If you have been watching the stock market at all you are probably very confused. You are not alone. One day is a hundred points up for the DOW and the next a hundred down. What is going on? There are many stocks that are going up and unless you are in the right ones you will be left behind.
The professional money managers divide stocks and mutual funds in sections they call peer group. Many times you will find that while the general market is going down there will be one or several groups that are going up. Also when the market is going up you will find some peer groups that are going in the other direction. Today there are peer groups that are doing very well ? small capitalization value stocks and funds, real estate group and stocks located in emerging markets.
To find individual stocks like these is pretty difficult so I have a professional do it for me. And he does it free. I hire this person to work 60 or 80 hours a week to do my research. If he doesn't do a good job I won't give him any money. He first has to prove to me he knows what he is doing.
Who is this guy that I can get to make me rich and not have to pay him? It is the manager of a no-load mutual fund. Fund managers were paid an average of $275,000 last year so you won't have to feel sorry for him. In my opinion most of them are over paid because last year 90% of all stock mutual funds lost money. It is the other 10% I want to be invested in. Where are they hiding? Why hasn't your broker told you about them?
First, your broker will never tell you about a mutual fund that does not pay him a commission. That is how he makes his living so I can't fault him. There several places you can find excellent funds. If you don't have a computer you may look in Investor's Business Daily newspaper. Once each week they will list the best performing mutual funds for the past 6 months. You will check them with your discount broker to see if they have any commission charge. As long as that fund remains in the top 15 on the list you will have a winner. When it drops below you sell it and buy a better one. Yes, it's that simple.
If you have a computer it is even easier. Go to www.smartmoney.com, click on mutual funds and they will give you a complete list. There are many other web sites with this kind of information.
If you are going to make money in the market you must be in the current strongest peer group sectors at all times. That means that when the fund you own starts down you must get rid of it in favor of one that is going up NOW. Never mind the 3-year and 5-year performance nonsense. With this strange mixed market we have now you must be where the UP action is. The bull is sneaking around very stealthily. You can find out where he is and join him.
Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.
Copyright 2005
Lincolnshire shuttle from Midway .. Lockport Chicago limo O’HareAlfred Winslow Jones started hedge funds in 1949. He was... Read More
You read and hear a lot about hedge funds. Unfortunately,... Read More
You probably know the story of Sherlock Holmes and the... Read More
You've decided to try your luck at trading stocks or... Read More
"There is nothing more frightful than ignorance in action!" Johann... Read More
Its dinnertime and the phone rings. It's Joe Noname with... Read More
If you are fed up with early redemption charges and... Read More
The Shadow knows. There used to be a radio program... Read More
Mutual funds were created with the idea that one person... Read More
Yesterday I received my monthly issue of MONEY magazine. This... Read More
One of the big advertising kicks today from mutual funds... Read More
Every publicly traded company is required by the SEC(Securities and... Read More
Jack and Jill went up the hill to fetch a... Read More
In 1960 an engineer working for a watch company in... Read More
Every year I go to the Money Show in Orlando,... Read More
Several times each month I am solicited by various market... Read More
I don't know what kind it is, but I saw... Read More
The stock market has not been very kind to your... Read More
It is difficult to make money in a bull market,... Read More
The stock market has been in an up trend for... Read More
One of the basic laws of physics states that a... Read More
During the month of January the Dow Jones Industrial Average,... Read More
Has your broker been calling you recently with the "great... Read More
As an investor you will want to check out any... Read More
First let's see what protectionism is. According to Mr. Webster... Read More
Algonquin limo Chicago ..The demand for world oil is increasing while world reserves... Read More
First let's see what protectionism is. According to Mr. Webster... Read More
Wall Street has been preaching the doctrine of Buy and... Read More
With all the bad news that has been dumped upon... Read More
One Saturday morning, while he was sitting at his computer... Read More
On the 40 year journey through the turmoil of a... Read More
On Monday, November 25, 2000 Investor's Business Daily listed on... Read More
In my opinion, due to the volatility of stock market... Read More
As one of my regular readers you know I have... Read More
If you are fed up with early redemption charges and... Read More
Day trading is all about making buy and sell decisions.... Read More
Most stock traders know that momentum trading can be a... Read More
Sometime in the third quarter of 1997, someone told me... Read More
Are hedge funds a suitable investment for you? Hedge funds... Read More
There is so much involved in developing peak performance, that... Read More
In 1960 an engineer working for a watch company in... Read More
I have a 2-car garage. There are nice shelves on... Read More
The big bad bear is stirring again. So far he... Read More
There is a famous cliff on the ocean in Acapulco... Read More
A few years back ? it seems like an eternity... Read More
This is a guide to the different types of mutual... Read More
In 1960 an engineer working for a watch company in... Read More
Investors who exclusively use broadly diversified, no load mutual funds... Read More
During our travel down life's path we come to many... Read More
As a novice trader, you'll often feel the need to... Read More
Stocks & Mutual Fund |