your
stock
selection guide
Welcome to the frugal investor
Affordable Equities Analysis
Our Goal: Beat the S&P 500 Index on a month to month basis
About us
investing to beat the s&p 500 index and build wealth
We provide a monthly emailed newsletter subscription with buy, hold and sell analysis. All stocks are members of the S&P 500 Index.
Start with a FREE TRIAL. Follow the frugal investor on X: @IndexChallenge
Our mission is to provide innovative yet simple, data-driven investment analytics. We watch the markets for you.
Our values
keep it simple
We would love the simplicity of buy & hold with no stock trading needed at all.Unfortunately the real world is always changing and adjustments are needed. Once per month we run a new analysis to identify the best of the index (typically 10 stocks though varies between 5 and 20).
Our services
the frugal investor newsletter service
subscription options
All subscriptions are delivered monthly by email. To order contact us at: FrugalInvestorNewsletter@gmail.com
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financial guidance
Compounding Counts
The savings / bond example
Consider a 10 year period from 2010 to 2020: A fixed income investment yielding 5%, compunded annually, increases a $10,000 investment to $16,288.
the s&p 500 index example
Consider a 10 year period from 2010 to 2020: $10,000 invested in the S&P 500 Index increased to $28,792.
the frugal investor example
A modest gain, compounded over time results in a signficant investment increase. Consider a 10 year period from 2010 to 2020: $10,000 invested that is able to beat the S&P 500 Index by just 1% per quarter results in $42,464.
Preservation of Capital
Stock markets go down. Sometimes that truth is forgotten by investors. None of us can change this reality and it can be a sudden unexpected event. When the tide goes down all boats are lower.
When the price of fuel goes down the buyers of fuel are happy to pay less. So buyers of stocks can be happy about a lower cost opportunity while those fully invested and holding will fret about a down stock market.
We take comfort in focusing only on S&P 500 stocks. These are well established, large, global, professionally managed companies that are most likely to survive, and even benefit from stock market turbulence.
Our Method
We are rooted in database analytics and use statistically based screening.
For every buyer there is a seller. For every analyst seen on television there is another with a differing opinion.
We believe in the Efficient Market Theory. This theory is that the free marketplace of ideas results in the correct price point. But that price point is constantly changing as buyers & sellers engage with their changing viewpoints.
We let the overall market itself signal which stocks to buy, sell, or hold.