Model Portfolios
The MarketMentat Model Portfolios represent a further development of the highly-successful Model Portfolios developed by our Beloved GT when he was Head of Equities at InvestorWeb (later IWL).
Those of you who were viewers back in those old days, will recall that the IWL Model Portfolios routinely outperformed their benchmarks, while simultaneously reducing volatility. The team was particularly good at showing small companies experts how it was done.
GT's additional work has involved putting a hedging layer (genuine hedging, not mickey-mouse leveraged punting), to hedge away broad market risk at times when the market was displaying 'non constructive' sentiment and technical configurations.
Stock selection has also been refined.
In reading what appears below, bear in mind that GT made the explicit decision to leave hedges in place when he called the impending bounce back on February 22nd; yet the MM Model Portfolios are so far ahead of benchmark that we don't even have to bother with the dividend calculations.
Large-Caps
This portfolio is selected from the larger end of the market capitalisation scale within the ASX200; its benchmark is the ASX200 Accumulation Index.
As with all the MarketMentat Model Portfolios, subscribers have the opportunity to implement our built-in hedging strategy, which seeks to limit market exposure when markets are exibiting technical signs of a sentiment extreme. It is currently fully hedged: hedges take the form of short SPI contracts, short CFDs, or covered calls, depending on the size of the usr’s portfolio.
| ASXCode | Date Added | Price | PER | Yield | Debt/Equity | Price/NTA | %Change | Portfolio Share | Contribution |
|---|---|---|---|---|---|---|---|---|---|
| ANZ | 2008-07-14 | 17.8 | 8 | 7.64 | 1639.6 | 1.77 | 36.12 | 0.2 | 7.22 |
| CSR | 2008-07-14 | 2.08 | 11 | 7.21 | 44.6 | 2.42 | -18.75 | 0.05 | -0.94 |
| FGL | 2008-07-14 | 4.45 | 11 | 5.62 | 458.2 | 8.09 | 20.45 | 0.2 | 4.09 |
| LNN | 2008-07-14 | 8.4 | 16 | 4.88 | 150.8 | -16.8 | 36.43 | 0.1 | 3.64 |
| MQG | 2008-07-14 | 49.8 | 7 | 6.93 | 0 | 1.77 | -0.04 | 0.3 | -0.01 |
| TEN | 2008-07-14 | 1.44 | 4 | 9.72 | 0 | -3.27 | 26.39 | 0.05 | 1.32 |
| TOL | 2008-07-14 | 6.57 | 3 | 3.73 | 106 | 2.45 | 7.46 | 0.1 | 0.75 |
Aggregate capital gain on portfolio since 2008-07-14: 16.07 %
Aggregate capital gain on benchmark since 2008-07-14: -2.09 %
Mid-Caps
This portfolio is selected from the ASX mid-cap 50; its benchmark is the ASX Mid-Cap 50 Accumulation Index. This portfolio is currently 100% hedged against market risk.
| ASXCode | Date Added | Price | PER | Yield | Debt/Equity | Price/NTA | %Change | Portfolio Share | Contribution |
|---|---|---|---|---|---|---|---|---|---|
| BEN | 2008-07-14 | 9.63 | 11 | 6.44 | 1923.6 | 1.67 | 0.62 | 0.2 | 0.12 |
| BLD | 2008-07-14 | 4.88 | 10 | 6.97 | 69 | 1.12 | 13.32 | 0.1 | 1.33 |
| CPU | 2008-07-14 | 8.61 | 15 | 2.21 | 0 | -6.15 | 41.81 | 0.2 | 8.36 |
| CTX | 2008-07-14 | 12.71 | 5 | 6.29 | 23.8 | 1.25 | -10.46 | 0.15 | -1.57 |
| DJS | 2008-07-14 | 2.86 | 11 | 8.39 | 0 | 2.75 | 80.77 | 0.15 | 12.12 |
| ERA | 2008-07-14 | 23.96 | 60 | 0.83 | 0 | 7.49 | -22.83 | 0.2 | -4.57 |
Aggregate capital gain on portfolio since 2008-07-14: 15.79 %
Aggregate capital gain on benchmark since 2008-07-14: -11.67 %
Small-Caps
This portfolio is selected from the entire market, with a focus on small stocks, subject to a liquidity requirement (that the stock must average $250k in turnover in the 20 days prior to its inclusion in the portfolio).
The benchmark for this portfolio is the ASX Small Ordinaries Accumulation Index. This portfolio is currently 100% hedged against market risk.
| ASXCode | Date Added | Price | PER | Yield | Debt/Equity | Price/NTA | %Change | Portfolio Share | Contribution |
|---|---|---|---|---|---|---|---|---|---|
| AVE | 2008-07-14 | 1.86 | 8 | 4.84 | 0 | 0.9 | -37.1 | 0.13 | -4.82 |
| CDD | 2008-07-14 | 3.7 | 9 | 6.89 | 0 | 3.22 | 8.65 | 0.22 | 1.9 |
| DWS | 2008-07-14 | 0.94 | 7 | 11.17 | 0 | 4.7 | 70.21 | 0.15 | 10.53 |
| GUD | 2008-07-14 | 7.65 | 13 | 8.37 | 61.8 | 15 | 28.63 | 0.2 | 5.73 |
| SOT | 2008-07-14 | 0.175 | 2 | 13.71 | 59 | 0.55 | 834.29 | 0.15 | 125.14 |
| WHG | 2008-07-14 | 1.06 | 9 | 5.66 | 103.1 | 6.62 | 8.49 | 0.15 | 1.27 |
Aggregate capital gain on portfolio since 2008-07-14: 139.75 %
Aggregate capital gain on benchmark since 2008-07-14: -11.58 %
Yield
This portfolio is selected from the entire market, with the aim of identifying high-yielding stocks who yield is sustainable (and whose price has a better than average chance of appreciation). As always, this is subject to a liquidity requirement (that the stock must average $250k in turnover in the 20 days prior to its inclusion in the portfolio).
The benchmark for this portfolio is the ASX All Ordinaries Accumulation Index. This portfolio is currently 100% hedged against market risk.
| ASXCode | Date Added | Price | PER | Yield | Debt/Equity | Price/NTA | %Change | Portfolio Share | Contribution |
|---|---|---|---|---|---|---|---|---|---|
| HHV | 2008-07-14 | 0.815 | 10 | 9.82 | 0 | 0.8 | -1.84 | 0.1 | -0.18 |
| MCW | 2008-07-14 | 0.755 | 3 | 20.66 | 25.3 | 0.39 | -22.52 | 0.2 | -4.5 |
| MGR | 2008-07-14 | 2 | 3 | 16.33 | 68.8 | 0.5 | -26 | 0.3 | -7.8 |
| MRZ | 2008-07-14 | 0.41 | 10 | 25.66 | 0 | 0.29 | 46.34 | 0.1 | 4.63 |
| PRG | 2008-07-14 | 3.33 | 10 | 6.01 | 77 | 8.76 | -5.11 | 0.2 | -1.02 |
| SFH | 2008-07-14 | 0.805 | 5 | 13.66 | 17.3 | 10.06 | 80.12 | 0.1 | 8.01 |
Aggregate capital gain on portfolio since 2008-07-14: -0.86 %
Aggregate capital gain on benchmark since 2008-07-14: -3.52 %
Fundamental valuations are based on the trailing twelve months’ data as at the date of the stock’s inclusion into the Model Portfolios