Download - Investment portfolio presentation
BY
DANIEL GILMORE&
NEELIMA TADIKONDA
Investment Portfolio
Mission Statement
Our mission is to construct a portfolio of the safest holdings with the highest returns.
The $100,000 will be divided between quality growth, momentum growth and dividend income.
Diversification reduces unsystematic risk.
Each holding will have a weighted percentage based on the criteria set forth for the given investment objective.
Each objective investment is comprised of 4 to 6 stocks and 1 mutual fund.
Methodology
Look for stocks & MFs with lowest risk. For MFs, 10 Year Return will be a large benchmark.
For Quality growth emphasis laid on Cash Flows (Type 0 & 1)
EPS (Type 0 & 1)
For Momentum growth emphasis laid on Timeliness (Type 1) Stars (*****)
For Dividend growth emphasis laid on DPS (Type 0 & 1) DPS Compound >11%
Percentage Allocations
Quality Growth Criteria
1) CF Type 0 or 12) EPS Type 0 or 13) VL Safety: 14) Beta < .765) VL Financial Strength: A+ or A++6) S&P Quality: A-7) Choose best CF & EPS per industry
Quality growth stocks
Industry NAME TICKER CF TYPE EPS TYPE SAFETY BETAFin.
Strength Quality
Medical Supplies
Becton, D'son BDX 0 0 1 0.65 A++ A
Medical Supplies
Johnson & Johnson JNJ 1 1 1 0.55 A++ A+
Medical Supplies
Medtronic, Inc. MDT 0 0 1 0.65 A++ A-
Pharm. Services Walgreen WAG 1 1 1 0.75 A+ A+
Household Products Industry
Proctor & Gamble PG 1 0 1 0.55 A++ A+
Drug Industry
Abbott Labs ABT 0 0 1 0.6 A++ A-
Retail Store
Wal-Mart Stores WMT 0 0 1 0.65 A++ A+
Industry Name Ticker CF Compound
EPS Compound
Medical Supplies Becton, D'son BDX 10.98% 13.14%
Medical Supplies Johnson & Johnson JNJ 12.06% 12.51%
Medical Supplies Medtronic, Inc. MDT 16.78% 17.27%
Quality growth
Quality Growth Mutual Fund
TickerOverall Rank
Overall Risk
1 yearRetur
n
3 yearReturn
5 yearReturn
10 yearReturn NAV
Compound
OAKBX1 1
-14.9 3.1 6.2 9.7 6.49%
MBLOX1 1
-24.6 1.9 6.2 8.4 0.56%
MQIFX1 1
-25.6 -1.5 4.4 7.1 -0.15%
JABLX1 1
-20.2 1.5 4 5.6 4.30%
JABAX1 1
-19.3 1.6 4 5.1 3.17%
WEBAX1 1
-19.7 1.6 4.8 4.7 0.45%
VWELX1 1
-25 -0.6 3.7 4.6 -0.04%
TWSMX1 1
-26.4 -0.7 2.8 4.3 -0.14%
BTBFX1 1
-18.8 1.4 3.1 3.4 2.64%
WMBLX1 1
-21.8 -0.9 0.7 1.6 -1.70%
FVALX1 1
0.4 -0.5 4.6 1.6 -0.04%
Industry breakdown for quality growth
Momentum Growth Criteria
1) Timeliness: 12) Stars: 53) Beta < .764) S&P Stars: B+
Momentum Growth Mutual Fund
BLACKROCK GLOBAL RESOURCES: SSGRX
Selected MF with highest 10-Year Return and highest price compound.
10 Year Return: 25.5%Price Compound: 15.09%
Dividend Income Criteria
1) DPS Type: 0 or 12) DPS Compound > 11%3) Safety: 14) Beta < .865) S&P Quality: A-6) Select stocks with highest div yield
Dividend Income Mutual Fund
FIDELITY CANADA FUND: FICDX
Ticker Overall Rank 10 Year Return
DPS Compound
PNAAX 3 12.8 14.78%
AMSTX 3 0.2 19.48%
JAOSX 2 12.7 17.80%
FICDX 1 19.1 13.18%
FSLBX 4 0.075 14.01%
VHGEX 3 11.6 14.99%
PEQUIX 3 7 13.74%
NIVAX 3 11.9 14.40%
NIVLX 3 12.6 38.34%
Allocation Percentages for Quality Growth
Ticker CF Compound EPS Compound 10 Year Return % Allocation
MDT 16.78% 17.27% - 0.25
WAG 14.17% 14.05% - 0.2
WMT 13.85% 12.99% - 0.2
PG 9.73% 11.14% - 0.15
ABT 9.62% 9.54% - 0.1
OAKBX (MF) - - 9.7% 0.1
For the stocks, the allocations are based on the CF & EPS Compounds.
For OAKBX, we looked at 10 Year Return.
Quality Growth Results
Ticker Price / Share % Allocation Total price of investment
Number of shares
MDT $29.59 0.25 $10,000 338
WAG $23.86 0.2 $8,000 335
WMT $49.24 0.2 $8,000 162
PG $31.06 0.15 $6,000 194
ABT $47.34 0.1 $4,000 84
OAKBX $27.17 0.1 $4,000 148
TOTALS: 1.00 $40,000
Quality growth investment: 40% of $100,000
Allocation Percentages for Momentum Growth
Ticker Price Compound 10 Year Return % Allocation
SSGRX (MF) - 25.5% .4
CAI 20.98% - 0.3
BCR 11.35% - 0.1
FDO 9.34% - 0.1
MCD 9.27% - 0.1
For SSGRX, we look at 10 Year Return, based on this high return, we give this fund the most weight in this investment objective.
For stocks, CAI’s price compound is much greater than the others, so it has a greater weight.
Momentum Growth Results
Ticker Price / Share % Allocation Total price of Investment
Number of shares
SSGRX $63.50 0.4 $14,000.00 221
CAI $42.77 0.3 $10,500.00 246
BCR $80.26 0.1 $3,500.00 43
FDO $27.44 0.1 $3,500.00 127
MCD $52.25 0.1 $3,500.00 67
TOTALS: 1.0 $35,000
Momentum growth investment: 35% of $100,000.
Allocation Percentage for Dividend Income
Ticker Dividend Yield 10 Year Return % allocation
FICDX (MF) - 19.1% 0.35
AJG 8.32% - 0.20
SYY 4.28% - 0.15
JNJ 3.86% - 0.15
PEP 3.53% - 0.05
PG 3.45% - 0.05
GD 3.40% - 0.05
FICDX is allocated the largest percentage based on the 10 Year Return.
The stocks are allocated based on the Dividend Yield.
Dividend Income Results
Ticker Price / Share % allocation Total price of Investment
Number of shares
FICDX $61.63 0.35 $8,750 142
AJG $15.87 0.20 $5,000 315
SYY $21.50 0.15 $3,750 175
JNJ $50.00 0.15 $3,750 76
PEP $48.14 0.05 $1,250 25
PG $48.17 0.05 $1,250 26
GD $43.82 0.05 $1,250 28
TOTALS: 1.0 $25,000
Dividend growth investment: 25% of $100,000