The markets started off with a bang this week and gave no opportunity to the short sellers from last week to cover without chasing it up. This despite all the on ground chaos the country is witnessing. However as we have trained ourselves not to try mix the trend with out biases or our assessment of the situation we quietly follow what the markets are telling us without questioning the same. This is the essence of BBC policy – “Bhav Bhagwan Che” that we are disciples of. The market raced from near 14300 last week to above 15000 in matter of 4 session before succumbing to a heavy selling bout in the last two sessions.
The Weekendinvesting Smallcases were all GOING BONKERS this week with super performance !! . The smallcase products are all long only products that invest in various subsegments of the markets but have the momentum theme underlying in all of them. The strategies will pick strong outperforming stocks and remove weak ones once a week.
These are all long term strategies that will create enormous wealth in each upswing and then maybe give some back in the downswing and repeating this process again and again achieving the compounding effect. With patience and grit to follow strategy over ups and downs over the last nearly five years it has been shown that much superior CAGR returns are possible than the benchmarks.
FY21 has been phenomenal and I will let the numbers speak for themselves. A consolidated FY21 report is here
This week was a block buster week for Mi25 as it gained 8.25% and its FY22 performance is leading the pack at +16.09% in 4 weeks !
All details on the smallcase products is available at weekendinvesting.smallcase.com
In the LIVE product strategies, there were good gains as well . The LIVE products area more suitable for large portfolios and those who have broker accounts that are not synced with the smallcase platform. Also the user here churns his portfolio at Fri 3 PM along with the model and there is no slip between the model the actual experience. The back end task of manual execution and record keeping of course is an additional chore.
A common question that is always asked from us is which strategy should I chose ?
The selection of the smallcase/ L:IVE strategy can be done based on
a. Sub Segment of the market : Mi25 for smallcap, Mi_All_cap for all round diversification OR LTCNX 200 for large caps only
b. Activity specific smallcase like Mi ST ATH which chases all time high stocks
c. Or more passive strategies like NNF10 and NG5050 which are monthly rebalanced ones best to replace index investing with or for asset allocation.
d. More diversified smallcases like Mi30 and Mi50 that suit portfolio size of 10L and more.
We have grouped strategies to their relevant benchmarks and presented the performance below:
A chat with Money Masters earlier this week can be seen here
That is all from my end for now for this week. We have segregated the STAIRS newsletter and that is being sent out separately to its subscribers and interested users. You can subscribe to that newsletter by dropping your mail at STAIRS2profits.com at the bottom of the page.
The virus is still strong out there. Do take care of yourself and your loved ones. Please abide by the administration guidelines. We are all in this together..