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Dear Clients and Friends of Kondracki Advisory,

Our year-to-date composite total return was 7.55% through June 30, 2023. The S&P 500 total return was 16.89% and the DJIA total return was 4.94%. Our equity position total return, currently 57% of total portfolio values, was 12.5%. Our performance this year has been very solid, and consistent. This is especially important, considering our considerable outperformance in 2022, where our portfolios were down just 2.90%, net of fees, while the S&P 500 was down 18.2% and the bond market was -13.02%.

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Our 2023 Q1 composite total return was 3.21% through March 31, 2023. The S&P 500 total return was 7.50% and the DJIA was .91%. Taking a longer-term look at our investment performance, our 12-month composite total return through March 31, 2023, was -1.08% vs. -7.73% for the S&P 500 and -2.15% for the DJIA. Importantly, our 3-year average annual composite total return through March 31, 2023, was 16.50% and our 5-year average annual total return was 9.80%. Our very solid total returns were also achieved with nearly 40% less volatility* than that of the S&P 500. Our portfolios have generated significant alpha (risk-adjusted returns) relative to the S&P 500 over the past 12 months, 3 years, 5 years, and since the inception of our firm and have demonstrated superior downside protection as compared to the S&P 500 Index during periods of considerable market volatility. Risk-adjusted outperformance* has always been our goal, and consistently achieving it is foundational to our value proposition for clients.

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Our 2022 composite total return was -2.97%, which compares very favorably to the -18.14% return for the S&P 500 Index, -6.98% return for the DJIA, -33.10% return for the Nasdaq, and -13% total return for bonds*. Taking a longer term look at our investment performance, our three-year average annual composite total return through December 31, 2022, was 9.87%, vs.7.66% for the S&P 500 Index and was achieved with nearly 40% less volatility than that of the S&P 500. Our portfolios have generated significant alpha (risk-adjusted returns) relative to the S&P 500 over every measured time frame since the inception of our firm and have demonstrated superior downside protection as compared to the S&P 500 Index during periods of considerable market volatility, with 2022 being another very good example. Risk-adjusted outperformance has always been our goal, and consistently achieving it is foundational to our value proposition for clients. Download Commentary

Dear Clients and Friends of Kondracki Advisory Investment Management,

In what has been a very volatile year thus far for the stock and bond markets, our year-to-date composite total return through October 7, 2022, is -8.80%, vs. -22.73% for the S&P 500 Index, -18.18% for the DJIA, and -32.30% for the Nasdaq. The iShares Core U.S. Bond ETF (AGG) returned -14.70%. Taking a longer term look at our investment performance, our one-year composite total return through October 7 is -1.65% vs.-16.04% for the S&P 500 Index, and -14.59% for the Aggregate Bond Index. Our three-year and five-year average annual composite total returns through October 7 are 9.65% and 8.70%, respectively, and have been achieved with nearly 40% less volatility than that of the stock market. Our portfolios have generated significant alpha relative to the S&P 500 over every measured time frame since the inception of our firm and have demonstrated superior downside protection as compared to the S&P 500 Index during periods of considerable market volatility. This has always been our goal, and consistently achieving it is foundational to our value proposition for clients. Download Commentary

Dear Clients and Friends of Kondracki Advisory,

In what has been a volatile first half of the year for the stock and bond markets, our year-to-date composite total return through June 30, 2022, was -7.05%, vs. -19.96% for the S&P 500 Index, -14.44% for the DJIA, and -29.51% for the Nasdaq. Taking a longer term look at our investment performance, our one-year total return through June 30 was 1.80% vs. -10.62% for the S&P 500 Index. Our three-year and five-year average annual total returns through June 30 are 10.30% and 10.20%, respectively, and have been achieved with nearly 40% less volatility than that of the stock market. Our portfolios have generated very significant alpha relative to the S&P 500 over every measured time frame since the inception of our firm.

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Our portfolios performed very well in what was a challenging and volatile first quarter for the stock and bond markets. Our composite total return through March 31, 2022, was 1.37%, vs. a -4.62% return for the S&P 500 Index and a -4.14% return for the DJIA. The Nasdaq was -9.10%. Our equity positions achieved a total return of 1.92%. Our average cash position of 23% helped protect against the stock market downside while also allowing us to be opportunistic buyers during periods of significant market volatility. We are accomplishing our stated goals of achieving a reasonable return with protection of principal and have done so since the inception of the Firm.

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Our conservative equity portfolios performed very well in 2021, having achieved most of the upside of the stock market along with significantly less volatility and reduced risk to principal. Our composite total return through December 31st, 2021, was 22.70%, while our equity positions, which represented 80% of our total portfolios for much of the year, achieved a 29.90% total return. The total returns on the S&P 500 and DJIA were 28.67% and 20.83%, respectively. Download Commentary

Our conservative equity portfolios have performed well this year, having achieved much of the upside of the market along with significantly less volatility and reduced risk to principal. Our goal is to achieve excellent risk-adjusted returns, every year.

Our composite total return through September 30th was 11.25%. Our equity position achieved a 15.11% total return. The total returns on the S&P 500, DJIA, and Russell 1000 Value Index were 15.92%, 12.12%, and 16.14%.
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Dear Clients of Kondracki Advisory,

Our composite total return through June 30th was 12.01%. Our equity positions achieved a 15.34% total return. The total returns on the S&P 500, DJIA, and Russell 1000 Value Index were 15.25%, 13.79%, and 17.05%, respectively.

We have maintained an average cash position of approximately 20% this year. Although this decision has held back our total returns relative to the market, our cash position provides us with considerable downside protection, and the ability to be opportunistic buyers – we recently added three new positions to our portfolios, Oracle, Home Depot and Visa. Our conservative approach to investing in equities has been successful, and, I believe, a very prudent approach to growing and protecting our wealth. We have achieved much of the upside of the market, but
with far less risk and greatly reduced volatility.

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Our composite total return for the first quarter was 6.6%. We exceeded the performance of the S&P 500 Index and did so with significantly less investment risk and portfolio volatility. Our equity positions achieved an 8.58% total return. The total returns on the S&P 500, DJIA, and Russell 1000 Value Index were 6.17%, 8.29%, and 11.6%, respectively. Our year-to-date composite total return through April 8th is 8.16% and our equity positions total return is 10.60%. Download Commentary