Matt Willson's  Instablog

Matt Willson
Send Message
Founder of Author of Pro-Folio newsletter - Former Series 7, 66, and 31 licensed financial advisor Former private equity analyst MBA in corporate finance from University of Texas (with honors)
My company:
Grin Press, Inc
My blog:
  • Starting an Evaluation of 1 comment
    Feb 7, 2011 10:58 PM | about stocks: CELL, UFS, POL, KLIC, CI, FLEX, ENTG, ART, ANN is a relatively new web site (copyright 2010) that claims to use a 20-dimension quantitative model to recommend individual company stocks to buy (and when to sell those that have been purchased). It costs $99/mo or $49/mo depending on which plan you choose.About Quantzilla

    Quantzilla has two models, "Pro" which maintains a portfolio of 10 stocks (equally weighted) and makes weekly recommendations to buy and sell; and "Basic" which maintains a portfolio of 15 stocks and makes monthly recommendations. 
    When backtesting their quantitative approach over the period 2001-2010, Quantzilla claims that their Pro model has generated average annual returns north of 60%, and their Basic model has generated average returns north of 20%. Frankly, these returns are truly mind-boggling if they are in fact accurate.
    My Evalation Portfolio
    So, I opened a free trial subscription and have decided to do my own evaluation for the education (and perhaps amusement) of my readers. I have devoted $10,000 of my own portfolio to the weekly Quantzilla Pro model, and I will share with you in future articles how it goes.
    Quantzilla's Claim
    The following chart outlines what Quantzilla claims to have achieved over 10 years of backtesting:

    Value of $100k investment since 3-31-01*
    Total Market Value $10,536,618.00
    Number of Positions 10
    Total Return 10,416.35%
    Benchmark Return (S&P 500) 9.75%
    Annualized Return 61.18%

    Annual Turnover 1864.32%
    Max Drawdown -61.96%
    Overall Winners (1408/2251) 62.44%
    Sharpe Ratio 1.39
    Correlation with S&P 500 0.77
    The Max Drawdown of 62% is a bit scary, but when your average annual returns are over 60%, maybe it is tolerable.
    Stay tuned to this channel, and I will provide monthly updates on how my Quantzilla Pro portfolio is holding up. 

    Disclosure: I am long ANN, ARW, AVT, CELL, ENTG, HS, POL, UFS.

    Additional disclosure: I have no relationship with or beneficial ownership of QTEK Inc, the operator of
Back To Matt Willson's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (1)
Track new comments
  • Alpha Dogg
    , contributor
    Comments (83) | Send Message
    How is the analysis coming? I have been considering the 30 day trial to check it out but thought you might be able to share first impressions after a month.
    20 Mar 2011, 06:56 PM Reply Like
Full index of posts »
Latest Followers

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.