great site/service if you can trade in your 401k

[RedDogC130]

None in his watch list. This isn't my first rodeo. This isn't for everyone. The lessons and his teaching are but trading in general isn't. There is risk in any strategy including buy-and-hope. It is what it is and if you are not a member you can't say it isn't. I am and can say what I see. These are not buy and hold stocks. These are in and out small gains... Hopefully...then into another opportunity. Rinse And repeat and hopefully compound winnings

 

[PCL_128]

"Buy and hope?" I don't know any value investor who "hopes." That's too much like the gambling that you espouse. Value investors look for bargain stocks trading for well below intrinsic value so that a margin of safety is built into the investment. Barring some incredibly bizarre unpredictable events, the investment will make money over time. No "hope" necessary. This strategy has produced 20+% compounding returns over decades for many investors. Show me an active trader with that kind of record.

I recommend reading "The Superinvestors of Graham-and-Doddsville," an article and speech by Warren Buffet from way back in 1984, just as relevant and true today as it was then. Here's a link: http://www4.gsb.columbia.edu/null?&exclusive=filemgr.download&file_id=522

 

[RedDogC130]

I suggest that your way isn't the only and quit preaching that there is no other way and other people are wrong. I know you like to have the last word so go for it.

 

[PCL_128]

I suggest that your way isn't the only and quit preaching that there is no other way and other people are wrong. I know you like to have the last word so go for it.

I will, thanks. I'm not saying that it's the only way to make money. I'm simply saying that it's proven to be the best way to make the most money. If you choose to accept reduced returns because it's more "fun" to trade frequently rather than sitting on a stock for ten years, then more power to you, but I'd rather have the highest returns.

 

[LeeRoyJenkins]

I can't believe I am saying this but I agree with PCL

 

[slaquer5]

I can't believe I am saying this but I agree with PCL

I know, I had to bite my tounge .

 

[Andy]

I can't believe I am saying this but I agree with PCL

Let me add that PCL absolutely knows what he's talking about on this subject. Benjamin Graham is a must read. Graham's dryer than day old toast in the desert but his writings are invaluable to the investor in individual stocks.

Successful investing takes a lot of work and you have to do research on your stocks on a regular basis. If you don't have the desire and patience to read 10Q/Ks cover to cover, especially the footnotes (that's usually where the dirty laundry's hidden), you're better off either having someone else manage your money or park it in an ETF. See note 4: http://www.naoi.org/newsletter/financialstatements.htm

Just NEVER, EVER hold a leveraged ETF for more than a day due to decay. Google 'leveraged ETF decay' and you'll find plenty of articles. The bottom line is that over the long term, ALL leveraged (both long and short) ETFs decrease in value.

I wish RedDog good luck, but this guy looks like another Timothy Sykes. Timothy Sykes claims to have made a lot of money; he even started a hedge fund, Cilantro Fund Partners, in 2003. He had to close Cilantro Fund in 2007 after blowing it up with spectacular losses - funny how one's performance deteriorates when the data's not manipulated. Good luck finding a lot of unbiased information on Timothy Sykes or anyone of his ilk; these guys pay money for positive press and get fake testimonials about them placed throughout the internet.

 

[PCL_128]

Graham's dryer than day old toast in the desert

True. But for someone just getting started, starting with "The Intelligent Investor" makes it a lot easier. It's far more geared to the individual investor, while "Security Analysis" is probably the most dry, mind-numbing thing that most people will read in their lives. But it will also make them fabulously wealthy if they put it to work.

Successful investing takes a lot of work and you have to do research on your stocks on a regular basis. If you don't have the desire and patience to read 10Q/Ks cover to cover, especially the footnotes (that's usually where the dirty laundry's hidden), you're better off either having someone else manage your money or park it in an ETF. See note 4: http://www.naoi.org/newsletter/financialstatements.htm

Agreed. For those not willing to put the work in, instead of Graham and Dodd, I would recommend Burton Malkiel's "A Random Walk Down Wall Street." While I think EMH is complete bunk, the conclusions he draws from it are good for the individual investor who doesn't want to spend hours reading over reports all the time. And while ETFs weren't around when he was writing his book, they're widely available now, and they make his conclusions even more relevant to the lazy investor who can just dump his money into a diversified ETF and let it ride for 40 years.

 

[nimtz]

Lenny Dykstra was once considered a stock picking guru. Good luck RedDog. Sucker born every minute.

 

[ualdriver]

I feel like such an "unsophisticated" investor because all I have done for the past 18 years is invest in a diversified portfolio of stock and bond index funds, which I re-balance every year on April 1st (yes, April Fool's Day). No newsletters. Maybe 10-15 basis points per year in expenses. Taxes minimized. Annual trading costs practically nonexistent, sometimes zero.

If there was a person on the planet that could read any company's SEC filings, press releases, transcripts, etc., and use that information to consistently and regularly buy and sell securities (or anything else), wouldn't that person eventually become infinitely wealthy? I mean, you can either consistently and regularly identify mispriced stocks (for example) or you can't.....right? How can a guy that is right 75%-80% of the time (post #40) not be richer than Carlos Helu?

Somebody save me? Tommy Vu?