MagicDiligence

Buying a Buffett Portfolio

This is how I like to invest as well. I use the Magic Formula stock screen - the point of the strategy is to find good companies (high return on capital) at low prices (high earnings yield). Then check out the long term moat characteristics to make sure a stock is not a flash in the pan. You definitely have some excellent companies there, but a stock does not have to be owned by Berkshire to have these characteristics. Look at some of the smaller caps as well, even Buffett has said that these offer the greatest gains for the individual investor.

Steve
magicdiligence.com

8 Dow Stocks Likely To Outperform

Most of the comments here are typical emotionally driven investing, which has failed in the past and will continue to fail. Dogs of the Dow has been a successful strategy over long periods of time and will likely continue to be. Sure some of these may see dividend cuts (particularly financials), but over the long run the vast majority will maintain and even raise the dividend. Don't let a few months of macro concerns deter you from following strategies that are proven over long periods of time. Nobody can predict the overall economy, but it seems everyone thinks they can.

Steve
magicdiligence.com