Investment Universe Break-Down
Value, Growth, yield, Portfolio Strategy
Seeking Alpha Analyst Since 2018
Williams Market Analytics, LLC is a quantitative research boutique offering insightful, actionable analysis of financial markets. The firm also runs systematic, absolute return allocation strategies using quantitative models and a fundamental company ranking methodology. Our strategists have a combined 60 years of market experience with one PhD in finance, two MBAs, and the CFA charter. As authors of WMA Investments and Monitors, a premium subscription service at Seeking Alpha, our objective is to bring investors timely investment ideas and decision-support tools to aid readers in building their own long-term portfolios. The service includes real-time access to several actively managed strategy portfolios, access to our Fundamental Allocation Model, and our quantitative Daily Trading Models. .
Summary
- The statistical break-down of our global investment universe.
- Equal-weight holdings, dynamically-weight industry allocations.
We have finished cleaning our new investment universe. We have the 4562 most investable stocks (visibility with analyst coverage, liquidity of shares, accessibility on our Interactive Brokers exchanges). Here is the break-down:
| Sector | Industry Group | #Stocks | Weight |
| Energy | 200 | 4.4% | |
| Materials | 339 | 7.4% | |
| Industrials | 675 | 14.8% | |
| Capital Goods | 417 | 9.1% | |
| Cml & Prof Srv | 114 | 2.5% | |
| Transportation | 144 | 3.2% | |
| Consumer Discretionary | 544 | 11.9% | |
| Autos & Comp | 92 | 2.0% | |
| Consr Drbl & Aprl | 137 | 3.0% | |
| Consr Srv | 129 | 2.8% | |
| Retailing | 186 | 4.1% | |
| Staples | 245 | 5.4% | |
| Health Care | 658 | 14.4% | |
| Hlth Care Eqp & Srv | 220 | 4.8% | |
| Pharma & Biotech | 438 | 9.6% | |
| Financials | 663 | 14.5% | |
| Banks | 298 | 6.5% | |
| Div Financials | 224 | 4.9% | |
| Insurance | 141 | 3.1% | |
| Technology | 544 | 11.9% | |
| Semiconductors | 102 | 2.2% | |
| Software | 302 | 6.6% | |
| Tech Hrdwr & Eqp | 140 | 3.1% | |
| Utilities | 166 | 3.6% | |
| Real Estate | 287 | 6.3% | |
| Communication Services | 241 | 5.3% | |
| Telecom | 82 | 1.8% | |
| Media & Entmt | 159 | 3.5% | |
| Total | 4'562 | 100.0% | |
While we equal-weight the individual names in our QES portfolio, we will not equal-weight the Industry Groups. Our sector/industry selection will come from the stocks that our model is proposing, a respect of country and sector diversification, as well as consideration for what the macro backdrop dictates. The percentages shown above are in no way benchmarks (and only represent OUR sectional of the most investable mid and large cap companies in the world), but if we stray from these weights, it will be a conscious decision on our part.
We'll get the WMA Fundamental Allocation Model updated shortly. Our aim is to provide ourselves and our readers with a "Focus List" of "go-to stocks" to use when the WMA Trading Model says an high percentage entry point is likely. We will again fundamentally rank by Growth, Value and Yield across the above 22 Industry Groups.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.