According to @QCompounding, a list of 10 stocks with return on capital above 20 percent was highlighted alongside a Charlie Munger quote underscoring that sustained high returns on capital can drive exceptional long term results; source: @QCompounding on X, Dec 5, 2025. Return on capital and return on invested capital are core quality metrics traders use to screen durable compounders and have been linked to superior long term equity performance and profitability persistence; source: Joel Greenblatt, The Little Book That Beats the Market, 2010; Asness, Frazzini, Pedersen, Quality Minus Junk, 2013, SSRN 2312432. For crypto, shifts toward risk on equity positioning and quality leadership have coincided with stronger correlations between Bitcoin and the S and P 500 in 2020 to 2022, affecting near term beta for BTC and ETH; source: IMF Blog, Crypto Prices Move More in Sync With Stocks, Adrian, Iyer, Queralto, January 2022. Trading takeaway: monitor the high ROIC names flagged by @QCompounding and pair a quality factor screen with real time BTC and ETH equity correlation tracking to calibrate exposure; source: @QCompounding on X, Dec 5, 2025; IMF Blog, January 2022.

According to @QCompounding, Joel Greenblatt averaged 40% annual returns for over 20 years and attributes the performance to his rules-based Magic Formula detailed in The Little Book That Still Beats the Market (source: @QCompounding on X, Oct 4, 2025; source: Joel Greenblatt, The Little Book That Still Beats the Market). The strategy ranks equities by high earnings yield (EBIT/Enterprise Value) and high return on capital (EBIT divided by net working capital plus net fixed assets), buys roughly 20–30 top-ranked stocks with annual rebalancing while avoiding most financials/utilities and very small caps, and is designed for stock selection rather than crypto assets, implying no direct BTC or ETH impact from this post (source: Joel Greenblatt, The Little Book That Still Beats the Market; source: @QCompounding on X, Oct 4, 2025).

According to Compounding Quality (@QCompounding), Joel Greenblatt's public writings emphasize a straightforward, rules-based investing approach, focusing on value and quality as outlined in his Magic Formula strategy. This method advocates buying undervalued stocks with high returns on capital and minimal complexity, which resonates with current crypto market trends favoring clear, systematic trading strategies. Crypto traders can draw actionable insights from Greenblatt's emphasis on disciplined portfolio construction and risk management, supporting more robust trading decisions as the market experiences high volatility (source: https://twitter.com/QCompounding/status/1925583640152408253).