No. of Recommendations: 0
Oh, heck, how about giving this stellar FA 80% of your money to run at 1%(?) fee and put the other 20% in a simple private active fund managed by yourself.

His: Grew at 9.8% (pa, after fees) over the 10 years Mar-03 thru Mar-13. If I understand it right, $1000 investment grew to $2,550. Ths S&P w/div grew at 8.9%, so $1000 would grow to $2,245.

Yours: Grew at 23.0% pa over the same period. $1000 investment grew to $7,980. Took a 50% hit in 2009. Dropped from $7,128 to $4,590.

This miraculous strategy? Extraordinarily complicated. Requires Einstein-level mathmatical ability. Must be able to multiply two numbers and determine if one number is greater than another. Oh, wait --that's 3rd grade math -- sorry.

Once every 3 months, for every stock in the Russell 3000, compute the score of (Return on Assets * yield) and discard all stocks but the top 100 by this score.
Then rank these 100 by the 52-week price gain.
Then buy the top 5, the ones with the highest 52-week percentage gain. Sell anything that you held from last quarter that isn't in the new top 5. On average, you'll sell 3 stocks and buy 3 stocks, each 3 months.

Is 5 stocks too few for you, think that's too risky? Okay, use the top 10 stocks. 20.4% return. $1,000 grows to $6,390.

If you don't have access to a stock screener that has the ROA and yield information or can't find one on the internets, I'll do it for you and only charge 0.25% fee. ;-)

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