Partnership Letter 2023

Principled Capital Members,

Performance Summary (unaudited):

Jan 1st 2023 to Dec 31st 2023

S&P 500 (SPX): 28.12%

Nasdaq (COMP): 48.31%

Principled Capital LLC: 246.3% (before fees)

Fund inception to Dec 31st 2023

S&P 500 (SPX): 9.19%

Nasdaq (COMP): .31%

Principled Capital LLC: 84.35% (before fees)

The fund became fully funded on August 31st, 2021, and since then has been fully deployed into the market. Since its inception to the close of 2023, the fund has overperformed relative to both the S&P 500 and Nasdaq by approximately 75% and 84% respectively.

Partnership Letter:

It is said that volatility is the price you pay for outsized returns... for the past few years of Principled Capital we have all felt this idea to be very true. I greatly appreciate having investors that are willing to pay this price and am happy to report this past year we began to reap some of the benefits.

Last year I mentioned that evaluating the performance for this fund for any timeframe under 5 years is difficult. I still believe this to be true. It is equally important one does not panic during the bad years as it is for one to not become overconfident during the good years. We remain diligent in monitoring the investments we hold, and stay focused on the long term.

A shorter letter this year as not much has changed concerning the strategy or investments of the fund. We still feel very good about the positions we hold and believe there is still much value left to be realized by the market. If you have any questions feel free to reach out to me.

Updates:

I have decided to open up the fund for additional investment/investors and am gauging interest. If you or anyone you know (and trust) might be interested, I have attached an info deck about the fund you can share.

Logistics:

I am currently preparing each partner's K1s and will be emailing each of you separately with those.

Thanks!

Paul Holtfrerich

Managing Partner, Principled Capital LLC