After the previous portfolio’s abysmal performance, I wasn’t sure how this current Dogs of the FTSE experimental portfolio would do, particularly with the continued situation around the world. This portfolio was created just after markets had crashed and had begun its recovery so timing was not favourable.
Long-Covid Dogs
So one year on and my 4th experimental portfolio hasn’t done too badly.
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 2020/21 portfolio looked as at 8th June 2021:
A so-so gain of 14.98%, but a respectable 21.78% if you include dividends paid out.
Over the same period, the FTSE 100 Total Return was 18.68%.
Anglo American was the outstanding performer, showing a gain of 66%+ over the year.
What Next?
It’s always been my intention to run this as a (minimum) 5-year experiment so the Dogs will be back for their fifth (and possibly last) outing very soon. I’ve not decided yet what I want to do afterwards.
So, some mutts will be kicked out and new ones brought in.
I’ll get this new portfolio set up soon, so will do an update in a couple of weeks.
Random Shares
My Random Share Portfolio is made up of free shares awarded to me whenever someone signs up to Freetrade* via my affiliate link, bagging us both a random free share (worth between £3 and £200) in the process.
One of the freebies I received recently
Here’s the full portfolio – it’s gotten a bit too big to do a full copy and paste.
Thanks to all who have signed up via my link – hope you all got a decent free share!
I’ve been selling the odd one, whenever any showed >40% gains.
Until next time – keep calm and carry on investing!
[*affiliate link]
Started to hate the managements of most big companies.Just read the book ‘Skin In The Game’ by Nicholas ‘Black Swan’ Taleb and been refining my investment search for managements who have their own money in their own companies and look to treat their customers,clients , employees and shareholders with respect.
Hi Simon
I’m surprised skin in the game isn’t deemed more important (it’s not the first thing I think of but now that I think of it, it makes sense!), but perhaps with
recent calls for new rules to force fund managers to say how much of their own money is invested in the funds and investment trusts they run, this kind of disclosure/information might become more prevalent and more in the public eye.