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Biotech / Medical : Biotech Stock Picking for Charity - 2007 -- Ignore unavailable to you. Want to Upgrade?

To: Robohogs who wrote (279)	6/23/2007 5:50:09 PM
From: BulbaMan	Read Replies (1) \| Respond to of 397

Fortunately, my real life portfolio is also doing better than my Charity Contest one. In real life, I'm actually up 19% YTD, while my Contest portfolio is now down -8% YTD. Part of the reason for the huge performance difference is that in real life I don't solely invest in small-cap biotechs, but at least as important is being able to trade in real life. So, while at the start of the Contest I held all nine of my picks in real life, I now own just five. Luckily, I was able to sell the other four at prices substantially higher than they are now. Plus, although I still own TKM (formerly IEX) in real life, I sold a large chunk of my shares when the stock was much higher. A striking example of the failure of the buy & hold strategy for small-cap biotechs is the second year performance of the 2005 & 2006 Contest winners' portfolios. SCARAM (Rick) won the 2005 Contest with a terrific 66.2% gain. For various reasons, Rick simply entered the exact same portfolio in the 2006 Contest and it finished 2006 with a -16.8% loss. The 2006 Contest was won by RKRW (Jim) with a similarly fantastic 71.9% gain. Jim decided to follow in Rick's footsteps and keep his 2006 portfolio for 2007. Once again, the champs became chumps and Jim's 2006 Contest portfolio is down -14% YTD.