On stock picking

**night** Fri Mar 04, 2005 10:12 pm

On stock picking
Blast,

Do you usually have a list of "candidates" on your watch list? So that when they become more attractive than the stock with least upside in the portfolio, you make the substitution?

How often do you scan the stock list to analyze the picks? I know careful picking of stock is extremely time consuming, just wonder how you do the time management. Thanks.

**blast_investor** Fri Mar 04, 2005 11:17 pm

You can read this article "3 Components Needed for Beating the Market":

http://www.blastinvest.com/article/01_04_2005.htm

This above 3 part is what I do for stock picking.

For watch list, I use all of stocks (more than 6 thousand stocks in USA) as my watch list for data mining, which is component 3 of the article.

**blast_investor** Fri Mar 04, 2005 11:26 pm

The data mining is usually weekly. Start with software scanning and data mining. I wrote myself BlastInvest in-house data-mining software for stock picking effort.

Once I have the leads from data-mining, I then go through the stock list, read 10Q, 10K, listen to conference calls, check companies' customers, talk to management, etc. Then do some value investing analysis, pro and con analysis.

Finally decide to buy or sell.

The rotating of portfolio is fairly similar to the concept in Hot List. Whenever I found a new pick, compare risk vs reward to the existing stock in Hot List, then sell the worst in the list and buy the new pick. Just rotate the money using value investing method.

**night** Fri Mar 04, 2005 11:43 pm

Thanks a bunch. This is very helpful.

**blast_investor** Fri Mar 04, 2005 11:57 pm

You are welcome.