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Non-Tech : Banks--- Betting on the recovery
WFC 87.12-0.3%Nov 4 3:59 PM EST

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To: Cautious_Optimist who wrote (1253)12/1/2010 1:04:24 AM
From: Asymmetric   of 1428
 
That's what the article states.
.
I think the statement in question:

"rebalance, by selling your winners and buying more of the
losers. Most people can’t bring themselves to do this, even
though it improves returns over the long run."

basically expresses the "Dogs of the Dow" theory. Barrons used
to run tests where if you sold the top gainers in the Dow for the
past year, and bought the poorest performers within the Dow...eg
the "dogs", this simple act outperformed most stock pickers.

- A.
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