Value Growth Strategy Template
Buy companies that are genuinely growing and genuinely profitable, but refuse to pay any price for them.
Start from this templateWhat this plan does, rule by rule
- Holds companies that make real profit and have grown their sales steadily, rather than promising to grow later.
- Skips companies whose share price has run so far ahead of their earnings that ordinary news can knock them down hard.
- Ranks the survivors on a mix of business strength and how the share price has been behaving, then holds the best of them.
- Caps how much of your account any single company can take, so one bad result cannot dominate the whole plan.
- Reviews the list once a month and replaces companies that no longer pass.
Who this suits
You want to own good businesses without overpaying, and you would rather check in monthly than daily. It suits someone building a first serious plan who wants both halves of the argument covered.
Who it does not
If you want the fastest-moving companies of the moment, this will frustrate you. It deliberately skips businesses priced for perfection, which means it misses some of the biggest winners in a hot market.
How it behaves
- Growing companies at sensible prices
- Style
- Moderate
- Risk
- Once a month
- Review
What to watch out for
- When the market changes mood quickly, both halves of this plan can be wrong at once: the cheap companies stay cheap and the growing ones stop growing.
- A template is a starting point, not a finished plan. Test it on real history, then practice it with simulated cash before any real dollars are involved.
Questions people ask
Is this the same as growth investing?
No. A pure growth plan will buy a fast-growing company almost regardless of price. This one refuses past a point, which means it gives up some of the biggest winners in exchange for holding fewer companies priced for perfection.
Can I change the rules?
Yes, and you should. Every template is meant to be copied and adjusted. Change a rule, run the history test again, and read what your change did to the results before you keep it.
How many companies does it hold?
Enough that one disappointing result does not decide your year, and few enough that you can still name every company you own and say why you own it.
Start here, then make it yours.
Load the template, swap in companies you believe in, and test the change on real history before it runs anywhere.
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