Many gurus have out-performed the market for years and their strategies are well known – often published as books. As retail investors, we have the advantage of a much broader universe of stocks to choose from, more latitude in when to buy/sell, and we can employ a quantitative approach, a qualitative approach or a blend of both methods.
Standing on the shoulders of investing gurus like Graham, O’Neill and Zweig is a great way to get started. We will learn to create and manage a portfolio of stocks based on the published, proven work of famous investors while incorporating our own strengths, time constraints and personal style.
Systematic, repeatable investment strategies consist of 3 distinct processes: 1) Filtering, 2) Selecting, and 3) Managing. All 3 processes rely on fundamental and/or technical criteria and can generally be automated. We will apply these processes to a guru investing strategy to examine and understand how the guru:
Once the strategy is defined, we will consider alternate criteria that could improve strategy performance . In addition, we will examine changes that personalize the strategy and evaluate their impact on performance.
Discussions will also cover qualitative vs quantitative approaches, automation, market timing and hedging, and the frequency of managing the strategy.
Put on your thinking cap and join the discussion.
AAII SIG meetings are open to the public and are not limited to AAII members. Novices, as well as seasoned investors, benefit from the ideas and insights presented.
Each two-hour meeting starts at 7 pm (6:30 registration) with a brief review of investing processes, liquidity, criteria classification, data sources, and tools available to the retail investor.
See Calendar for meeting location.