I created the 10 stocks for 10 years portfolio in April of 2005. The current marketocracy* calculated annualized rate or return (which excludes Tesco) is 4.2% (the S&P 500 annualized return for the period is 1.1%) – marketocracy subtracts the equivalent of 2% of assets annually to simulate management fees – as though the portfolio were a mutual fund – so without that (it is not like this portfolio takes much management), the return beats the S&P 500 annual return by about 5.1% (it would be a bit less with Tesco – maybe beating the S&P 500 by 4%).
The current stocks, in order of return:
|Stock||Current Return||% of sleep well portfolio now||% of the portfolio if I were buying today|
|Amazon – AMZN||241%||9%||8%|
|Google – GOOG||127%||16%||15%|
|PetroChina – PTR||80%||9%||8%|
|Templeton Dragon Fund – TDF||76%||10%||10%|
|Templeton Emerging Market Fund – EMF||41%||5%||6%|
|Cisco – CSCO||21%||7%||8%|
|Danaher – DHR||9%||9%||10%|
|Toyota – TM||-3%||8%||10%|
|Intel – INTC||-6%||5%||8%|
|Tesco – TSCDY||-9%**||0%*||10%|
|Pfizer – PFE||-42%||4%||8%|
The current marketocracy results can be seen on the Sleep Well marketocracy portfolio page.
Related: 12 Stocks for 10 Years – July 2009 Update – Retirement Savings Allocation for 2010 – Investing, My Thoughts at the End of 2009 – posts on stocks – investing books
At this point I am most positive on Google, Intel, Tesco, Danaher and Toyota. I am still not positive on Dell. I have not replaced it yet but may remove it in 2010 (as I mentioned in July 2009, I would again still not buy it today – therefore above I show 0% if buying today).
Since the March 2009 update the returns have been good, Amazon (total return was 91%, now is 241%), Google (was 49% now 127%), PetroChina (total return was 11% now is 80%) and Templeton Emerging Market Fund (was -25% now 41%).
In order to comply with the marketocracy diversification rules and deal with not being able to buy Tesco (in marketocracy) I own fairly small amounts of several other stocks in the portfolio (that are included in the marketocracy return): Target (TGT), Car Max (KMX), United Technologies (UTX), Euronet Services (EEFT), ATP Oil and Gas (ATPG) and USG.
* In order to track performance created a marketocracy portfolio but had to make some minor adjustments (and marketocracy doesn’t allow Tesco to be purchased, though it is easily available as an ADR to anyone in the USA to buy in real life – it is based in England).
** Tesco had a purchase price of $22.55 on Dec 11th 2006 and has paid approximately 40 cents a year in dividends. The current price is $18.72. The -9% return is just an estimate.