Important Site Update

The El1te Trader was set up in August 2012 with the primary purpose of providing in-depth research into companies listed on the London Stock Exchange and to track the performance of a carefully crafted site portfolio over time. Since that point the site has attracted around 700 email subscribers and the same number of twitter followers with well over 100 companies having been reviewed over the approximately two and a half year period.

Whilst providing the research, I have kept the site free for viewing with the objectives to expand my own knowledge, run a realistically achievable and successful portfolio and provide information that has hopefully assisted in learning about the stock market and analysing companies.

I have invested significant time and effort into the successful running of the site, despite having not bought or sold any listed companies over those circa 30 months and having not financially benefited in any way from any price movements arising from profitable positions in the portfolio. Fortunately it has been a resounding success.

Excluding the companies reviewed in January 2015* - which have had insufficient time to mature as prospects - 87 companies have been reviewed as either being a "Buy" or a "Sell". Those 87 companies have driven an uncompounded return of nearly 150% on a portfolio that was rarely fully invested.

That also included each company typically accounting for just 5% of the total portfolio, hence a 100% rise in one company would only increase the total portfolio return by 5%.

Of the 87 positions opened, 74 positions have been profitable with 13 unprofitable, translating through to a success rate of 85%. Breaking that figure down further, 68% of those 87 positions delivered a gain that was in double digit percentage terms and taking into account all the 87 positions, the average move per position was a gain of circa 33.6%. The average holding period of less than 10 months, reflects the site's focus on companies with robust fundamentals nearing a pivotal point. The median move per position was a gain of 22.99%.

There have been numerous successes, and thankfully far fewer disappointments! The most notable success was Active Energy Group (LSE:AEG), a company that was Ukraine-focused at the time of the initial review, operating against a backdrop of political instability. I first reviewed the company favourably in February 2014 and maintained that - despite some concerns - it was the most interesting company in the portfolio throughout H2 2014. That was a position closed out in for the site portfolio in January 2015 for a 518.4% profit, placing it as the portfolio's top performer by a clear margin. On the other hand was Aminex (LSE:AEX), the African focused oil and gas explorer, which delivered the portfolio's largest loss of 54.5% after the position was closed in November 2013.

However, owing to personal circumstances and the demanding time requirements resulting from finding and tracking a continuous pipeline of the companies, I have decided to discontinue the company reviews section of this site. Instead the focus will be on producing a range of tutorials featuring real examples, similar to those already archived on the site. These tutorials will become the primary content, and will look at how to learn how to analyse companies to a high standard, and to find out more about both my style of analysis, and other investment styles.

Filling a gap to produce free, unsponsored, and in-depth company reviews has been a thoroughly enjoyable experience and I hope also one that has been rewarding; rewarding to well-run and fundamentally sound companies that benefited from the coverage, and rewarding to the readers of the site who I hope have increased their knowledge base (and potentially profitably tracked some of the ideas in the portfolio!).
 

If you have enjoyed or profited from the free company research provided on this site and wish to "Buy me a drink" as a gesture of appreciation, you can do so by clicking the blue button above. Enter the sum of money you wish to donate into the box on the left hand side of the resultant screen before clicking 'update' and following through the short payment instructions. You will receive a confirmatory email that you need not respond to as you are not purchasing an item. All contributions are greatly appreciated, no matter how small.
 
As above I will continue to create tutorials that will hopefully be informative and look at some of the underlying foundations that may help in researching and investing in a sustainable and profitable manner.
 
(Should you wish to contact me you can do at the email address theel1tetrader@outlook.com)

41 comments:

  1. Hi El1te,

    This is eric from twitter.

    I am sorry to see you stop with the company reviews : (. They added solid research for the average private investor like me. I only started reading them after halloween but I picked up on character group which has been brilliant : ). I will chuck you a tip when I get a moment because you deserve it for that by itself : ). To hear you have done that without any personal investments is honourable so thanks for looking out for the little guys (and girls) : ).

    Keep healthy and I look forward to your tutorials : ). Look out for a drink ; ).

    ReplyDelete
  2. Sorry to see this because your track record has been second to very few tipsters. Quite why you did this for free for so long without going subscription is beyond me but i am not complaining! Never mind a drink, you deserve a brewery with an unstoppable flow of beer.

    rarther

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  3. I used to be a very active investor having lived through the turmoil of the crash of Monday October 19th 1987. For personal reasons I have been out of the market for some time, so having just become 'active' and having only just discovered your site it is disappointing to see your change of tack although I fully understand and support your decision. Success carries its own pressure.

    I did not realise that you had not invested personally and that this appears to have been almost exclusively an academic exercise?

    I wish you well and thank you for making the world a better place.

    Best

    ND

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    Replies
    1. Thanks for the message and the comments you have posted on company reviews in the past. The site was primarily set up for several reasons including to add to my own knowledge, but also to offer unbiased, in-depth and free research, hence the decision to set it out as it has been. I'm not aware of many other established sites that offer free research into companies, that goes into such depth. Part of the enjoyment of running the site in my free time was down to most ideas being successful and hopefully readers from benefiting (either from increased knowledge or financially). All the best.

      Delete
  4. Incredible work el1te. I have been following your research for months now having invested a little successfully after the financial crisis when it was easy to make money, but your outperformance has been incredible and I am sure it will put you in a great way for the future. I did notice your hit rate was very good and I am pleased to say I held aeg so have done very well. Thank you very much pal!

    Kudos for doing this out of your own time and without asking for company sponsorship. I am sure I have a lot to learn in the future from tutorials.

    Truly best regards,
    CraigJ

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  5. Thanks for your selfless research. Deserving of a six pack of Budweiser. I should have asked more questions when I had the chance. I will email you later

    Divoc

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  6. Hi El1te,

    I've been following your site since your first review. Has been an amazing success and has been extremely beneficial to my portfolio.

    Can I ask why not open the site up to subscriptions? I'm sure there are many of us willing to pay and support you to do this for an income if you wish to do so?

    Either way thank you for everything and good luck in whatever you choose to do next :)

    ReplyDelete
    Replies
    1. Much appreciated and I am glad the company reviews have been useful. There are certain regulatory boundaries that have to be jumped through when setting up a subscription site since it can then be deemed to be operated "by way of business", especially if pursued properly on a full-time basis. That was part of the reason for the site being free to view, and I had no problem doing it on a largely altruistic basis. There are also a few personal reasons that mean it is more impractical to continue doing so. That said, I will continue to write tutorials and hope these will be useful as they should look at the level beneath my style of analysis and help transfer my knowledge across. Many Thanks.

      Delete
  7. El1te,

    I can understand your decision. I only follow a few companies but boy is it time consuming :0|. Alas I never saw Vectura but that's ok :0). You deserve some recognition for this and I hope someone contacts you with a business proposition ;0). For now I will donate some money because I am not one to take without giving :0).

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  8. Sorry to hear that you are stopping the reviews. I will still continue to follow the tutorials on the site. Have a drink on me! You deserve it for bringing AEG to my attention.

    Now need to get as good as you at small company research!

    Is there anyone else as good as you in this area?

    ReplyDelete
    Replies
    1. Thanks for the drink; much appreciated. I hope the tutorials will be content worth viewing; by focusing on those some of the tutorial content should start becoming more sector-specific and applicable to other companies. Hard for me to answer the last question unfortunately!

      Delete
    2. I cant think of anyone with a success rate over 70% let alone 80%! Ive followed el1te for over a year and his style and analysis is fantastic.

      Delete
  9. Elliott Fitzgerald7 February 2015 at 17:12

    For the hours you must of put into the company reviews to get that excellent record I applaud you and encourage everyone to dip into their pockets even if a quid. I will not hesitate to stay subscribed and wait for your tutorials.

    E.F. efitzgerald12@gmail.com

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  10. Thanks too for aeg :). Im sure I would never have even heard of it before reading your brilliant synopses. same goes for qxt, capd and nwt which has just lifted off

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  11. Hi Elite. I thought the day would come where you went subscription because the quality of analysis you do and your phenomenal track record of companies you have covered deserves it. There are plenty of subscription websites like techinvest, scsw, investors chronicle, shares magazine that do far inferior research to you. For me to now learn you do that off your own back is something to be admired.I sincerely hope that other readers pitch in a few alcoholic drink tips as the information you have generated is immense. I look forward to the tutorials line. BR. 403Plus (Sam)

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  12. Keep up the good work with the tutorials and in all your future ventures. I am sure the amount of drinks you get bought will be a fraction of what you could have earned by a subscription site so well done for keeping it going for so long. 2 years of unquestionable success after I started following!

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  13. What's this buy me a drink do you want money for nothing ? Plenty of blogs write for free and expect nothing on shares. You made money on shathat yours your money. Get real son ! I like your blog but asking for the big issue at the end abpnd pushing other products is a bit rich

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    Replies
    1. Hi mate I'm gutted I never invested in any of your stocks but I will buy you a drink as the knowledge has been really great.

      Delete
    2. Sorry that was also meant to say, ignore the dick who wrote above this. Tim

      Delete
    3. What a miserable comment - no wonder you are 'Anonymous'! The guy (or gal) is saying goodbye and inviting a richly deserved drink for all the work done. In contrast people like you take and never give, you sneer, and offer nothing of value to anyone. You should change your name to be more accurate - from 'Anonymous' to 'Idiot - First Class'.

      Delete
  14. Great job with the company reviews as I am sure many people including me have enjoyed the hard work you have put into writing them. I have been a subscriber since the start of last year and most of the picks you have made have been good with some outstanding. Much better than the choppy market and boy I am glad you dumped all oil stocks at $100!

    Like others have said I hope you restart them in the future even if only as a subscription site but I respect your decision. The tutorials are worth reading so I look forward to those

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  15. Hi Elite. Really sad to hear this, but understand your reason.
    Your in-depth analysis is second to none, and your conclusions spot on.
    Your insights will be sadly missed.
    Whatever you do next, be happy.
    Regards, Ram

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  16. Cheers El1te, Its been great reading the company reviews. Just a shame I joined the party late. I will personally really miss the reviews, as they were superb, however looking forward to the tutorials. here a Disaronno on the Rocks from me. Cheers Duncan

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  17. Asking for money what does that make you ?

    ReplyDelete
    Replies
    1. I removed your previous comment due to a few important factual inaccuracies as below.

      I have not been "ramping" as you suggest; it clearly states in the above article that I have held zero positions in any company since August 2012, as aligned with the purpose of the website analysis being fully independent. That has meant that, despite nearly 84% of the positions being profitable, I have not financially benefited from any of the price movements of those companies.

      As regular readers of the site will know I did in fact suggest closing out PTR and FAST once the oil price slid below ~$100, and when both positions were in profits of 5% and 27% respectively. Similarly, that was the case with Flybe as per the Q4 portfolio review.

      If any subscribers of the site feel that the research provided over the past two and a half years has been worthwhile and valuable to them, then the button allows them to make a small donation. That is totally optional and there is absolutely no onus on any readers to contribute.

      Finally, the content on this site going forward will not be under a subscription model, with the tutorials I intend to write simply becoming the primary content that is emailed out to subscribers.

      Delete
    2. Lol. Is this a joke? Chrisoil posted here. Almost as bizzarre as the BMD nonsense ; )! f you have not heard of him el1te he writes for shareprophets and is the worst person there. Stockomendation says 30/41 of his recs are down an ave of 21%! : ). Apparently he was selling flybe when ramping them on shareprophets!!! and then he blocked me on twitter haha!

      @eric72413897

      Delete
    3. @Chris Oil Being a useless idiot - what does that make you?

      Delete
  18. Good luck with the site El1te and I hope to learn more and more! Karma says that you should be rewarded for your effort in the future.

    Nick

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  19. (PJ1) Has been a pleasure El1te and thanks for your efforts. Hope all is well in the real world for you. Have a couple on me!!!

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  20. Hi Elite - I wouldn't bother replying to idiots such as chris oil. They are time thiefs. Your time is better spent on productive effort. Beside what they hate most is simply to be ignored.

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  21. New subscriber here. Looking forward to the tutorials!

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  22. Such a shame, your blog has been extremely useful and informative. Ignore the dissenters, that's the trouble with trading, money brings out the worst in so many people. Thanks for all your effort and benevolence. Let's see what the future brings!
    Tom.
    Have a pint on me.

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  23. Hi El1te,
    Thanks for your selfless dedication and i hope everything works out well for you in whatever you do. Looking forward to the new tutorials.
    Enjoy the beers mate, you deserve it.
    Steve

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  24. el1te, i sent you a small amount as thanks. Ive grown as an investor in part from reading your posts.i am shocked and really quite disappointed there will be more company reviews. :-(

    Im so curious why you would put so much effort in, without investing yourself? Did your day job prohibit stock trading? Surely you have the track record/confidence that you could make money from your ideas/research.
    On the other hand though, what a wonderful experiment into stock picking and investing without the compelling and confusing emotions of greed and fear.

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  25. Have contributed to your beer fund. Best. Ram

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  26. To be honest Your tutorials are very good so they may be more useful for me personally. I look forward to them!

    ReplyDelete
  27. Mitesh Patel (chemistdude)17 February 2015 at 17:09

    Hi El1te, Thanks for all your reviews so far. Also really appreciate the feedback by email too. Enjoy a beer or two from me. All the best for the future and I really look forward to the tutorials going forward.

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  28. Dear El1te Trader,

    Thank you very much for providing the in depth articles on your site as well as the frequent updates. I personally found the site to be extremely helpful and also appreciate the time and effort you put into answering my questions personally.

    I wish you all the best in for the future and it goes without saying,I shall continue to follow your excellent website.

    Enjoy a drink on me.

    Kind regards Pari.

    ReplyDelete
  29. Would it be possible to do the company reviews on a site that you can get a monthly fee for as it requires a lot of time and effort. I for one would sign up straight away as I'm sure many more would really appreciate your efforts.
    Steads

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    Replies
    1. Hi Steads,
      There were several constraints that meant I took the decision that I did earlier this year. For example, one of them is that if you choose to run a subscription site, you need to be regulated by the FSA since you essentially operate 'By way of business'. If you wish to chat further or ask any questions regarding a specific company then I reply to emails promptly at and am more than happy to discuss.

      theel1tetrader@outlook.com

      Delete
    2. Many thanks for your reply. Wish there was more like you out there.
      Steads

      Delete