I thought I did worse this quarter, but I ended up trailing the S&P 500 by less than 50 basis points. That meant that I trailed the S&P 500 for the first year in eight by somewhat less than 1%. So goes the streak.
On the bright side, it happened in a period where growth was trouncing value, and large capitalization stocks were trouncing the small. My investing style is value-oriented, and all-cap, so I will always be smaller than the S&P. I did better than value indexes, and better than small caps. Is this examination of factors an excuse? I don’t know. The wind was at my back for the last seven years, and it is in my face now. What I do know is that I’ve had my share of bad decisions, and I will try to rectify them in 2008. The next reshaping is coming up soon, and I am gathering my tickers and industries.
But winning big and failing small should be good for anyone. With that, I wish you a Happy New Year. Let’s make some serious money in 2008, DV.