The Crisis Survivors

Many market watchers refuse to allow hedge funds' quarterly 13F filings with the Securities and Exchange Commission to play any role in their own investment processes, arguing that it's impossible for such old information to be of any use. Through careful testing and research, however, we've proven this common view wrong. The most popular small-cap stocks among hedge funds tend to outperform the S&P 500 by an average of 18 percentage points per year. Our portfolio following this strategy has returned 33 percentage points above the index in the past 11 months, and we believe that more techniques are possible.

And that's not all. Our database comes in handy for reviewing hedge funds' most popular stocks in a number of areas, from specific industries or sectors to stocks satisfying various criteria, including stocks that are low risk in the sense that they don't do too poorly when market conditions are poor....478 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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