“Unloved” Stock Portfolio gains 8%, beats PSEi which lost 4%

PinoyInvestor’s Special Reports cover our partner brokers’ expert analysis on a range of topics affecting the stock market. These may include economic updates, sector analyses, upcoming IPOs, and more! Learn how you can use this report in the PinoyInvestor guide.

 

Our partner stockbroker First Metro Securities, the brokerage arm of Metrobank, releases every week an exclusive set of four (4) stock picks model portfolios. These stock portfolios cater to various types of Filipino investors — ranging from those looking to invest in underrated companies to those wanting to buy only stable and dependable stocks.

Whatever type of stock investor you are, there surely is a model portfolio for you!  (You can view the latest and updated Stock Picks & Model Portfolio composition here.)

But are these stock portfolios able to deliver real profits?

The short answer: YES!

From January to March 2018, three of the four recommended portfolios outperformed the PSEi!

While the PSE index recorded a loss of 4.17%, our top Model Portfolio — interestingly called “Unloved” — surged almost 8%. This means if you invested in the PSEi from the start of the year, you’d have lost money but, if you followed the “Unloved” Model Portfolio, you’d beat the PSEi and gained 8% instead!

Check out the detailed performance report below.

 

Profit Performance of First Metro Securities’ Model Portfolios

1. Among the four suggested portfolios, the “Unloved” stock portfolio rose the most, up +7.98% from January to March 2018. That means if you invested P100,000 by following this portfolio, your money is now worth almost P108,000.00.

Not bad, considering that the benchmark PSE index actually lost 4% in the same period!

What’s the “Unloved” Model Portfolio? It is composed of stocks that could potentially generate high earnings but are currently underrated by the market. These stocks are characterized as having high Earnings per Share (EPS) growth and low Price-to-Earnings (P/E) ratio. (View the latest and updated Stock Picks & Model Portfolio here.)

2. Our other model portfolio, “Riding the Momentum” also was in positive territory, up +0.58% which may appear small but compared to the 4% loss of the PSEi, this is no doubt a lot better!

As a sneak peek, this is the current stock composition of the “Riding the Momentum” portfolio:

 

Model Portfolio: RIDING THE MOMENTUM

This model portfolio is comprised of well-established companies with sustained profitability and high earnings expectations. These stocks are characterized as having High Growth (EPS CAGR) and High Price-to-Earnings (P/E) ratio.

Riding the Momentum stocks
1. Wilcon Depot Inc. (WLCON)
2. Jollibee Foods Corp. (JFC)
3. Bloomberry Resorts Corp. (BLOOM)
4. International Container Terminal Services Inc. (ICT)
5. Ayala Land Inc. (ALI)
Removed from last week's list: None; No change in composition this week

* Please note that the stock composition may change every week. View the latest and updated Stock Picks & Model Portfolio here. Full access limited to Premium Access subscribers.

 

Our Partner Broker’s Recommendation

How to continue profiting using these set of recommended model portfolios by First Metro Securities?

Make sure you keep up with the rebalancing and revisions of these portfolios every week. To do this, always visit our Stock Picks & Model Portfolio section.

How to use the suggested Model Portfolios? Follow these simple steps.

– First, choose your preferred portfolio based on your investment goal and risk appetite. Whatever type of investor you may be, First Metro Securities has got the stock picks for you.

– Second, choose the stocks you like in each model portfolio and invest in them (or simply buy and follow the entire portfolio!)

– Finally, regularly monitor changes in the model portfolios every week to see which stocks have been removed or added.

That’s it!

Happy smart investing!

 

This report is prepared by PinoyInvestor’s partner broker below. Sign up to this stock broker to avail of their complete trading brokerage services:

First Metro Securities
First Metro Securities

First Metro Securities is one of PinoyInvestor’s partners in delivering superior and reliable stock research reports that help Filipino investors make smart stock investing decisions! Learn more about them here.