Formula Investing by Greenblatt

Very cool new site powered by Pershing / Inautix…maybe we will implement something like this?

Formula Investing website (and Greenblatt’s very good book here).

Here are backtested results for the model.  Would be interesting to use this system as your alpha generator, then hedge out the market risk when below a long term moving average?

Dear Reader,

Have no fear, the Magic Formula hasn’t changed, only the website.  We’ve updated the site and added more content.

An even more exciting change is the new money management firm I helped create with Blake Darcy.  Blake is the founder and former CEO of DLJdirect, a pioneer in the internet brokerage field.  We recently launched Formula Investing to give investors the ability to implement the Magic Formula system in a simple and cost effective manner.  You can find this innovative new firm at

I hope you are able to take full advantage of these new changes as you plan your financial future.


Joel Greenblatt