(24-09-2014, 02:04 PM)opmi Wrote: [ -> ]Joel greenblatt got use magic formula in 80s meh? I thought he more special situation then. The magic formula track record from backtesting is it?
Well, as far as I know, both.
Greenblatt tried it out, according to his book. Of course they are people backtesting his magic formula as well, beyond 2009.
Special situation is the theme for his Gotham Capital fund, and his present key focus.
(24-09-2014, 11:01 AM)CityFarmer Wrote: [ -> ]I saw a advertisement in The Edge, by Teh Hooi Ling, from Aggregate Asset Management, for accredited and institutional investors.
The fund is one of the local ventures on quantitative approach, similar as Joel's magic formula. Base on my general exposure on quantitative approach, the expected return should be around 20%, includes fee.
I checked with the fund web site, www.aggregate.com.sg, the net NAV growth is approx 14% in 2013, with fee should be around 18%. I recalled from a previous interview of the fund founders, they intended to double the money in 5 years, net of fee. They had make it in 2013, and should be able to make it in 2014, base on the up-to-date performance.
Well, 2 years is a short time in value investing. We shall see...
Joel's 20 years (1988-2009) magic formula compounded growth rate was 24%, with total number of stock around 20-30 stocks. Aggregate Asset Management (AAM) has 200 stocks. Joel focused on US market, while AAM focused on 5 countries in the region. Both went for long-term approach, 3-5 years period.
Joel's info from this site (randomly by google) : http://www.oldschoolvalue.com/blog/inves...-investing
It may be a good topic for discussion, and I moved the thread to value investing sub-forum.
Thanks
For those interested, attached is the latest 6th quarterly Fund Manager's report from Aggregate and slides from a speech Teh Hooi Leng gave in June entitled "The 7 Myths and 8 Truths in Investing".
(24-09-2014, 03:34 PM)psslo Wrote: [ -> ]For those interested, attached is the latest 6th quarterly Fund Manager's report from Aggregate and slides from a speech Teh Hooi Leng gave in June entitled "The 7 Myths and 8 Truths in Investing".
From a start of S$15 mil, the AUM grew to around S$100 mil as of Jun 2014, 18 months later. What an achievement...
S$100 mil AUM, targeted above 10% return net of fees, thus targeted return is 12.5%. With a profit sharing of 20%, it gives an operating budget of > S$2.5 mil, if target met.
Teh Hooi Leng is 44 if I m not wrong...
thanks for the links, i felt it was a good share by him and his team.
(24-09-2014, 03:34 PM)psslo Wrote: [ -> ] (24-09-2014, 11:01 AM)CityFarmer Wrote: [ -> ]I saw a advertisement in The Edge, by Teh Hooi Ling, from Aggregate Asset Management, for accredited and institutional investors.
The fund is one of the local ventures on quantitative approach, similar as Joel's magic formula. Base on my general exposure on quantitative approach, the expected return should be around 20%, includes fee.
I checked with the fund web site, www.aggregate.com.sg, the net NAV growth is approx 14% in 2013, with fee should be around 18%. I recalled from a previous interview of the fund founders, they intended to double the money in 5 years, net of fee. They had make it in 2013, and should be able to make it in 2014, base on the up-to-date performance.
Well, 2 years is a short time in value investing. We shall see...
Joel's 20 years (1988-2009) magic formula compounded growth rate was 24%, with total number of stock around 20-30 stocks. Aggregate Asset Management (AAM) has 200 stocks. Joel focused on US market, while AAM focused on 5 countries in the region. Both went for long-term approach, 3-5 years period.
Joel's info from this site (randomly by google) : http://www.oldschoolvalue.com/blog/inves...-investing
It may be a good topic for discussion, and I moved the thread to value investing sub-forum.
Thanks
For those interested, attached is the latest 6th quarterly Fund Manager's report from Aggregate and slides from a speech Teh Hooi Leng gave in June entitled "The 7 Myths and 8 Truths in Investing".
Hi
How did you get the newsletter?
Thanks.
(24-09-2014, 03:34 PM)psslo Wrote: [ -> ]For those interested, attached is the latest 6th quarterly Fund Manager's report from Aggregate and slides from a speech Teh Hooi Leng gave in June entitled "The 7 Myths and 8 Truths in Investing".
http://www.valuebuddies.com/thread-3828-...l#pid95111
The first thing that caught my eyes was how come a 5% interest income yield couldn't preserve purchasing power if annual inflation was 2%? (page 9)
The interest income neighbour didn't compound but Amelie did?
(25-09-2014, 05:06 PM)specuvestor Wrote: [ -> ] (24-09-2014, 03:34 PM)psslo Wrote: [ -> ]For those interested, attached is the latest 6th quarterly Fund Manager's report from Aggregate and slides from a speech Teh Hooi Leng gave in June entitled "The 7 Myths and 8 Truths in Investing".
http://www.valuebuddies.com/thread-3828-...l#pid95111
The first thing that caught my eyes was how come a 5% interest income yield couldn't preserve purchasing power if annual inflation was 2%? (page 9)
The interest income neighbour didn't compound but Amelie did?
As I read it, both of the dividend and interest income aren't re-invested, thus non-compounded. The dividend increased due to share price increase with fixed dividend yield.
It is a comparison between cash and equity, rather than cash/equity vs inflation.
34X $4300= $146200 (I don't know why 34 and not 33)
Compounding effect for fixed income over long period is enormous... imagine if our CPF is not compounded.... (hope this chart doesn't fall into Roy Ngerng's hands)
Dividends last 12 months should be adjusted by inflation of 2% annual as well if that is the idea of using 5% interest rate for a "depreciated" fixed deposit capital
Not trying to nit pick but thought I'll state the obvious...... anyway an odd number like 33 or odd dates always make haters hate
My bad, I obviously didn't see the earlier slide which stated a 5% interest rate assumption.