Decade of Daddy Mirror Fund exits Venezuela
Better late than never!
Sold our two Venezuelan bond positions late yesterday. The BOLIVARIAN REPUBLIC VENEZUELA AMORTIZING BD REG S 2022-08-23 12.7500% went out for US$81, while the PETROLEOS DE VENEZU NOTE 2014-10-28 4.9000% realized US$89 — including accrued interest in each case, I suppose.
In the end, we earned 5.6% on the face value of the Republic one ($95k), and 50.5% on the Petroleos version ($859k). Sure helped that we bought both of these US$ denominated bonds back when the CAD was 0.97 per USD. Plus all of that semi-annual interest was put into things like Constellation Software (CSU:TSX) in January 2013 and TD Bank (TD:TSX) in November 2012.
For the moment, the capital raised from these two bond sales will sit in cash.
(disclosure, we own CSU and TD in our household)