I don't expect every stock in an advisor's portfolio to go up. He or she is entitled to some mistakes. But mistakes like recommending stocks like Pokphand and Service and Monaco over and over for years and years, until they are beaten into the ground, these are tidal mistakes. They raise serious doubt about the overall judgment of the advisor, about the mental process he uses to determine value and promise in a company. And then to exit in a way that deliberately attempts to cover up the magnitude of the loss ("switch from Pokphand to Fletcher") demonstrates how cunning and deceptive and evasive he can be to his subscribers.
Regarding Apple, what I am talking about is people buying in the 40s and high 30s on his strong advice, and then being advised just two weeks later to sell at 29. It was a significant loss, Dan; don't make little of it. And by the way the same thing happened with Service. He pushed it hard on the hotline when it was in the 4 range, and it was less than two weeks later that he issued his sell order in the newsletter when it was at 2, a drop of over 50% presto, immediately. The irony is that there were reports in the Wall Street Journal at the time that Service was in trouble, and he ridiculed them; he lamblasted them; it was all a big conspiracy, etc. etc., but in the end he sheepishly got out of the stock after it got crushed. Don't you see, Dan, this isn't just a matter of him being wrong about a stock; it's a matter of him going on a defiant campaign against Wall Street, the short-sellers, "the gloomsters" etc. except it's more like Don Quixote fighting the windmills. These utter investment disasters like Service, Pokphand, Monaco, and even CD (when viewed as a $24 investment) tell me that his critical judgment is really and truly flawed. It is inadequate. If he was once sharp, then he's lost it. It happens, you know. I realize that you are going to continue defending him no matter what because you are psychologically committed to him. However, I am sure that the objective investor has enough evidence in front of him or her to realize the need to look elsewhere for investment advice. |
