Our goal in tracking the performance of the Focus List Stocks (Long) Model Portfolio is to show the return that a client would achieve with an equal-weighted investment in each stock on the day it was added to the Focus List. We will time-weight the contribution of each stock to the overall portfolio as well.
For example, since all the stocks in Figure 1 have been in the Model Portfolio since inception, their performance is weighted at 100% when calculating the portfolio’s return. When a new stock is added, its contribution will be adjusted according to how long it has been in the model portfolio. In other words, if a new stock has been in the portfolio for half the time of the other stocks, then it’s performance contribution will be 50% of the other stocks.
This portfolio is available to all members with a Pro or higher membership.