// strategy template
Classic Value
Graham-style: pay clearly less than the business earns today.
// the lines that end the argument
One criterion is hard: fail it and the score is capped no matter how well everything else scores.
- P/E (TTM) ≤ 15.00
What gets measured
| Criterion | Needs | Weight |
|---|---|---|
| P/E (TTM)hardPrice to trailing twelve-month earnings. | ≤ 15.00partial credit to 18.00 | 21%Missing: the criterion is skipped and its weight is dropped. |
| P/BPrice to book value. | ≤ 2.00partial credit to 2.50 | 15%Missing: the criterion is skipped and its weight is dropped. |
| FCF yieldTrailing free cash flow over market cap. | ≥ 6.0%partial credit to 4.5% | 18%Missing: the criterion is skipped and its weight is dropped. |
| Dividend yieldTrailing dividends over price. | ≥ 2.0%partial credit to 1.0% | 10%Missing: the criterion is skipped and its weight is dropped. |
| Net debt / EBITDATotal debt minus cash, over EBITDA (TTM). | ≤ 2.50partial credit to 3.00 | 13%Missing: the criterion is skipped and its weight is dropped. |
| Current ratioCurrent assets over current liabilities. | ≥ 1.20partial credit to 1.00 | 8%Missing: the criterion is skipped and its weight is dropped. |
Weight is each criterion's share of the whole rule-set, rounded for display. Every figure here comes from the same file the product scores with - the page cannot say one thing while the terminal does another.
What needs judgment
Margin of safety vs intrinsic value
15%Is the discount explained by a solvable problem rather than a broken business?
These are the criteria a formula cannot settle. The AI judges them against the guidance above and shows its reasoning next to the verdict; the arithmetic stays with the deterministic rules.
Rules about the portfolio, not the stock
- No single position above 10% of the portfolio.
- No sector above 40% of the portfolio.
These are checked against the book as a whole. A holding can clear every criterion above and still put the portfolio in breach by being too large.
Before you take it as given
This rule-set is a starting point. The moment a portfolio applies it, every threshold, weight and hard line is yours to move - and most people should move them, because the thresholds that make sense for a concentrated book are not the ones that make sense for a wide one.
It has not been backtested and Monsa does not claim it works. What Monsa does is narrower and checkable: hold these rules, and every night it will tell you which of your holdings still clear them and which quietly stopped.
Applying a template takes a minute. The part that is hard to do alone is still being held to it in eight months.