From Dr. Richard Smith, founder, TradeStops:
Last week we showed you the results of one of our first billionaire portfolios. In just 8 months’ time, we were able to double the performance of the S&P 500.
Our long-term backtesting using the billionaires’ stocks as the basis for our portfolios shows a similar result, outperforming the S&P 500 by more than 3-1.
Today, I want to show you some more research that we did when we limited the number of billionaires to just four. Not just any four billionaires, but four of the most successful investors in modern history.
The billionaires we included in our study were Warren Buffett, Carl Icahn, Seth Klarman, and David Einhorn.
These billionaires have their own methodologies for finding stocks. They all consider themselves to be “value” investors, but what they look for is completely different.
Warren Buffett looks for “intrinsic value” – the