Thread,
The following is version 1.0 of Paul Allen's Wired World
Portfolio.
techstocks.com
(You may have to sign in to see the values, shares, etc.)
Here's how I assigned the weightings.
After realizing that it did not make sense to assign
weightings based on mkt cap vs. overall mkt. cap (see
previous post), I decided to lump the stocks
into three buckets based on market cap. Relative to the
overall port, these are the small, mid, and large caps.
The three buckets are:
Small Cap: Less than $300M
Mid Cap: $300M to $1B
Large Cap: Greater than $1B
And here's how they fell in the buckets:
Stock MktCap Bucket
ARIS 19.8M Small
ASYM 53.5M Small
MCRE 146.6M Small
FATB 173.7M Small
ZANY 204.0M Small
TSCN 301.0M Mid
EGGS 363.0M Mid
NETP 474.4M Mid
HRBC 484.6M Mid
MCOM 530.5M Mid
VUSA 836.9M Mid
HLYW 887.8M Mid
BYND 994.2M Large
STMP 1.165B Large
ZD 1.522B Large
HSAC 1.588B Large
GNET 2.316B Large
CNET 3.548B Large
NPNT 4.587B Large
PCLN 15.869B Large
You'll notice that I counted BYND as Large, since is was so
close to $1B, and more importantly, it's model makes so
much sense in light of a Wired World.
Next, I wanted to assign weightings to the three buckets
based on their collective impact to influence Paul Allen's
vision of a wired world. I decide that the Large Cap
bucket would have the most influence by a good margin, and
as such assigned it a 60% weighting. The mid cap bucket
has a decent impact at 35%. And finally, the small cap
bucket I felt would have a minor impact, and consequently
I assigned it a 5% weighting. Given a $100,000 initial
investment, here's how the weightings played out:
Stock MktCap. Bucket Weight Value
ARIS 19.8M Small 1.00% $1,000.00
ASYM 53.5M Small 1.00% $1,000.00
MCRE 146.6M Small 1.00% $1,000.00
FATB 173.7M Small 1.00% $1,000.00
ZANY 204.0M Small 1.00% $1,000.00
TSCN 301.0M Mid 5.00% $5,000.00
EGGS 363.0M Mid 5.00% $5,000.00
NETP 474.4M Mid 5.00% $5,000.00
HRBC 484.6M Mid 5.00% $5,000.00
MCOM 530.5M Mid 5.00% $5,000.00
VUSA 836.9M Mid 5.00% $5,000.00
HLYW 887.8M Mid 5.00% $5,000.00
BYND 994.2M Large 7.50% $7,500.00
STMP 1.165B Large 7.50% $7,500.00
ZD 1.522B Large 7.50% $7,500.00
HSAC 1.588B Large 7.50% $7,500.00
GNET 2.316B Large 7.50% $7,500.00
CNET 3.548B Large 7.50% $7,500.00
NPNT 4.587B Large 7.50% $7,500.00
PCLN 15.869B Large 7.50% $7,500.00
Total $100,000
Next, I divided the Value by the share price to get the
number of shares to "buy" for each stock. I rounded to
a whole number because I wanted to make it realistic that
you had to buy whole shares instead of partial shares, i.e.
265 vs. 264.90 shares of VUSA. (I didn't want it to operate
like a mutual fund.)
The result is the port you see in the link above. Tell me
what you think!
Adam |
