Carr & Associates
constructs portfolios utilizing primarily investment grade
securities. Issues are selected for their credit worthiness,
risk aversion and yield support characteristics as well as for
longer term appreciation potential. Holdings are sold when
they no longer possess these qualities. Portfolios typically
contain 10-20 issues, diversified across industry groups.
Clients own convertible bonds or, on
rare occasions and for brief periods after conversion, the common
stock of previously held convertibles. As of June 30, 2009,
the holdings of our clients' portfolios had an average Standard
& Poor's quality rating of BBB, and generated a current income return of
3.8%.
Carr & Associates is noted
for the consistency of its returns as well as its outstanding
risk-adjusted returns or Sharpe Ratio. Carr & Associates' performance results
are shown net of management fees paid to Carr & Associates
calculated at the maximum rate of 0.75% per year.
Convertible Securities
Total Return Comparisons
Periods Ending
June 30, 2009
|
|
|
Sharpe |
| Index; |
Return |
Risk |
Ratio |
| ---------------20
Years--------------- |
| Carr & Associates |
6.27 |
5.60 |
0.38 |
| S&P
500 |
7.75 |
15.00 |
0.24 |
| Lehman
Government/Credit Bonds |
7.05 |
4.49 |
0.65 |
| Citigroup High Grade Long
Term Bonds |
7.64 |
8.83 |
0.40 |
| 60%S&P500/40%LG/C Bonds |
7.76 |
9.45 |
0.35 |
| 90-Day
Treasuries |
4.13 |
1.30 |
0.00 |
| ---------------15
Years--------------- |
| Carr & Associates |
5.83 |
5.50 |
0.37 |
| S&P
500 |
6.90 |
15.69 |
0.20 |
| Lehman
Government/Credit Bonds |
6.57 |
4.48 |
0.63 |
| Citigroup High Grade
Long Term Bonds |
7.18 |
9.62 |
0.35 |
| 60%S&P500/40%LG/C Bonds |
7.11 |
9.68 |
0.35 |
| 90-Day
Treasuries |
3.77 |
1.20 |
0.00 |
| ----------------10 Years--------------- |
| Carr & Associates |
4.69 |
5.94 |
0.28 |
| S&P
500 |
-2.22 |
16.02 |
-0.33 |
| Lehman Government/Credit Bonds |
5.98 |
4.57 |
0.64 |
| Citigroup High Grade
Long Term Bonds |
6.60 |
10.70 |
0.33 |
| 60%S&P500/40%LG/C Bonds |
1.34 |
9.69 |
-0.18 |
| 90-Day
Treasuries |
3.05 |
1.03 |
0.00 |
|
---------------- 5 Years--------------- |
| Carr & Associates |
1.70 |
6.86 |
-0.18 |
| S&P
500 |
-3.43 |
15.50 |
-0.41 |
| Lehman Government/Credit Bonds |
4.80 |
4.46 |
0.41 |
| Citigroup High Grade
Long Term Bonds |
4.78 |
12.72 |
0.14 |
| 60%S&P500/40%LG/C Bonds |
-0.82 |
9.74 |
-0.39 |
| 90-Day
Treasuries |
2.95 |
0.98 |
0.00 |
Prepared 09/30/09
