I have been focusing much more these days in restructuring my portfolio and very soon will share the updated holdings. Trimmed the portfolio quite a bit and added / increased the holdings in few conviction stocks which are better valued in my view.
One thing which I wanted to share with the group is the Checklist that I have created recently. The stocks that I will think to invest in must fare well as per this Checklist before I dig deep into financials, technical (this has become a key consideration for me these days) and quality of business. If the company scores poorly under this checklist, more often I don’t proceed further. These are all fundamental related aspects. Having said this, there are a few stocks that I bought recently just based on conviction or better technical aspects, so it’s not a hard barrier for me, rather a soft gate criteria.
Here is a brief description of the Checklist. This is WIP and I may tweak this a little or more or add few more parameters in future. There are total 33 parameters as of now and I score each one of them equally to get a final score. If the score is below 20, I normally don’t proceed further as I mentioned above. Having said this, if the score is poor under DCF valuations and overall score is still more than 20, I try to avoid such companies.
Views are appreciated! Thanks in advance!
Cheers!
AJ
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