S&P500 10 Value Stocks Model

S&P500 10 Value Stocks Model is launched.

Universe : S&P 500
Average Daily Trading : 5 Million for last 3 months
Average Daily Volume : 500K for last 3 months
Average Holding Time : 3 months.

I am investing on this model.

Knolwedge source:
P123, Value Line & AAII

This model’s incubation period is 3 months.

This model fee is $25/month.

Thanks
Kumar


I welcome any feedback on this no hedge sp500 value model.

Thanks
Kumar

Is it possible to provide a link?

Walter

Congrats on what looks like an impressive model. Does it use market timing rules? If so, do you mind commenting what is based on - technical analysis, earnings, volatility, etc.

Kumar,

nice!

Please provide a link, thank you

I will Sub the model!

Regards

Andreas

P123 Staff,

Why my launched models did not display in SmartAlpha pages ?

Thanks
Kumar


Hi Kumar,

Your models won’t appear when they are in incubation. Just copy and paste the link.

Walter

Thanks

Andrea and Walter,

The link is
https://www.portfolio123.com/app/r2g/summary?id=1409987

Thanks
Kumar

Kumar, thanks for the link!

A Sharpe ratio of > 1 and the excess performance stats are pretty good, considering the turnover is very low and if you are only using S&P 500 stocks. At least for the past performance.
Do you use any market timing?

:slight_smile:

rodbarc and fips,

I honor your questions;
this model is invested 100% of the time in bull market and 95% of the time in bear market. (fully invested in 10 stocks, no partial investment).

I will provide more details to my subscribers.

BRK.B last 10 years chart is inspiration for me to believe in Value and Quality.
Believe it will inspire you too :slight_smile: :slight_smile: .



I noticed that the number of subscribers is set to 10. Considering that this holds mega caps only, wouldn’t it support a higher number of subscribers?

Looking forward for further details, because I didn’t get much based on the BRK chart.

rodbarc,

The chart is not for experts and experienced who knows successful investing over periods of time.

I keep only 10 subscriber now.
I will decide later on to increase the number of subscribers.

Thanks
Kumar

S&P500 10 Value Stocks Model is based on only fundamentals.
No technicals.

The BRK.B chart is just for illustrate the idea for value based investments.

Thanks
Kumar

Last 2 years performance of simulated result vs GS and BRK.B charts.

I will compare these charts every 6 months going forward.

GS is known for trading system with huge research team to get profit from market.
BRK.B is known for successful long term investing in the market.

==================
NOTES FROM THE CHART:

GS, the world best investment firm is 10% down from Jan 2014.

BRK.B the world most successful long term investment is 10% down from Jan 2015 and 10% up from Jan 2014.

the value long only 10 stocks SP500 simulated model

  1. 15% down from Jan 2016 (draw down matches with it’s bench mark).
  2. No gain from Jan 2015
  3. 30% gain from Jan 2014
    ============================================

The link to the model;

https://www.portfolio123.com/app/r2g/summary?id=1409987

will be available to subscriber on 04/30/2016.

I am here to learn and grow with P123 and experts and make better gains in investments.

Thanks
Kumar



Hi Kumar,

Is any of the above illustrated performance out of sample? Here is my smart alpha model for the S&P500:

https://www.portfolio123.com/app/r2g/summary?id=1399724

The backtest is not as impressive, but below a screen capture of the underlying live port with 19% OOS performance in one year.

Cheers,
Florian


Florian,

The above illustrated performance is from simulation.

Thanks
Kumar

Hi Kumar,

just had a look at your model again. Does it happen often that it sells 9 stocks in one day? And all of them in the red as this time around?

Br,
Florian


realized_30_day_lag.jpg

Br,
Florian

Selling all stocks happend 2nd time in last 5 years. once in 2011 and again in Jan 2016.
I will share more details to my subscribers.

https://www.portfolio123.com/app/r2g/summary?id=1409987


Kumar - again, thank you for your information.

The model has interesting statistics.
If stocks have only been sold in 2011 and 2016, how can the turnover be 3.7x? Has there been significantly more trading prior to 2011 and your model has just been content with the stock selection for the last 5 years?

Nice out-of-sample performance so far, by the way.