Stone Fox Capital Profile Picture Investment Adviser

Stone Fox Capital

Financial Services,Stone Fox Capital

  • Education University of Tulsa
  • Qualifications BS, BA, CPA
  • Investment Experience 15 years
  • Founded 2010
Opportunity is Knocking: Mark Holder
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Net Payout Yields

Net Payout Yields is designed to be a conservative strategy. It offers a diversified selection of large cap stocks that offer dividends and/or are buying back stock.

The net payout yield goal for the strategy is 8%, defined by the amount a company spends on stock buybacks and dividends as a percentage of its stock price (adjusted for the amount a company receives for issuing new stock). The dividend yield objective for the strategy is 2 to 3%. Of course, stock dividends reflect past performance and there is no guarantee they will continue to be paid.
Mark mainly invests in stocks in the S&P 500 with market caps above $10 billion. He also invests 10 to 20% in large caps to increase the return potential while maintaining volatility generally in line with the S&P 500.
Mark screens companies for high net payout yields, then selects the ones that he believes are of high quality; he will not automatically select just the highest-yielding stocks. Mark conducts additional fundamental research in an effort to avoid companies that he believes may become distressed.
The strategy typically holds around 15-20 positions. Some stocks will be given smaller positions if Mark believes they are too risky to warrant a larger one. He typically replaces stocks when their yields decline with higher-yielding stocks.
Mark will sell stocks when their stock yields drop below his target. That may happen due to stock price increases that drive down yields, dividend cuts, or changes to stock repurchase plans.
A few exchange-traded funds (ETFs) may be held in an effort to improve diversification and to reduce risk.

Risk score

3
11.0%

Best 30 days

-15.7%

Worst 30 days

Performance

  • -1.0%
    30 day
  • 8.4%
    90 day
  • 33.0%
    365 day
Monthly vs S&P500
stone fox capital - net payout yield
10.4% 12 months
Subscribe
  • $10,000 subscription min
  • 1% fee

Replicability

100.0%
  • Replicable

Top 5 Holdings View all

6.7%
5.7%
5.5%
5.5%
5.5%

Model commentary

  1. WellPoint and Hartford Financial delivered in April

    22 May 2013

    Here's how the Net Payout Yields portfolio performed.

  2. Our top 2013 picks: Seagate Technology and Kohl's 20 December 2012
  3. Why we sold Gap in favor of Motorola Solutions 15 October 2012
  4. How stock buybacks lifted the Net Payout Yields model 24 September 2012
  5. Why we like Aercap, Hartford and Lincoln Financial 20 August 2012

show more


Performance detail

  • Manager
  • S&P 500
30D 90D 365D SI

Performance

Inception November 02, 2010
as of June 18, 2013 Manager S&P 500 Average Subscriber
Past 30 days -1.0% -0.9% -1.2%
Past 90 days 8.4% 6.0% 7.6%
Past 365 days 33.0% 22.8% 28.5%
Since Inception (Annualized) 19.1% 13.2% -
2013 (YTD) 19.3% 15.8% 17.6%
2012 21.5% 13.4% -
2011 6.5% -0.0% -

Risk Metrics

Last 365 days
as of June 18, 2013 Manager S&P 500
Best 30 days 9.0% 8.2%
Worst 30 days -4.7% -7.0%
Volatility 11.7% 12.4%
Sharpe Ratio 2.80 1.83
Sortino Ratio 4.20 2.74
Maximum Drawdown -5.5% -7.7%
Value-at-risk (95%, 1 week) -2.7% -2.9%
vs. S&P 500
Information Ratio 2.66
Alpha 10.0%
Beta 0.90
R-Squared 0.90
Stone Fox Capital's other strategies
Subscribe
  • $10,000 subscription min
  • 1% fee

Latest transactions view all

Average trades per month 2.4
Executed Symbol Security Replicable Type Price
06/10/13 CSX CSX CORP Yes Sell $25.18
06/10/13 NLY Annaly Capital Management Inc Yes Buy $13.60
05/02/13 ETR ENTERGY CORP Yes Sell $71.44
04/03/13 CTL CENTURYLINK INC Yes Buy $35.24
03/27/13 CPB CAMPBELL SOUP CO Yes Sell $44.70
02/14/13 CA CA INC Yes Buy $25.10
02/06/13 VOD Vodafone Group PLC Yes Buy $26.75
02/06/13 NOC NORTHROP GRUMMAN CORP Yes Buy $65.18


Important Information

1. Past performance is no guarantee of future results.

2. Performance of the model manager's account is calculated by Covestor on a daily time-weighted basis, including cash, dividends and earnings distributions, and broker commissions. Manager returns include trades that fail Covestor's trading rules, do not reflect any Covestor suitability or risk score restrictions and are exclusive of Covestor fees. More

3. Average subscription returns ("Avg Sub" or "Avg Client") are calculated by Covestor and are composed of the average, daily, time weighted returns of all active subscriptions to the underlying model. These daily average returns are then linked together for the timeframe requested. In addition, these returns include cash, dividends and earnings distributions, brokerage commissions, Covestor advisory fees, and reflect individual client suitability and risk score restrictions. More

4. All graph data is as of the end of day for the referenced period, unless otherwise specified. The subscription minimum is the minimum subscription required to follow a particular model. The minimum amount is determined by Covestor, based on the characteristics of the underlying model. It should not be considered as specific investment advice for your investment situation.

5. The performance charts are provided for informational purposes only, and should not be used as the basis for making an investment decision. Variables such as corporate actions or foreign exchange may affect daily performance displays. We rely on mathematical formulas, computer programs, and pricing information from third-party vendors to provide these returns. Neither Covestor nor any of its data or content providers shall be liable for any errors in this information or any actions taken by you in reliance upon this information.

6. Benchmark returns have been calculated by Covestor using a time-weighted calculation of daily index valuations and do not include cash, dividends and earnings distributions, or transaction costs. More

7. Leverage indicates the level of margin utilized and is calculated by dividing gross exposure by portfolio net liquidation value.

8. All Model Manager information including personal data, profiles, strategies, monthly investment reports, and historical results outside of Covestor has been provided by the Model Manager. Covestor makes no representation or warranty of its accuracy, completeness or relevance and it does not represent the opinions of Covestor. Transaction history is available upon request. Model classifications (Approach, Asset Class) are provided by Covestor, and are intended to serve as a general guide.

9. Top Replicable Holdings: These securities are currently held in the model manager's brokerage account. Those marked as "Replicable Holdings" currently pass Covestor's trading rules, subject to individual client constraints. Eligibility for replication may change over time. Actual client subscription holdings may vary.

10. Latest Transactions: These transactions were executed in the model manager's brokerage account. Those marked as "Replicable" () passed Covestor's trading rules and were eligible for replication at the time of execution, subject to individual client constraints. Eligibility for replication may change over time. Actual client subscription trade activity may vary.

11. S&P 500 Index is an unmanaged index compiled by Standard & Poor´s Corp. Index returns do not reflect any management fees, transaction costs or expenses. Individuals cannot invest directly in an Index. S&P 500 index data: S&P/Dow Jones Indices LLC, a subsidiary of The McGraw-Hill Companies Copyright © 2013.


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