The P&C Global Gold and Natural Resources Fund rose
by 7% in October. Seed investors of 8 months ago have
made over 54% after performance fees. The FTSE Gold Mines
Index (USD) was up by 8% in October, so we slightly lagged
a share index despite being 50% in bullion, which actually
fell. We are ahead of the FTSE Gold index by about 30%
since inception, though our benchmark is USD cash, not
an index. This is satisfactory given that the Fund is
50% in metals which have largely under performed shares,
and is a credit to the stock picking and risk control
of the fund's advisers, Baker Steel.
As
at 31/10/03 the Fund remained fully invested in a diversified
portfolio of major, medium-sized and junior gold and
mining company shares active in N. America, Australasia,
Africa, Russia and many other countries, as well as
a large position in the metals themselves (26% silver
+ 19% gold + 4% palladium = c50% of total) at month
end.
In
October, we increased our exposure to physical gold
and silver (metals have lagged shares) and added palladium
for the first time. Ivanhoe - up 65% and 4% of the fund
- was a big winner. Apart from some prudential pruning
of the gold share portfolio, we broadened the natural
resources dimension of the Fund by buying Sibir Energy,
a Russian oil and gas producer.
| ASSET
ALLOCATION (31/10/03) |
TEN
LARGEST HOLDINGS (67% of fund) |
| Gold
and resource shares 50% |
1.
Gold Bullion 26% |
| |
2.
Silver Bullion 19% |
| Silver,
gold, palladium 50% |
3.
Palladium Bullion 4% |
| |
4.
Ivanhoe Mines 4% |
| Cash
0% |
5.
Ashanti Gold 3% |
| |
6.
Resolute Mining 2% |
| |
7.
Coeur d'Alene 2% |
| |
8.
Rio Narcea 2% |
| |
9.
Cambior 2% |
| |
10.
Wheaton River 2% |
| ASSET
ALLOCATION (per month) |
 |
| PERFORMANCE
IN USD (for initial investors) |
| Since
inception (20/2/03): |
| |
20/2/03
|
31/10/03
|
%
change
|
| P&C
Global Gold Fund (Gross NAV) |
1000
|
1623.08
|
+62%
|
| P&C
Global Gold Fund (Net NAV) |
1000
|
1548.31
|
+55%
|
| |
|
|
|
| FTSE
Gold Mines Index |
1240
|
1649.74
|
+33%
|
| Gold
bullion |
352
|
384
|
+9%
|
| Silver
bullion |
4.65
|
5.07
|
+9%
|
| |
|
|
|
| Note:
Past performance does not guarantee future results.
All prices and comparative numbers are unaudited
and for indication purposes only. |
| TRACK
RECORD |
| Percentage
monthly performance after performance fees (net) |
 |
| Percentage
monthly performance after performance fees (net) |
| 2003 |
| Jan |
Feb
|
Mar
|
Apr
|
May
|
Jun
|
Jul
|
Aug
|
Sep
|
Oct
|
Nov
|
Dec |
| n/a |
-2.17
|
-1.47 |
3.14 |
7.97 |
1.81 |
8.76 |
17.2 |
4.06 |
6.82 |
|
|
|
