2017-H2

The market

Market have reached their all-time high due to favorable growth and inflation outlook.

Our portfolio

Our past acquisitions are meeting our wealth objective, despite this we are underperforming mainly due to our investment last year in a service company. Unfortunately, the company has not managed to achieve the announced restructuration. We have realized our losses at the end of the year.

We also suffered a drawback with our investment in distribution. The failure of the merger has precipitated the stock at his historical lows, however we hold on as the investment offers sufficient margins of safety to wait for a turnaround.

We saw that our diversification shelters the 2017 returns and despite the disappointments in the latest semester the performance stays on the rise.

Going forward

We must expect occasionally to suffer losses on our investments and it will be deceptive to believe that we can do better than contain them when they occur. Our future performance relies in part on our ability to sell our losers and be patient to hold as long as better outcome can be reached.