RETIRE RICH - OFWs deserve to retire rich

Saturday, December 25

Investment Ideas for 2022 - Dogs of PSEI I Part II



Here's the second part of the video I made talking about investment ideas that you add to your portfolio for 2022.

I also shared updates and information about the following:

  1. Investments ideas I added to build my portfolio over the span of almost 6 years investing in the Philippine stock market.
  2. Stocks Trading
  3. Dividend Play
  4. Marge
  5. Portfolio build-up and many more.
I'll be posting more videos about the Dogs of PSEI investment model.

Next up, I will provide the actual list of 30 stocks composing the PSEI and its actual 2020 closing price.

Why Invest in the top 10 PSEI worst-performing stocks in 2022?

Why Invest in the top 10 PSEI worst-performing stocks in 2022? Why not?

Merry Christmas and a happy new year mga Ka Retire Rich, thanks for coming back to this channel and if you are new to this channel consider subscribing dahil sa video na ito, I will share an investing idea with you.

But before that let's roll the intro para mag mukhang pro, kahit newbie.

Before ko share as inyo ang investment idea na to, disclaimer lang muna tayo. Ang investment idea na ito ay hindi ito galing sa akin ha. This is an adaptation sa The Dogs of DOW investment model.

Ang Dogs of Dow as per Investopedia is an investment strategy that attempts to beat the Dow Jones Industrial Average (DJIA) each year by leaning portfolios toward high-yield investments. The general concept is to allocate money to the 10 highest dividend-yielding, blue-chip stocks among the 30 components of the DJIA.

Ang investment idea naman na share ko sa inyo is investing to the top 10 worst-performing stocks ng PSEI. Una kong nabasa ang tungkol sa investment idea na to from MyTrade.

So bakit naman ang top 10 worst-performing stocks ang pipiliin? Ang assumption sa idea na to is that for sure hindi papayagan ng isang PSEI listed company na two years in a row na pangit ang kanilang performance. 

How to find out the Top 10 worst-performing stocks ng PSEI?

1. List down all the 30 stocks that composed the PSE index on an excel file.
2. Get the closing price of each PSEI stock from the last trading day of 2020.
3. Get the closing price of each PSEI stock from the last trading day of 2021.
4. Get the difference in the price. 2021 closing price minus the 2020 closing price.
5. Divide the difference against the 2020 closing price and multiply by 100 to get the percentage performance.
6. Sort out by percentage performance from smallest to biggest. The first 10 on the list will be your top 10 worst-performing stocks of PSEI.

You will invest an equal amount of money in each stock during the first trading week of January 2022. For example, if you allocate 50,000 pesos for this investment model, you need to at least equally invest 5000 pesos on each stock. 

I tested this investment model last January 2021 using a virtual portfolio at Investagrams. I used 50000 pesos virtual money and invested at least 5000 pesos in each stock. Let us see the performance compared to the index against the time I made this video.