Your guide to Horizon as a new member
What is Horizon?
Horizon is an investment service run by Emmet Savage, the Co-Founder and Chief Investment Officer of MyWallSt. Members of Horizon gain exclusive access to Emmet’s own personal investment portfolio, allowing them to see what he’s buying, when he’s buying it, and the reasons why.
Emmet is an experienced investor that has proved his success by navigating through almost three decades of boom and bust on the market. An independent review of Emmet's portfolio showed that he beat the market two-and-a-half times over every year for a decade.
In other words, $10,000 invested in Emmet’s portfolio would have become almost $140,000 over the course of just ten years.
What is the Goal of Horizon?
The overarching goal of Horizon is to maximize returns. To achieve this, Emmet will adopt a high-risk, high-reward approach in selecting companies to invest in.
The goal of Horizon is not to minimize risk. As such, the companies selected by Emmet will typically be in the early stages of their growth journey.
The Three Laws of Horizon:
In his mission to achieve the maximum return of his investment, Emmet will follow the following rules:
- Every month, he will invest in at least one stock that he believes will generate the greatest shareholder returns over the long term.
- Every month, he will invest in one new stock that he hasn’t invested in before, except where it conflicts with the First Law.
- He will set out to hold between 30 and 50 stocks in Horizon, except where it conflicts with the First or Second Law.
Structuring the ‘Three Laws of Horizon’ in this manner allows Emmet to place the greatest emphasis on the primary goal of Horizon — to maximize shareholder returns — while also putting a focus on finding exciting new companies to invest in every month.
Pitches
Every month, Emmet will pitch at least one new stock for Horizon.
It is important to note that a stock pitch does not mean that Emmet is investing in the company. Rather, a stock pitch means that Emmet is putting the company on our radar as a potential new addition to his own portfolio in the coming days, weeks, months — or even years.
With every pitch, Emmet will include a video that clearly outlines the reasons why he is interested in this company at the moment. This means that you will have all the necessary information you need to execute a trade, if and when Emmet sends a trade alert.
Trade Alerts
A trade alert is a notification that Emmet is either buying or selling shares in a company. As per the three laws of Horizon, Emmet will invest in at least one stock per month, so you can expect at least one trade alert per month.
With every trade alert, you will get an email outlining the nature of the trade that’s taking place, including the company name, ticker symbol, how many shares are being bought or sold, and at what price.
Funding Schedule
Emmet will automatically transfer $4,000 to Horizon at the beginning of every month so that he has cash on hand to execute trades as he sees fit.
To take full advantage of the Horizon service, members do not need to match the total sum that Emmet adds to his account every month. However, we would recommend that members do follow along with a regular contribution that is more suited to their own financial situation.
For example, you could aim to invest ½ ($2,000), ¼ ($1,000), or ⅛ ($500) of Emmet’s total amount per month, or even a multiple of his figure.
Your Approach
Although you have full access to the trades that Emmet makes, you do not have to mimic his approach exactly in order to enjoy the benefits of Horizon.
Horizon is designed so that you can loosely follow along with Emmet’s strategy from the moment you join. This is the best way to match the return of the overall portfolio but also allows for you to make the trades that you like when it suits you.
Alternatively, some members of Horizon have built their own portfolio by dollar-cost averaging their way into positions — adding smaller portions of money into each position over time. To find out more about dollar-cost averaging, check out<a href="https://blog.mywallst.com/what-is-dollar-cost-averaging/" target="_self" rel="noopener noreferrer"> this article we wrote on it. However, it is important to point out that dollar-cost averaging means that your portfolio return will be different from that of the Horizon service.
How Many Stocks Should I Own?
With Horizon, Emmet is targeting an upper limit of 50 stocks in his personal portfolio. Although this is a much larger number than Emmet would typically recommend, having such a high ceiling on his portfolio increases the chances of Emmet finding those rare companies that bring multiple-fold returns.
Again, there is no expectation that you need to own exactly the same number of stocks as Emmet. Rather, you should choose a number that you feel comfortable with — perhaps the maximum number of companies that you feel you can keep track of.
Selling
Time and time again, it’s been proven that the most effective way to grow your wealth is to buy stocks in companies and hold on to them for the long term.
However, for the purposes of this service, Emmet will occasionally sell positions in his portfolio, although these instances will be much rarer than buys.
There are typically three reasons why Emmet will sell stock from his portfolio:
- If he doesn’t believe in the company anymore.
- To offset losses for tax purposes or to avail of tax exemptions.
- If he needs the cash for another investment.
As with buys, it is completely up to you if you wish to match Emmet exactly when he sells positions. Please do keep in mind, however, that selling stock will trigger a tax event in most jurisdictions, so please be aware of the tax you might be liable to pay in such instances.
Other Types of Content
Horizon members also get access to a lot more great investing content, including:
- Regular updates, insights, and thoughts on the world at large from Emmet.
- Exclusive interviews with investors, CEOs, and other thought-leaders from the investing world and beyond.
- The weekly ‘Eyes on Horizon’ digest, featuring all the news you need to know from the companies in Horizon.
- Access to our vibrant community of like-minded investors.