OK, 1500% over 5 years.
But 6% per month works out to 1500% over 5 years too. So any strategy which yeilds 6% per month or more beats LTBH of CSCO.
It all depends on the time frame in which you operate, and the rate at which you choose, execute and revector strategies.
I'll give bambs the benefit of some doubt and assume a strategy horizon of less than 6 months. While a strategy appropriate for the last 6 months would be inferior if it had been executed 5 years ago (and stuck to), that doesn't mean it's wrong. In fact it can be very right in its time.
If you look at the chart, and reflect on Bambs' oft articulated strategy of shorting CSCO at 70, you'll note there has been ample opportunity to earn more than 6% per month, every month, since posting to that effect began.
In other words, do not be too quick to judge - bambs could be earning an annualized return on current strategy in excess of 1500% over 5 years.
So far this year, bambs appears to have been more right than wrong.
Indeed, I'd be willing to bet that a chart of the "top 5 performers over the last 5 years" posted 5 years from now will not include any of CSCO, INTC, MSFT, or AOL. See you in five years.
So last year's winning strategy could very well be tomorrows losing strategy. It all depends where you stand and whether you look ahead or behind.
As to the strong language bambs has used to explain the position, possibly over the top.
But there have been equally foolish positions taken in the other direction which have attracted considerably less ire. If this ever either turns into the "beat CSCO into a pulp" thread, or "only CSCO cheerleaders allowed" thread, I will remove bookmark. Meanwhile, the more diverse perspectives the better.
Great company by the way. Brilliant management. It's the investment potential I try to pay attention to.
No position, yet, but it's been getting less unattractive recently.
John. |
