FIC Core Portfolio Performance as of Q3 2019

Quarterly Commentary:

1. S&P and Dow Jones Industrial remained strong, supported by the easy monetary policies around the globe. It is not a mandate for central banks to play the role of Santa Clause. They try to delay the natural correction however in the end, they may create the biggest monster bubble that no one can stop later. We maintain high cash position in such market. Short dated US Treasuries are the preferred way to hold cash.
2. There is a rotation from momentum stocks into value stocks in September. It will probably continue.
3. WeWork will be insolvent by end of Q1 2020, my prediction.

	FIC Core Portfolio	S&P 500 Total Return
2019 Q3	3.74%1	1.70%2
2019 YTD	-12.53%1	19.59%2
2018-Calendar	-3.86%	-4.38%
2017-Calendar	32.39%	21.83%
2016-Calendar	29.31%	11.96%

1. FIC Core Portfolio is not a tax-exempt account however, the return posted here is before considering tax liability generated by any investment activities. Returns reported here are all time weighted returns, therefore are not reflecting effect of deposits and withdraws on total dollar profits
2. S&P 500 Total Return is FIC Core Portfolio’s benchmark. The return can be found at: http://performance.morningstar.com/funds/etf/total-returns.action?t=spy

Note: Past performance is not an indicator for future performance. There is no guaranty that such performance will be achieved in future.

FIC Core Portfolio	Cash and Cash Equivalent as % of Total NAV
As of 9/30/2019	18.56%
As of 6/28/2019	17.37%
As of 3/31/2019	17.54%
As of 12/31/2018	12.34%
As of 9/28/2018	11.50%
As of 6/30/2018	0.27%
As of 3/31/2018	8.14%
As of 12/31/2017	1.28%
As of 9/30/2017	5.41%
As of 6/30/2017	3.59%