The MHP (Magic Hat Portfolio) has taken a dive over the last month, and I thoroughly expected it to have under-performed the indices. To my surprise, it has actually done relatively well over the short term: 1-week, 1-, 3- and 6- months.
SOM is due for ejection from the protfolio this month, but I have decided to be lazy and keep it in, despite it not passing the Greenblatt Screen. However, it does have a Magic Formula Score of A+, a PE less than 12, a yield above 5%, and a Stockopedia StockRank of 94.
That will do for me.
The support level for the indices seems to have held, so I would expect a quick recovery, at least in the short-term. Valuation levels seem reasonable, so I am actually sanguine about the state of the market. I am, of course, disappointed that I am nursing a loss.
No-one knows what the future will bring, and for all anyone knows we still have further substantial falls on the cards. In my view, that’s not the way to bet, though.
Stay safe out there.