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Copycat investing / cloning - anybody doing it?

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Anything related to investing, including crypto

MakeItHappen

Silver Contributor
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Speedway Pass
Apr 12, 2012
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Has anybody practical experience with copycat investing / cloning portfolios of successful (value) investors?

The key idea:
- Investors that manage $100+ million must report the stocks which they bought/sold quarterly.
- You can look at the portfolios of the most successful value investment funds (of the last 20 years) and just copy/clone them given you can get the stocks for about the same price which isn't always but quiet often the case.

If you become a decent value investor yourself instead of trying to find stocks on your own you can just analyze the picks of very successful value investors with proven track records and if the stocks make sense to you, you invest.

While there are things that have to be considered the concept makes logical sense to me.
I read a couple of articles that explain the reasons why a strategy like this might fail and pretty much of these "mistakes" can be avoided.

Now my question to the experienced investors on the forum, what is the catch? While it makes logical sense it just seems to easy of a strategy for beating the market as a retail investor.


PS:
Here are a couple links I found interesting:
Beyond Buffett: How To Build Wealth Copying 9 Other Value Stock Pickers
View: https://www.youtube.com/watch?v=VdX-_2hs50A

Cloning Investments 101
 
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DVU

In Progress
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Sep 24, 2016
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Croatia
From my limited knowledge about this topic:

If someone is managing 100+ mil he probably isn't looking for crazy returns.

But as its a lot of money, those small returns make sense.

The amount of money an "average" person would invest wouldn't justify the return over the possible risk.
 

SchenkFinancial

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Jul 17, 2019
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Germany
The certificates which I am creating correspond to a certain extent to what @MakeItHappen is describing. These certificates are issued by the German corporation Lang & Schwarz and then can be subsequently traded on the Stuttgart stock exchange.

One of my certificates, which is a virtual portfolio of software stocks, is currently in the process of being issued after having found a sufficient amount of investors: New Sector | wikifolio.com

Thank you for investing.
 

Jaden Jones

Igloo Builder
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Aug 22, 2018
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Canada
There as actually a site that tracks value investors purchases. I have heard of people having success. The thing to look for though is when in the quarter did they buy, buying stocks even 2 weeks later can have a huge affect on returns.
 

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