Swamp creatures outperform the market. @RealConstable

Nov 28, 2017, 05:21 AM

11-28-2017 (Photo:File:Wolf-River-swamp-North-Mississippi.jpg ) http://JohnBatchelorShow.com/contact http://JohnBatchelorShow.com/schedules Twitter: @BatchelorShow

Swamp creatures outperform the market. @RealConstable

Separately, I analyzed how the top lobbying spenders performed. The results were similar.

In 2013, the top publicly traded firms that lobbied were as follows: Northrop Grumman, Comcast, General Electric, AT&T, Alphabet, Boeing, Lockheed Martin, United Technologies, Verizon Communications and Exxon Mobil. The information was accessed via the OpenSecrets.org website.

I then looked at the performance of each stock over the next three years (2014 through 2016), constructed a portfolio with equal weights of each stock and looked at the combined gains. Without dividends, they rallied approximately 30% over the three-year period.

I chose the NYSE Composite Index as a benchmark to compare the results. The S&P 500 consists mostly of massive corporations that tend to spend more on lobbying than the average company, such as many of those in the composite index.

The result: $10,000 invested in the model portfolio would have outperformed $10,000 held in the index by more than 20 percentage points.