Last month, we sold our under-performing position in the Barclays Bank PLC iPath S&P VIX Short-Term Futures ETN (VXX). Even with all the events in the past year, Bank VIX has been trading lower as markets have gotten use to disappointing news. We expanded our position in American Capital Agency Corp. (AGNC) using margin and it now consists about 75% of our portfolio. We bought during a 3% dip, when AGNC announced a 50 million share offering on 2/27/13. Looking forward for the month of March, we will continue to use margin. We might start shorting the SPDR Dow Jones Industrial Average ETF Trust (DIA) and SPDR S&P 500 ETF Trust (SPY) as the indexes reach their highs. The investments discussed are held in client accounts as of March 1, 2013. These investments may or may not be currently held in client accounts. The reader should not assume that any investments identified were or will be profitable or that any investment recommendations or investment decisions we make in the future will be profitable.
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