THE STOCK TRENDS PORTFOLIO OFTEN BUYS ODD LOT AMOUNTS. WHY?

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THE STOCK TRENDS PORTFOLIO OFTEN BUYS ODD LOT AMOUNTS. WHY?

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The Stock Trends Portfolio has a defined constant investment in each position of $10,000, and calculates the nearest number of shares to purchase which will cost this amount, usually resulting in an odd lot number. The constant investment amount for each stock purchased ensures that the performance record of the ST Portfolio is not unfairly weighted to stocks with a larger investment cost. In practice, investors will find that it is more practical to round up (or down) their purchases to even board lots, which may result in some small deviation from the results of the Stock Trends Portfolio.

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