Veda Financial

Guru Value Strategy



  • Strategy Stocks
Value and Growth are joined at the hip – Warren Buffett

The goal of the Guru Value Growth strategy is to achieve consistent returns, exceeding market performance in up markets and limiting losses in down markets. The strategy is to select stocks that have strong fundamentals with durable competitive advantages, and enter into positions when the markets provide an opportunity to acquire at favorable prices. Additionally, the equity should have strong growth prospects and outlook for increasing shareholder value at the current time or in the near term. The overall philosophy is to buy stocks and hold them over a period of time allowing the stocks to reflect their true value potential.
1) Further select stocks based upon value and growth using a 31-point checklist derived from 129 parameters

2) Narrow down to stocks that are trading for favorable prices compared to valuation, using fundamental analysis

3) Pick names that have immediate catalysts for growth and price appreciation

4) Purchase stock when pricing is favorable
The investment methodology is based upon a bottom up rigorous fundamental analysis plus a top down understanding of the macro factors and market dynamics. While we pick companies for investment based upon strong fundamentals, the timing of the investment (or more importantly the exit) can depend upon the overall dynamics of the sector. For example, if we identify a solid company whose profits are strongly connected to a particular commodity which currently has weak demand or excess supply, we will wait to see strength or upwards pricing pressure before investing.
The portfolio will generally consist of 10-20 long equity positions in stocks that have strong prospects for growth, bought at a good value.
Our investment philosophy is geared towards the long term. However, we have a strict sell discipline that includes the follows:
Sell stock when a better opportunity comes along
Sell stock if a predetermined loss level is hit
Even when fundamentals appear perfect, it is possible for stocks to languish for an extended period of time for reasons that are not obvious. We recognize that it is never possible to know everything about a particular company and it might be necessary to sell a position to protect the investment and deploy the capital in a better opportunity.
Changes are made to the portfolio as needed with the absolute goal of capital protection and enhancement.

Portfolio Manager performance

0.3%

Last 30 days

30D

4.8%

Last 90 days

90D

16.3%

Last 365 days

365D

Quarterly vs S&P500

Quarterly vs S&P500

Risk score

  • 6.4%

    Best quarter

  • -1.9%

    Worst quarter

    • 1.5% fee
    • $10,000 min
  • Required: Margin account

Portfolio Manager performance graph

All performance information on this page is based on the performance of the Portfolio Manager’s account. Client performance may differ. Client account performance is displayed on the client dashboard.

Performance Portfolio inception August 31, 2015

as of August 16, 2017 Manager (net of fees ) S&P 500
Last 30 days 0.3% 0.4%
Last 90 days 4.8% 4.3%
Last 365 Days 16.3% 13.3%
Since inception (Annualized) 6.1% 12.1%
2017 (YTD) 7.3% 10.2%
2016 11.0% 9.5%

Risk metrics Last 365 days

as of August 16, 2017 Manager (net of fees ) S&P 500
Volatility 10.0% 8.1%
Sharpe Ratio 1.53 1.51
Sortino Ratio 2.32 2.04
Maximum Drawdown -5.5% -4.7%
Value-at-risk (95%, 1 week) -2.3% -1.9%
vs. S&P 500
Information Ratio 0.59
Alpha 2.0%
Beta 1.06
R-Squared 0.74

Exposure

29.8%
26.1%
21.4%
14.7%
7.0%
  • Consumer, Cyclical
  • Financial
  • Equity Fund
  • Communications
  • Technology

Top 5 securities

21.4%
15.9%
14.7%
12.6%
10.2%
View all

Latest transactions Average trades per month 0.9

Executed Symbol Security Type Price
July 27, 2017 AAPL Apple Inc Buy $149.92
July 27, 2017 GT Goodyear Tire & Rubber Co/The Sell $35.70
July 26, 2017 TSLA Tesla Inc Buy $343.99
June 05, 2017 PSX Phillips 66 Sell $76.19
April 07, 2017 ROST Ross Stores Inc Buy $63.24
April 07, 2017 AER AerCap Holdings NV Sell $43.44
February 14, 2017 AER AerCap Holdings NV Buy $46.44
February 14, 2017 SPY SPDR S&P500 ETF Trust Sell $232.55
View all

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Important Information

  1. Past performance is no guarantee of future results, and all investments, including those in this portfolio, involve the risk of loss, including loss of principal and a reduction in earnings.  
  2. All performance information on this page is based on the performance of the Portfolio Manager’s account, using the manager’s own funds. Portfolio Manager’s pre-IB Asset Management performance information may include performance of non-IB Asset Management client accounts. Performance of the Portfolio Manager's account is calculated by IB Asset Management on a daily time-weighted basis, including cash, dividends and earnings distributions and reflects the deduction of broker commissions. Manager returns include trades and positions that fail IB Asset Management's trading rules, as a result, actual client returns will differ. IB Asset Management advisory fees are simulated and applied retroactively to present the portfolio return "net-of-fees".
  3. None of the performance information displayed on this page is based on the actual performance of any IB Asset Management client account investing in this portfolio. The performance in an IB Asset Management client account invested in this portfolio may differ (i.e., be lower or higher) from the Portfolio Manager’s account performance based on any trading restrictions imposed by the client (resulting in different account holdings), time of initial investment, amount of investment, frequency and size of cash flows in and out of the client account, applicable brokerage commissions, and different corporate actions. Clients investing in this portfolio may view the actual performance of their investment in this portfolio by logging into their IB Asset Management account and reviewing their customized dashboard.
  4. All graph data is as of the end of day for the referenced period, unless otherwise specified. The investment minimum is the minimum investment required to follow a particular portfolio. The minimum amount is determined by IB Asset Management, based on the characteristics of the underlying portfolio. It should not be considered as specific investment advice for your investment situation.
  5. The performance charts are provided for informational purposes only, and should not be used as the basis for making an investment decision. We rely on mathematical formulas, computer programs, and pricing information from third-party vendors to provide these returns. Neither IB Asset Management nor any of its data or content providers shall be liable for any errors in this information or any actions taken by you in reliance upon this information.
  6. Benchmark returns displayed have been calculated by IB Asset Management using daily benchmark prices and do not include dividend income. More information here. For certain portfolios IB Asset Management uses an index as a benchmark, while for others it uses an investable exchange traded fund (ETF) as a benchmark. Index returns do not reflect the deduction of any management fees, transaction costs or expenses. Individuals cannot invest directly in an index. Investable ETF returns reflect the deduction of (i.e., are net of) management fees, transaction costs and expenses.
  7. All Portfolio Manager information including personal data, profiles, strategies, monthly investment reports, and historical results outside of IB Asset Management has been provided by the Portfolio Manager. IB Asset Management makes no representation or warranty of its accuracy, completeness or relevance and it does not represent the opinions of IB Asset Management. Transaction history of Portfolio Managers is available upon request. Portfolio classifications are provided by IB Asset Management, and are intended to serve as a general guide.
  8. Not all transactions listed will appear in accounts due to IB Asset Management's trading rules and individual client constraints. Eligibility of these securities is monitored periodically, and may change over time. Actual client investment holdings may vary.
  9. The Portfolio Manager could use short selling to manage this portfolio. Short selling is more complex than simply owning securities, involves a high degree of risk, is highly speculative, and is not suitable for all investors. The risk of loss associated with short selling is virtually unlimited. Short selling may also involve additional expenses and risks, including hard-to-borrow stock charges and buy-in risk. You should only select a portfolio using short selling if you are comfortable with the level of risk involved in short selling.
  10. The Portfolio Manager could use borrowed funds or leverage to fund investments in this portfolio. Leverage indicates the level of margin utilized and is calculated by dividing gross exposure by portfolio net liquidation value. Leverage involves a high degree of risk, is highly speculative, and is not suitable for all investors. Leverage increases both the amount you may lose and the amount you may make in a portfolio, leading to higher returns in the case of favorable market movements but also larger losses under adverse market conditions. You may also incur additional expenses associated with borrowing funds. You should only select a portfolio using leverage if you are comfortable with the level of risk involved in using leverage.