Just a quick update to say that I’ve reached the twelve-month mark for my 2nd experimental Dogs of the FTSE portfolio.
So how did the mutts perform with the markets going all pear-shaped towards the back-end of last year?
As a reminder, here’s the Dogs of the FTSE strategy:
- Choose the ten FTSE 100 shares with the highest yield (subject to my criteria*)
- Invest equal amounts in all ten shares
- Hold for a year (give or take a week)
- At the end of the year, sell the ones no longer in the top ten, replace with new shares with highest yield
- Repeat from step 3
[*criteria being that shares already in my portfolio are not included, nor any where a dividend cut has been announced]
Here’s how the 2018 portfolio looked after a year (as at 11th Feb 2019):
A very decent 8.77% gain, but if you include dividends, this becomes a mighty 16% gain for the entire portfolio! Nice!
Over this same period, the FTSE 100 Total Return was minus 2.02% so woo hoo, the Dogs romped home this year! 🙂
Ok, so most of the gains were from just one stock (Evraz) but with some other gains (eg National Grid and United Utilities), the small losses made little impact on the portfolio.
I do intend to run a 2019 portfolio, or rather a 2019/20 portfolio but there will be a slight delay, because I’m going to wait til next tax year as I plan to use a different ISA account for this experiment.
So for now, I will just hang onto all the Dogs for a while longer and sell/buy when I am able to.
The Dogs will return in April!