Posts by Darryl H

Investoristics 3-Factor 10-Stock Portfolio Performance Tracker Performance (2001–2024) 3-Factor Portfolio Annualized Return: 15.3%  (See March 19, 2025 Strategy Article) S&P 500 Annualized Return: 8.47% Annual Performance (2025 and Beyond) (Updated Daily for Current Year) 2025: 5.69% (3-Factor Portfolio) | -4.81% (S&P 500)

A Superior Strategy for Retail and High-Net-Worth Investors For decades, investors have relied on the S&P 500 as a benchmark for market performance. While it has delivered solid long-term returns, it also comes with significant volatility and periods of underperformance. But what if there was an alternative—one that provides superior risk-adjusted returns, lower drawdowns, and…

In the world of investment, consistent outperformance with controlled risk is the holy grail. Investoristics’ 30-Stock Strategy, meticulously designed and rigorously backtested over 24 years, presents an exceptional opportunity for institutional investors, family offices, and high-net-worth individuals seeking market-beating returns while minimizing drawdowns. By carefully selecting 30 stocks from the S&P 500 using a refined…

Introduction At Investoristics, we recognize that backtesting is often met with skepticism, particularly when results indicate significant outperformance over historical periods. Critics argue that backtests are prone to overfitting, survivorship bias, and unrealistic assumptions. However, not all backtests are created equal. The rigor and methodology behind a strategy significantly influence how well it translates into…

Introduction Investors today face a fundamental challenge: how to achieve consistent, high returns while effectively managing risk. Many active strategies struggle to outperform passive benchmarks over time, and market volatility makes traditional approaches prone to deep drawdowns. However, a well-constructed quantitative model can offer an edge by systematically selecting stocks that balance value, growth, momentum,…

A four-factor investment model that incorporates value, growth, momentum, and quality can be particularly effective during inflationary times, especially when the POTUS insists on tariffs, which can introduce additional economic uncertainty and market volatility. This approach leverages the strengths of each factor to create a diversified and resilient equity portfolio, while quarterly rebalancing helps to…

The dot-com bubble is often described as a period of excessive speculation in internet-based companies, but a deeper analysis reveals that it was not just about overhyped tech stocks. Instead, the broader market conditions leading up to 2000 played a crucial role in setting the stage for the crash. The S&P 500 had delivered exceptionally…

Investing is a journey often characterized by market volatility, economic cycles, and emotional highs and lows. For investors seeking to build wealth, adopting a long-term perspective is essential. The benefits of focusing on the big picture rather than short-term fluctuations are well-documented, providing both psychological and financial advantages. A three-factor investment model—centered on value, growth,…

Reversion to the mean is a cornerstone of investment theory, reflecting the idea that over time, financial markets tend to revert to their long-term averages. While the concept is straightforward, its implications for investment decision-making are more nuanced, especially when considering the interplay between short-term and long-term performance metrics. Investors who focus solely on short-term…

In recent years, a notable trend has emerged among younger investors: an increasing reluctance to engage with the stock market. While this skepticism may be rooted in perceptions of risk, lack of excitement, or even disillusionment with traditional investment approaches, this demographic might be overlooking the potential benefits of a more tailored investment strategy. By…