Investors & Friends:

Here's a summary of our investment actions from the past week.

Bonds & Fixed Income

1) We sold our Pension Obligation Bonds (POBs), issued by the Pennsylvania Authority for Industrial Development, on 9/2 @ 66.00 for a 12.1% gain. Our original intent was to hold the bonds to maturity, in 2017, and collect the 6.97% yield. However, the price of the bond appreciated 12% in just a year. We feel it would be foolish to forgo the profit or hold out for a higher price given the possibility a bubble exists in the bond market.

Return calculation = ($66.00 sale price - $58.875 cost basis) / $58.875 cost basis x 100% = 12.1%.

The date we opened the trade was 7/21/09.

Option Strategies - Naked Puts

2) Berkshire Hathaway Inc (NYSE: BRK/B) - We sold Jan '12 $35.00 puts.

3) iPath S&P 500 VIX Short-Term Futures ETN (NYSE: VXX) - We sold Jan '12 $13.00 puts.

Click here for the Investrio Stock Selector Fund Bull and Bear Market Indicators Report for the week ending September 10, 2010.

Click here for upcoming IPOs.

Lead Fund Manager
Investrio