Hello, wow the year is half over and it's time for another depressing Magic Portfolio update. This morning the SPY was trading at around 296.68, meaning that if I would have just invested in the S&P 500 Index at the beginning of my Magic Formula Odyssey nearly two and a half years ago I would have earned over 28% on my investment. Instead, I've lost 16%. Here is my current … [Read more...] about Portfolio Update 7/1/2019
Papa Murphy’s Merger
As I've written before, anyone following the Magic Formula strategy has the responsibility to keep an eye on the portfolio. Today this revealed that, on May 28th of this year, there was a merger of Magic Portfolio company Papa Murphy (FRSH) with MTY Food Group, which I've never heard of. Come to think of it, I've never heard of Papa Murphy's either. I replaced this with Magic … [Read more...] about Papa Murphy’s Merger
Portfolio Update 2/18/2019
Hello Magic Formula People! I recently finished updating my Magic Formula stocks. It's my third round of buying or selling stocks of 30 companies identified by Joel Greenblatt's Magic Formula Investing site. Here is my current portfolio, reflecting my latest update: Things have improved quite a bit since my last post, but I've still lost money on this scheme. While the … [Read more...] about Portfolio Update 2/18/2019
The Stickiness of Formula Stocks
I am now in the third round of choosing my Magic Formula Stocks. The first round started in late December 2016, when I bought thirty Magic Formula stocks over a period of a couple months. Around the same time last year I began the process of selling all those stocks and replacing them with other stocks as identified on MagicFormulaInvesting.com. Now here I am again, still happy … [Read more...] about The Stickiness of Formula Stocks
Re-balancing your Magic Formula Portfolio
One of the guidelines for constructing your Magic Formula portfolio, as described in The Little Book that Beats the Market, is that each of your 30 stocks should have equal weighting. So after a sale you can’t just invest all the proceeds; you have to calculate how much you should invest in your next Magic Formula stock so the portfolio will be well-balanced. This re-balancing … [Read more...] about Re-balancing your Magic Formula Portfolio