Oregon Coast
One of the youngest Sector BPI portfolios is up for review this morning. Franklin is one of three Sector BPI portfolios managed here at ITA. All are excellent performers. Readers interested in Point and Figure (PnF) market movements will find two authors of interest. They are: Jeremy Du Plessis and Thomas J. Dorsey. Du Plessis has written The Definitive Guide to Point and Figure and it is the book for PnF information. I looked up the price of Du Plessis’ book on Amazon and it is currently as inexpensive as I’ve seen it in some time. Check the copyright to make sure you are received the most recent addition.
And now for the update of the Franklin. Look up Sector BPI using ChatGPT or search this blog for information as to how this useful investing model works. In addition, check out the Carson and McClintock, two other Sector BPI portfolios.
Franklin Security Holdings
Below are the current security holdings within the Franklin. Health is currently overbought, but I am holding only a single share of VHT so no action is necessary.
When excess cash becomes available I am building up shares in either SCHO or SCHD. SCHO is a short-term treasury and SCHD is a dividend grower.
Franklin Performance Data
Since 12/31/2021 the Franklin has outperformed all tracked benchmarks with exception of the S&P 500 (SPY). I use 12/31/2021 as the start or launch date as that is when the youngest portfolio I am tracking was launched. By using a common launch date I am able to compare performance among the 13 portfolio reported on here at ITA.
In the last screenshot I show how the Franklin performed since moving to the Sector BPI investing model back in early November of 2022.
Franklin Risk Ratios
Over the past year the Franklin is showing improvement in all four risk ratios. The slope of the Jensen Alpha is a high 0.24 value. However, it is trailing the May value. Thus far the Franklin is not a high risk portfolio.
Franklin Sector BPI Performance Since Inception
I switch the Franklin to the Sector BPI investing model on 1 November 2022. Since that time the Internal Rate of Return is 35.18% vs 21.54% for the S&P 500. Once I have five years of data I will feel more secure in touting this investing model. While I am not rooting for a recession, I would like to see how well the Sector BPI investing model performs during another major draw-down. The Franklin missed most of the poor performance of 2022. The BPI model should keep the Franklin out of major trouble, but I need to see the data to be sure.
The * symbol one sees in the data table indicates the security was not held for the entire IRR Period. This makes sense as I was buy and selling securities based on Bullish Percent Indicator data.
Comments are always welcome.
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