Yield at a Reasonable Price

Implementing a systematic investment approach known as YARP involves analyzing seven years of dividend history to establish a yield ratio for stocks. The YARP ratio enables investors to determine whether a stock is cheap based on its yield historical range, thus allowing for informed decision-making. The investment strategy includes a diverse portfolio of 30 to 40 stocks that an investor intends to hold for at least a year, with dynamic position weightings that adapt to changes in stock performance, ex-dividend dates, and earnings announcements. This approach emphasizes risk management, as earnings can pose potential pitfalls. The YARP portfolio has demonstrated strong performance, showcasing a 7% increase over three and a half months, significantly outperforming the S&P 500 during market downturns.