FA or TA or Both? Who will really win? Case Study

"However beautiful the strategy, you should occasionally look at the results." - Winston Churchill


"When the tide comes back, you will soon find out not all boats rise high." - CreateWealth8888

I keep hearing people debating on FA, TA or combined FA and TA and who will finally win the race?

Let us watch an amazing race in 2010 ...

Who Will Really Win?

On left    : Mr Tortosie - Strongest FA that I can find.

On right   : Mr Hare      - TA the Chartist  .................

Mr Tortoise sold EZRA @ $2.05 and Swiber @ $95.5 to Mr Hare and bought MTQ @ $0.685 and GRP @ $0.20

Result of 1st Race: 8 Jan 2010

EZRA: Closing @ $2.36, + 15.1% to Sold Price vs GRP: Closing @ $0.22, + 10.0% to Purchase Price

Swiber: Closing @ $1.18, + 23.6% to Sold Price vs MTQ: Closing @ $0.74, +8.0% to Purchase Price

To be fair as Mr Tortoise is a high dividend yield player. No dividend No Play. Ok lo, let us add 25% entitlement of the total 10% dividend yield at each race.

So we adjust MTQ and GRP for 25% share of annual dividend yield of 10%:

EZRA: Closing @ $2.36, + 15.1% to Sold Price vs GRP: Closing @ $0.22, + 12.5% to Purchase Price

Swiber: Closing @ $1.18, + 23.6% to Sold Price vs MTQ: Closing @ $0.74, +10.5% to Purchase Price

Race 2 Re-match starts on Monday, 11 Jan 2010 ....

Place your bet, who win Race 2?