My name is Dr. Yinon Arieli and I’m a value investor. I have been investing in the stock market since 2001. My main business is managing investments for large international investors, which means that I am focused on identifying investment opportunities, analyzing companies and providing valuations of their stocks on a daily basis. In addition, I advise companies, write columns for leading Israeli financial newspapers, and occasionally give lectures and seminars on stocks investing.
Why did I open this site?
The first time I realized that Spin-Offs are a unique opportunity to make high returns was 20 years ago. Spin-off refers to subsidiaries that have been separated from the parent company, distributed to the parent company shareholders as a dividend, and began to be traded as independent shares. The lack of historical financial information, relatively small size, lack of analyst recommendations, and so on, make these stocks anonymous, unpopular and even unwanted among investors of the parent company – exactly the kind of things that push the share price down and make it attractive. Indeed, it turns out that if you buy the quality ones at this stage and wait patiently, it is possible to earn phenomenal returns, and of course beat the market.
When I told my close friends (who just like most of you, do not have the time or desire to research, analyze and select stocks themselves) about this opportunity, they expressed an interest in following my portfolio’s actions, which is why I decided to set up “Yinon’s portfolio” – a Hebrew-language service that allows those wishing to follow and imitate my portfolio. The service began in 2004 and has since been operating successfully, with hundreds of registered subscribers following it. Given the success of the format in Hebrew, I decided to allow worldwide English speakers to enjoy the service as well.
What is the purpose of my stock portfolio?
My goal is clear – to beat the stock market in the long run, and by a margin as large as possible. The way to do this is not by betting on high-risk investments or by leveraging the portfolio, but by focusing only on shares of high-quality and stable companies, which are traded at attractive prices, and especially shares of spin-offs, which after patiently waiting for several years are expected to generate impressive returns to the portfolio.
Of course, it is impossible to beat the index every year. Even the biggest guru like Warren Buffett do not succeed in that. But, in my experience, I learned that if there is persistence in this strategy over time, it can be expected to get a better returns than the comparative indices.
In order to succeed, I buy stocks when they are traded far below their fair value, then hold onto them until they are back to their fair price value (this usually takes between one to three years), while ignoring the volatility of their price along the way. Since 2004, I managed to beat the market by a large margin, and I believe I can continue to do so in the future, as long as I continue to invest wisely, responsibly and patiently. You’re welcome to join me on this magical journey.