The
Sharechat Growth Index is going well with the index up 4,6% over the last
two weeks. The NZSE 40 (both capital and gross) up 2.5%. I hope you all
are enjoying watching the progress.
In a moment of boredom (again
in the Qantas Club Lounge) I thought maybe I could use the same methodology
on the brokers tips (as published in the Herald and taken from Warner's
post earlier in January) and create a Brokers Tip Index..
Mikes 'Beat the Brokers'
competition implies that we take some small satisfaction in doing just
that...........
The brokers tips were more
widespread than those of the combined wisdom of Sharechat contributors.
Therefore the brokers portfolio needs to include 7 stocks to give a better
representation of their popular stocks in the index...
These are FFS, WHS, SKY,
CEN, TEL, FLB and AIRVA.
As with the Sharechat Growth
Index I have weighted the portfolio on the basis of the number of
selections each stock received. In the portfolio for example FFS and WHS
have a 19% weighting. being selected 5 times out of the total of the 26
times these seven stocks
were selected. This weighted portfolio therefore represents the combined
wisdom of the participating brokers.
Interesting result after
2 weeks (12/1 to 26/1)
Sharechat Growth Index
UP 4.6%
NZSE40
UP 2.5%
Brokers Tips Index
DOWN 0.1%
The Brokers are ahead with
SKY, CEN and TEL but down with FFS, WHS and FLB. With WHS and FFS
being the most popular and heaviest weighted selections it's just as well
I put 7 stocks in their Index.
To date the combined wisdom
of Sharechat contributors is beating the combined wisdom of brokers - and
the efficient market. .
No bother to keep reporting
progess if contributors think worth while Peter
See IRG research reports
