June Updates!

We added Taiwan in Jun as we observed a possible breakout.

The Market is continuing it's backbreaking charge upwards. One noticeable market that is missing from action is the India Stock Market. After 3 record breaking years, the overvalued India Market is taking a breather. Meanwhile, Korea, Taiwan and Thailiand is leading the charge this time round. A possible correction may happen one to two months down the road. We are keeping our fingers crossed though. Let see if the rally can continue all the way till end of December.

Here is the performance of the fund this month round.

Fund performance for May 2007

NAV as at 1 Jun 2007: $1.5256

This month, we beat the MSCI World (-0.34%), the contribution same primarily from our positions Latin America, Indonesia and Korea.

Just when will the correction come? The fact that we have not reduced our equity weighting underlies the optimism of the current state. We believe even if there is a correction, it will not be too deep or too protracted. It will be a case of “buying on dips”.

As of now, we hold 37% in money market to standby for a correction. I believe this amount is sufficient for the moment.

No extra funds will be solicited this month.