We have had 6 months to observe various live strategies and study their back-test performances and now have a feeling for what works and responds well to market upturns. We currently have about 40 JSE shares sitting in 9 of our best performing strategies (see the SCOREBOARD menu for the performance of these strategies).
We started noticing that some shares kept cropping up time and again when populating these strategies and on 30th March our PowerStocks Labs team decided upon a novel idea of creating a "TurboShares" portfolio made up of all the shares that made their appearance in at least THREE top performing strategies. Their thinking was that these shares would be a "good bet" and by investing in them, you could play multiple strategies in parrallel and spread your risks. The portfolio appears below, showing which strategy each share appears in:
V-COMB is the "Rebound Combo", V-T100 is the "Rebound T100", CSV is "Cornerstone Value", PWR-SHR is "PowerShares-A" Designer Strategy, T40-MF1, MF2 and MF3 are the TOP40 Magic Formulas, PIOT>7 is the Piotroski strategy and MF10 is the ALL-STOCKS 10-share Magic Formulas. These are the only shares that appeared in at least 3 of these strategies as indicated in the above table.
We have had 30 days pass since inception to develop a trend, and display the portfolio returns below:
It looks like these truly are turbo-charged shares, as they are outpacing the ALSH convincingly.We have no idea whatsoever where this is going to land up as it is a combination of all 9 our best performing strategies, so for now this is an interesting experiment. Of course, every proven strategy you see at PowerStocks we have R50,000 invested in (that's why we do all this research) and this portfolio is no exception. Bombs away!