ADS is now "Bread"? Jim?

And your (mungo) screens usually add in a dash of growth, don’t they? Or maybe you tend to factor in growth and add a dash of momentum.

1 Like

And your (mungo) screens usually add in a dash of growth, don’t they? Or maybe you tend to factor in growth and add a dash of momentum.

Yup, emphasis on “dash”.
My personal rule of thumb is that it’s better to have separate growth screens and value screens, not mix them too much.

That being said, a little tiny bit of momentum in a growth screen, or vice versa, isn’t so bad.
In a value screen, maybe eliminate just a few stocks with really bad momentum.
In a growth screen, maybe make sure the picks at least have a sane balance sheet.

They’re like sugar and salt…a bit of mixing is OK.
A dessert like a cookie is frequently better with just a tiny pinch of salt.
A nice salty stir-fry is frequently improved with a tiny pinch of sugar.
But nobody wants to eat something half salt half sugar.

Jim

10 Likes