I can do so.  Obviously my Ask will come down if new Asks show up lower on MPEx.

[Deprived]

WEEKLY REPORT




Thanks to some good trades yesterday evening/today we ended up absolutely smashing our previous post-exchange-rate adjustment record (24.07% growth compared to previous record of 15.53%).  We also just beat last week's record for growth before adjusting for exchange-rate - which is great as last week's record included a fair amount of profit gained from exchange-rate movement whilst this week the exchange-rate moved slightly in the opposite direction.  First post has had an updated table uploaded including this week's results.

Last week we did no trading at all on Bitfunder - this week it was our biggest profit source (LTC Global, BTC.CO and CoinBR/the pass-throughs all made good contributions as well).  Again no trades on Crypto::stocks - will likely pull out of there completely before long as it's pretty much a wasteland unless trading DevCoins which I have no intention of doing.

Our sharp growth this week means I see no likelihood of having to sell more bonds in the next week (no new ones were sold this week).  At present we're sitting on a pile of LTC and STILL have a higher percentage of assets in BTC than I'd like.  If we get a few more bumper weeks I may revisit the idea of a one-off dividend payment to reduce idle cash - but I DO have another idea in mind which would give some use to otherwise idle LTC.

I've deleted the OBSI.HRPT from the spreadsheet.  It was marked down to 0 value as soon as GLBSE died and as there's no realistic likelihhod of ever receiving anything for them there's no point leaving it in the spreadsheet.

I've written off the rest of the cost of the tickers - so trading profits this week were actually even higher than the spreadsheet shows.

Both pass-throughs have seen steady if not massive sales - chipping in their part to our profits.

S.DICE - price on this has risen up to the big wall at ~.0075.  As highest bid is just below this there's no room to buy up cheap shares - price of the pass-through on LTC-Global reflects this reality.

S.BBET - The wall at .0014 went earlier this week.  It got replaced but went again (not sure if sold out or taken down the second time).  Prices on LTC-Global are also sky-high now reflecting no availabilty below .002.

If you bought previously in either pass-through and want to try to cash out profits feel free to put up Asks - if I can sell shares in the underlying asset then I'll happily fill Asks (unless someone else buys them before me of course).  With S.DICE I can likely sell into Bids, with S.BBET there's a huge  empty gap so I'd have to actually place an Ask myself and wait for it to fill before filling your ask.

Management fee this week is 9 units (rounded down from 9.55) and will be transferred shortly after this is posted.

Bid up at 30.6

[Deprived]

In a change of policy since my previous post I just released 1500 more LTC.B1 bonds.  Reason is simple.

Since posting the weekly results we've had over 15 BTC-worth of orders filled (BTC denominated) on various assets.  I had to shuffle funds around (and convert LTC to BTC) just to keep our other orders up.  Some of those purchased shares have already been sold for small profits - but it did highlight that in fact we're under-capitalised in BTC when someone panic sells into 1 or 2 of our orders.

Part of this is because a few weeks back I realised I was being WAY to cautious on bids - only bidding 1 or 2% of NAV on solid assets at cheap prices.  That was silly as it led to us not properly taking advantage of panic/desperation sells (which is where the real profit is - NOT trading across 5% spreads).  To an extent our last few good weeks have come from my change in bidding policy - as we've picked up 5% of NAV-worth of shares at cheap prices rather than the 1-2% we would have done previously.

Whilst we COULD have topped up our BTC by converting LTC that would expose us heavily to BTC (just the few exchanges I did earlier to prevent orders getting cancelled took us well over 30%).  For the last week or two, whilst LTC was falling, I wasn't too concerned about slightly higher BTC exposure - but now LTC is recovering I really dont want us to lose a bunch of NAV if it rises sharply vs BTC.

This sale of bonds gets our capital to safer levels to maintain orders - whilst also allowing me to get our BTC exposure down a bit.  And with trade picking up a bit on both BTC.CO and Bitfunder (Bitfunder especially has grown in trade in the last week - even if a decent chunk of it is an obvious ponzi) it keeps us positioned to take advantage of new opportunities as they present themselves.

Most of the 1500 bonds sold straight into bids - but as I type there's still a few up.

Bottom-line is that the maintenance cost of bonds is pretty trivial compared to the lost opportunity cost if we miss collecting a panic sell that we can resell for a 100% profit (some of our recent trades have actually been at over a 100% profit).

[Deprived]

Exchange-rate : .00353
Adjusted NAV/U : 32.091
Bid at : 31.4

Obviously having sold more bonds and reduced our BTC exposure (down to around 17% from the ~30% when I produced report) LTC then drops.  Spreadsheet shows us up ~3% with ~1.5% of that from trading - in fact trading profits were over 2% before the drop in price but the spreadsheet has no way to know that the reduction in BTC exposure happened before the drop.

I managed to sell some S.BBET back before lowest Ask on it dropped and bought back some of the lowest priced ones on LTC-Global.  Won't be able to buy back more as, at present, the lowest Ask on MPEx is just too low for me to undercut and buy-back (and our selling price would be just over the cheapest ones currently listed on LTC-Global).  Will put up asks and/or rebuy soon as prices on either site change to make it feasible.

S.DICE seems to be holding steady at just under .0075 - so no change on prices there other than a small rise due to LTC weakening.

[Deprived]

Exchange-rate : .0035
Adjusted NAV/U : 32.997
Bid at : 32.3

It's been a slow but steady first half of the week.  NAV/U (before management fee) is up a bit over 6% - with ~4.4% being from trading and the rest from LTC falling vs BTC.  Nothing like as spectacular as last few weeks - but still a good week (I consider anything over about 3% a good week).

There's been a lot of activity on S.DICE over the last day or so - I assume people buying them up to collect the dividend due within the next week.  Last time I checked it looked like being about a 3% dividend (based on current price) but that could change in the last day easily if the whale keeps playing (he can lose or win 10k+ BTC in a day).  S.DICE has been staying solidly in the .0072-.00745 range for a while now - will be interesting to see if it stays there after the dividend.  Sometimes people dump shares right after collecting dividends - but equally last month the price rose after dividend as people noticed it was paying very respectable amounts.

Not a lot happening on S.BBET - lowest ask is about .0016 and highest bid about .00105.  I managed to sell some shares off at .00155 and cleared out all Asks on LTC-Global below that - so anyone who wanted to take their profits has now done so.  If I get hold of some cheap I'll put up an Ask much cheaper - until then my Ask is the lowest one at ~.47 representing the price I'd have to pay to replace the fund's float shares.

[Deprived]

Exchange-rate : .00345
Adjusted NAV/U : 34.2925
Bid at : 33.6

Whilst it looks unlikely we'll be setting any records this week, we're on target for respectable growth.  At present we're up just over 10% for the week with the majority of that (over 8%) from trading.  With ASICs finally arriving there's a fair amount of volatility in the price of most mining stocks which offers decent opportunities for trading - as well as a bit more risk than usual.

The S.BBET pass-through has pretty much stalled at present - it has a fairly wide and static range on MPEx (.001 bid, .0016 Ask) and there seems little interest on LTC-Global in buying at the Ask or selling at the Bid.

S.DICE has seen steady trade.  January it made just over 20k BTC profit of which 10% (2K BTC) will be paid at as dividend on MPEx in the next few days.  99% of received dividend/share will be passed through to our pass-through as per contract.  At current prices it looks like being somewhere in the 2.5%-3% range which is perfectly respectable.  As soon as I notice the dividend arriving on CoinBR I'll cancel my Ask, do the math and pay out the dividend - until then there's still time to buy shares and get this month's dividend.  Dividend is paid at some point in the first 5 days of the month - he's updated the accounts so it could be at any time.