Automatic Pilot Stock Portfolio
If you do not want to constantly monitor your long-term investment portfolio, a diverse portfolio of exchange-traded funds (ETFs) and a few high-quality, dividend-paying stocks might be you. Buy the investments when they are down in price but on the price upside and then hold them for the long run. Be sure to reinvest all dividends so you accumulate additional shares with no extra effort.
Once you make your selections, your portfolio is on automatic pilot. You do not need to check it daily or weekly, but be sure to review it every few months.
The following sample automatic pilot portfolio includes a diverse
mix of 13 domestic and global exchange
traded funds that track broad market averages. The gold and natural
resource ETFs broaden the diversity of the portfolio. The individual
stocks add the opportunity to outperform the broader market averages.
| Auto Pilot Stocks | ||||||||
Stock | Price Quote & Dividend | Interactive Price Chart | Comments | |||||
| SPDR 500 | Tracks S&P 500 |
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| PowerShares QQQ | Tracks Nasdaq 100 |
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| SPDR Utilities | Large electric and gas utilities - pays dividends |
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| PowerShares India Portfolio | India |
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| iShares FTSE/Xinhua China 25 Index Fund | China |
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| iShares GSCI Commodity-Indexed Trust | Natural Resources and commodities |
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| iShares MSCI EAFE Index Fund | Tracks MSCI EAFE Index (Europe, Australia and the Far East) |
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| PowerShares Dividend Achievers Portfolio | Dividend-paying stocks that comprise the Broad Dividend Achievers Index. |
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| streetTRACKS Gold Shares | Tracks gold |
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| 3M | Conglomerate |
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| Emerson Electric | Industrial Goods |
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| International Business Machines | Technology |
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| Procter & Gamble | Consumer Goods |
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To follow the day-to-day progress of the Auto Pilot Stocks portfolio, check out the returns table and chart below. Dollar values are computed using weekly closes for stocks from Yahoo! Finance. The 11 stocks included in the value computations are: SPY, QQQ, XLU, FXI, EFA, PFM, GLD, MMM, EMR, IBM and PG. The current value of the portfolio assumes that $909.09 was invested (total of $10,000) in each stock at its closing weekly price for the first week of January 2006. PIN and GSG were excluded from the chart computations because of insufficient price data.
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Auto Pilot Stocks - Return Results | |
| Portfolio: | Auto Pilot Stocks |
| Start date: | Jan-03-2006 |
| Start value: | $10,000 |
| End date: | May-23-2013 |
| End value: | $18,012 |
| Number prices | 386 |
| Minimum value occurred on Mar-02-2009 | $8,308 |
| Maximum value occurred on May-13-2013 | $18,211 |
| Total gain or loss (Start date to End date) | 80.12% |
| Annualized gain or loss (Start date to End date) | 8.25% |
| Sharpe Ratio | 0.74 |
| Total dollar value on End date of a $10,000 purchase made on Start date | $18,012 |
| Average percent return for all possible buy/sell combinations | 20.29% |
| Number returns | 74,305 |
| Number profitable returns (Winners) | 61,156 |
| Percent profitable returns | 82.30% |
| Number unprofitable returns (Losers) | 13,149 |
| Percent unprofitable returns | 17.70% |
| Winners to losers ratio | 4.65 |
Click chart to enlarge it. |
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