Can you live without this book?
The Motley Fool's Rule Breakers, Rule Makers : A Foolish Guide to Picking Stocks By David Gardner & Tom Gardner
Read more about it, or even buy it, here: amazon.com (this gives me the commission rather than them but they still get royalties)
I just got email from them today announcing it. As foolish as they seem, their portfolio in 1998 CREAMED the stock market and their picks like AOL and Yahoo sure creamed our favorite stepper company. Interesting comparison, really. You have good advisors saying to stick to good asset allocation while the "new fangled kids" come up with portfolios that make tons of money for people that follow them. Until the market for internuts crashes, as we all think it will, these types of people will take clients away from good advisors.
Ask yourself, would you rather pay $185 for portfolio 3 which did about 10% last year for follow these guys for the cost of a book and surfing their website?
From their email: "The Rule Breaker Portfolio finished 1998 up 199% versus S&P 500 gains of 29%, and has turned an initial $50,000 investment in 1994 into more than $580,000 today. It and the Rule Maker portfolio make common stock investing a heckuva lot more rewarding than buying a mutual fund."
We all have to admitt, they really did well.
By comparison, Portfolio #1 of BB's was worth $44,803 on Dec 31, 1993 and is worth $77,195 as of Nov 28, 1998 (I don't have the latest numbers.....) Lets see 10x gains vs 1.7x.... tough choice for most.
Maybe this explains the market blowout as many are converting to portfolios that don't make good investment sense? Who knows?
fool.com shows their portfolio for 1999 is up 27% already….
Kirk |
