AOL accounts for something around 60% of their profits, YHOO and AMZN account for all the rest.
The RuleBreaker has eBay, not YHOO, and it was also IOM that accounted for a healthy chunk of their profits along the way. As for AOL being a huge winner, do you have a problem with that? What's your huge winner? The Fools have evolved their investment strategy as their understanding changed; that's inherently good, IMO. You can call it luck. But calling it luck doesn't help you understand why they bought AOL in the first place.
FWIW, I have not read any of their books, but I have read many of their portfolio recaps. They also have had the grace to pre-announce all of their trades, and they still do.
The Fools have made some pretty big mistakes in the RuleBreaker port (as it is now called). Fortunately one of their mistakes wasn't selling when AOL doubled, or tripled, or quintupled. Their cost basis on AOL is now 91 cents a share. They have seen the power of compounding in a serious way. Yesterday, when AOL was up 16, they saw about 1,700% return on their initial investment in AOL.
KIS, what is your longest-held position, or are you a trader?
Randy |
