As Business Week suggests in an article about websites that track the portfolio holdings of stock market gurus, "investment research is tough, so what not build on a foundation laid by others?" The article tracks down two leading websites that detail the stock portfolio holdings of the world's top investors:
“Now there are easier ways to piggyback than poring over shareholder reports or picking through regulatory filings. Two Web sites, GuruFocus.com and Stockpickr.com, do much of the work for you. (Both are free, but GuruFocus also has a $249-a-year premium service.) The sites don't just look at mutual funds but also check in on the pantheon of superinvestors, including Warren Buffett, Carl Icahn, and Eddie Lampert.”
When investment gurus put their money where their mouths are, well, that might just be a way to uncover some unloved stocks that are quietly being accumulated by the best in the business. However, as might be expected, there are potential drawbacks to simply aping the stock picks of another investor:
“Of course, relying on portfolio disclosure can be problematic. Hedge funds file their holdings with the Securities & Exchange Commission once a quarter, and mutual funds every six months. But there usually is a lag between the date of the disclosure and the filing. That means the manager may already have sold the stock by the time you're aware of the purchase, or may have got it at a much lower price...”
As always, let the buyer beware. And don't forget: there is always the TradeKing community, which has already seen the emergence of some stock picking mavens with strong opinions about the financial marketplace.
[image: Copycat]
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