The Motley Fool Discussion Boards
Investing/Strategies / Mechanical Investing
|Subject: Real Life MI Testimonial||Date: 11/6/2012 7:05 PM|
|Author: KrisWood||Number: 240090 of 256582|
I have been lurking on this board and investing mechanically since June, 1999. As I was learning the ropes, I toyed with the Foolish Four, and various PEG and RS screens. My investments have been made in my IRA account, with the usual annual contributions.
In late 2006, I began making use of Zeelotes spreadsheets, and came up with the following blend:
I got a FolioFN account and started this blend in February 2007. I held the top 4 stocks from each screen for 4 weeks, rebalancing 1 stock from each screen each week to vary my start dates.
Like all of us, I got smacked down in late 2008, losing about 40% of my value. Much of early 2009 was spent studying the work that Mungofitch and Zeelotes contributed on timing systems. I have since added a variation of a NH-NL indicator to my system. Outside of that adjustment, I have just been following the screens, since real life hasn’t given me the time to keep up with the research.
So, how has it all worked out? I don’t know to calculate the CAGR on my investments, but according to the Performance chart on FolioFN, I have earned around 25% in the 5 1/2 years of this blend, which includes climbing out of the 2008 hole. Since the the equivalent investment in the S&P 500 would have returned around 10%, I have been pleased.
Of the 6 screens, Quality_Earnings, LowPE_ZLTD and YieldEarnYear2 have been the superstars. ARS has broken even. The big losers over the time have been High_Relative_Value and YieldEarnYear. Both of those screens have lost money over the time that I have run them. YEY especially really surprised me.
A couple of weeks ago, I took a look back at recent posts, took some recommendations about screens to consider, and re-ran backtests on Keelix and backtest.org. I replaced the 2 low performing screens with PIH_CSO_Safe and SomeMoJoeSafe. I’ll let you know in about 5 years how this blend works out.
I have been grateful for all of the brilliance that been part of this board over my 12 years here. I have discovered an investment method that makes sense to me, has provided adequate returns, and allows me to sleep.
|Copyright 1996-2015 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|