Author: Bob Freedland
Covestor model: Sustained Momentum
Disclosures: AAPL, AMZN, DIS, JCI, JWN, MORN, MSFT, PETM, VIVO, VRX, HOLX, CL, RMD, DLB, DLTR, MCD, AGN, ESL, CHD, HIBB
There were no transactions in the Sustained Momentum Model in the month of June.
The model did a fairly good job keeping up with S&P 500 index during the month.
The ten stocks in this model are: Apple (AAPL), Amazon (AMZN), Disney (DIS), Johnson Controls (JCI), Nordstrom (JWN), Morningstar (MORN), Microsoft (MSFT), PetSmart (PETM), Meridian Bioscience (VIVO), and Valeant Pharmaceuticals Intl (VRX).
Stocks included in this model have outperformed the other 42 stocks that are currently on my watch list.
To give you some perspective, the next ten stocks in that list that one could say are competing for inclusion include: Hologic (HOLX), Colgate (CL), ResMed (RMD), Dolby (DLB), Dollar Tree (DLTR), McDonald’s (MCD), Allergan (AGN), Esterline (ESL), Church & Dwight (CHD), and Hibbett (HIBB).
These are also great stocks but the goal of this portfolio is to concentrate on my ten top performers in this watch list.
As I look at my other two actively managed models, I find that I have many regrets about stocks sold, stocks that should have been bought, and generally wondering WHAT to do day-to-day.
I created this model to hopefully reduce trading activity and to allow me to hold on to the very strongest stocks that I am watching and owning without allowing me to sell a stock unless its price activity itself demands it.
As other stocks bubble to the surface, they will be purchased because they have done the hard work of performing better than a field of great stocks – not because of their sexiness or intrinsic glamor.
Time will tell how this portfolio performs.
But I am satisfied thus far with its results and look forward to monitoring its performance going forward.
