How to Use Our Strategies
Follow this simple 4-step process to replicate our backtested strategies and build your own portfolio
Step 1
Choose a Strategy
Start by selecting a strategy that aligns with your goals:
- Pre-built Templates - Magic Formula, Dividend Growth, Value Investing, and more
- Custom Strategy - Create your own using our screening filters
Each strategy shows historical performance so you can evaluate before proceeding.
Step 2
Review the Portfolio
Once you select a strategy, you'll see the current top-ranked stocks:
- Review the list of 20-30 companies that pass the strategy filters
- Understand the key metrics for each stock (P/E, ROE, Dividend Yield, etc.)
- Check the historical backtest performance
The portfolio is automatically updated based on the latest financial data.
Step 3
Allocate Equal Weight
The strategy allocates an equal amount to each stock from the list:
Example: $10,000 portfolio รท 20 stocks = $500 per stock
- Equal weighting ensures diversification
- No single stock dominates your returns
- Matches our backtest methodology exactly
Step 4
Rebalance Annually in April
Once a year in April, the portfolio is updated:
- Sell stocks that dropped off the list
- Buy new stocks that entered the list
- Rebalance existing positions to equal weight
Why April? Annual reports (10-K filings) are published 60-90 days after fiscal year end. Rebalancing in April ensures we only use publicly available data.