Our 2013 Buy List So Far

Here’s a look at how our Buy List and the S&P 500 have done year-to-date:

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We’re trying to beat the S&P 500 for the sixth year in a row. Unfortunately, we’re currently trailing the index. Through Tuesday, our Buy List is up 15.66% for the year while the S&P 500 is up 16.40% (not including dividends). I’m very competitive and I’m confident we’ll end on top once again.

The good news for us is that we’ve closed the gap considerably. At the start of the year, we charged out of the gate and ran more than 1.8% ahead of the index by January 24th. After that, the S&P 500 soared and the Buy List lagged. By April 23rd, we were more than 3.6% behind the S&P 500. The recent rally, however, has been very good for our Buy List.

I should take a step back and point out that our Buy List follows the S&P 500 pretty closely. When I talk about trailing the index by 3%, or 0.74% as we are now, that’s small potatoes compared with other portfolios, whether they be hedge funds or mutual funds. The daily changes between the Buy List and the S&P 500 have a correlation in excess of 92%. Goldman Sachs recently said that the average mutual fund is trailing the market by 10% this year.

Posted by on May 28th, 2013 at 6:46 pm


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.