Marketocracy

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Marketocracy is a company started in 2000 by Bruce Horn and Ken Kam, with the view of isolating top stock market investors around the world in head to head competition so they can run real mutual funds around these soon to be discovered investment super-stars.

1 Overview
2 Notes
3 See also
4 External links

[edit] Overview

A website was made available to the public at that time permitting any user to manage a number of virtual mutual funds with $1 million of virtual cash available to invest. So far, more than 100,000 users have registered, although it is difficult to assess the number of active users. Virtual fund performance is tracked in real-time and follow all SEC rules mutual fund managers must adhere to. The best performing virtual funds based on long term performance are used as the basis for the Marketocracy Masters 100 fund (a real mutual fund, ticker symbol: MOFQX) Marketocracy has signed research contracts with about 500 users. These users make up the talent pool from which the m100 team is comprised.^[1]

The MOFQX was opened in November 2001. Its performance in 2002 and 2003 was excellent, but ran into some turbulence during the stock market churn of 2004, resulting in sub-par performance and a one star rating.^{[citation needed]} In April of 2005 the criteria for virtual fund selection was revamped, with greater emphasis placed on long term performance consistency, as well as measures added to reduce fund turnover.^{[citation needed]}

As of April 2008, this fund's 5 year record was approximately average, but its 3 year record was in the top 10% for Mid Cap Blend funds, as ranked by Morningstar.^[2] As of May 2008,^[3] this fund earns 3 stars under Morningstar's rating methodology over a 5 year period, 5 star rating over a 3 year period and a 4 start rating for overall performance.^[4] As of May 2008, Marketocracy Masters 100 fund had $32.5 million in assets.^[5]