Large Stocks Investing Strategy
We are creating a notional investment portfolio using an initial investment of $100,000. We use USD$ as most stock prices are available in USD$
We select weightings for our holdings based on Market Capitalisation and apply this to the portfolio value to give us a value for each holding and therefore an initial quantity of shares to purchase at the portfolio start date which is 01/01/2020.
This is a back testing portfolio to demonstrate how to create and operate a portfolio.
Large Stocks Portfolio – Selection
| Ticker | Company | Market Cap | EPS | P/E | Beta | Link |
|---|---|---|---|---|---|---|
| WMT | Walmart Inc | $773,845,703,686 | 2.41 | 40.21 | 0.69 | https://finance.yahoo.com/q?s=WMT |
| NFLX | Netflix Inc | $485,244,781,196 | 21.16 | 53.88 | 1.58 | https://finance.yahoo.com/q?s=NFLX |
| PM | Philip Morris International Inc | $264,140,930,149 | 4.87 | 34.87 | 0.50 | https://finance.yahoo.com/q?s=PM |
Large Stocks Portfolio – Holdings
| Ticker | Name | Sector | Weight | Portfolio Holding | No of Shares | Share Price at Portfolio Start 01/01/2020 |
|---|---|---|---|---|---|---|
| WMT | Walmart Inc | Consumer Defensive | 50.80% | $50,803 | 1,281 | $39.65 |
| NFLX | Netflix Inc | Communication Services | 31.86% | $31,856 | 97 | $329.81 |
| PM | Philip Morris International Inc | Consumer Defensive | 17.34% | $17,341 | 204 | $85.19 |
| 100.00% | $100,000 |
Large Stocks Portfolio – Individual Stock Performance Analysis
We have back-tested this portfolio to 01/01/2020 based on the current holding. We have not taken account of the inevitable rebalancing that would have taken place during our back-testing period. The objective of our back-testing is to establish the general effectiveness of the investment philosophy, the criteria used and the success and failure of individual holdings within the portfolio.
| Ticker | Stock | Return 2020 | Return 2021 | Return 2022 | Return 2023 | Return 2024 | Return 2025 | Return All | USD Return 2020 | USD Return 2021 | USD Return 2022 | USD Return 2023 | USD Return 2024 | USD Return 2025 | USD Return All |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| WMT | Walmart Inc | 21.16% | 0.45% | -2.45% | 13.34% | 95.31% | -227.82% | -100.00% | $10,749 | $231 | -$1,243 | $6,776 | $48,422 | -$115,738 | -$50,803 |
| NFLX | Netflix Inc | 64.65% | 18.79% | -93.65% | 58.46% | 123.15% | -271.40% | -100.00% | $20,595 | $5,986 | -$29,833 | $18,624 | $39,231 | -$86,458 | -$31,856 |
| PM | Philip Morris International Inc | -2.60% | 14.36% | 7.31% | -8.39% | 30.90% | -141.58% | -100.00% | -$452 | $2,491 | $1,267 | -$1,455 | $5,359 | -$24,551 | -$17,341 |
Large Stocks Portfolio – Summary Performance
This is the summary performance of our portfolio versus the S&P 500 Index for the last 6 months, the last 1 year, the last 2 years and since the portfolio back testing began on 01/01/2020.