Wednesday, April 19

Today we’re affirming our intent to acquire Ford by the end of this week – they’ve just gone ex-dividend so for the next few days their price will be highly variable, expect it to fall somewhat into Friday evening. Today prices for Ford jumped on word of a joint venture with BMW and Porsche AG. The JV will work to deploy new 350 kW charging stations on European highways that promise to charge compatible cars in a fraction of the time of even the best conventional chargers (for reference, if able to handle 350 kW a Tesla would be fully charged in 15 minutes). Deployment of these facilities has already begun, yet few cars can handle that current load. The bump from this news will fade quickly, Ford was up in early trading but ended the day only $0.01 higher than open. The long term possibilities of this JV are exciting however, and will have long lasting effects on the European auto market. Go buy a BMW. Expect a fall tomorrow, followed by us taking a position in Ford by Friday evening.

In market news, Oil fell dramatically today, down more than 4%. Our position in Shell fell predictably far, down 2.28% today. That position is as large as we’d like it to be, or this would have been a strong opportunity to grow our holdings. Going forward we’re looking to adjust our portfolio distribution to allow for more very short term (less than a week) positions.

We’re also still seeing FTRPR fall, and will continue to see this until the end of this position in a year and a half, though we’re considering adjusting how we calculate loss on that position as it’s still well on track to meet our projections. Market value loss is expected – the technical position will lose more than 20% of its value by close.

 

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