I decided to look at all 54 long holdings by sector to see how it breaks out, obviously this includes all the small fry in the fund as well. A better treatment of this is a weighted average (by dollar) (since the top 10 holdings account for 1/3rd of the fund's dollars) but without any export function out of Marketocracy.com that would take a lot of time, so I will just do a pure basic listing.
I am not going to write each stock name out but will list their symbol and sector - we'll go from largest sector to smallest
Energy: 13 names (24.0%)
- Coal: BTU, CNX
- Oil Services: BTJ, CLB, FTI, NOV
- Deep Sea Oil Drillers: DO, GSF, PDE
- Solar: STP, TSL
- Refiners: FTO, WNR (currently very underweight this group as 'crack spread' margins are very low at this time)
- Commerce: CTRP (China travel booking), EDU (China education), GMKT (Korean auction), NIHD (Mexico business cell phone)
- Country indexes: EWH (Hong Kong), EWM (Malaysia), EWS (Signapore), IFN (India)
- Indian banks: HDB, IBN
- Homebuilder: HXM (Mexico)
- Consumer: AAPL
- Search/Advertising: GOOG
- Networking: BCSI, CIEN, JNPR, RVBD
- Chips: BRCM
- Storage: SNDK
- FWLT, JEC, KBR, MDR, PCR, SGR
- Aluminum/Chinese: ACH
- Stainless Steel/Titanium: ATI/TIE
- Copper/Gold: FCX
- Cable: BGC
- Asset Managers: BLK, DHIL
- Exchanges: CME, ICE
- Credit cards: MA
- CF, MOS, POT
- Footwear: CROX
- Sporting goods: UA
- Diesel/Emissions: CMI
So that should give a good idea of the fund strategy at least by number of issues - certainly dollar cost weighted would be more telling. At this point, most of these sectors have been run up quite a heavy amount since the August time frame so it's hard to throw a ton of new money at them, although I have been adding here and there either on pullbacks or new breakouts. I did sell out completely of two tech names these past few days: Baidu.com (BIDU) and Garmin (GRMN) and would like to get back into them but at lower valuations.
Going forward, I still hope for some 'medium' term pullback to add either to the list above or a few others. One sector I have been amiss not paying attention to is the dry bulk shipping names - they have had huge runs and while I still have reservations over how long the run can go (after all new ships can be build over time to bring up supply and if the global economy does slow the dayrates they charge would suffer) but on the other hand if one believes global trade in the next 5-15 years will continue to growth then there can be some case made for them on the long side as well. I will treat them as I do the refiners and coal stocks - while they have good long term stories they can ebb and flow in the near term more than other names.
I also have been looking at some other agricultural plays outside fertilizer i.e a Monsanto (MON), or CNH Global (CNH) on the equipment side. I also want exposure to Eastern Europe/Turkey and the Middle East petro dollars. I'd also like a lot more exposure to India but not many ADRs trade here in the US compared to the flood of Chinese companies listing here. India seems ignored to me, whereas the world focuses on China, China China...
Other than that, I keep reviewing the list and any new potential entrants and continue to avoid the US consumer (even Crocs is 50% overseas sales at this point). Most companies on the list has significant foreign exposure - now if we do have a global recession that would certainly change things up significantly but for now, we don't seem to be heading that way anytime soon. Ironically for once, it might be the global economy that helps keep the US economy from faltering too badly (versus vice versa).
Any comments on this group of stocks or other potential candidates are welcome...
Long just about all of it
