If Joe Hooper could not keep his Covered Call Fund going and had to close it down, what makes you think you are smarter than Big Bald Joe? He makes his money from selling seminars, not investing in covered calls like he teaches. CC's work great in a rising or horizontal market. How much did you get slammed in the downturn?
--- In
compoundstockearnin gs@yahoogroups. com, Gilbert Arevalo <gilbert_arevalo@ ...> wrote:
>
> I did some research (sanity check) this morning on the very best long-term systems - including the #1 investment strategy as tracked by AAII (CANSLIM).
>
> IBD 100 index (since 05-May-2003) : +127.1%
> versus S&P 500: +28%
> Note: it had a 58.3% drawdown with the '08-'09 dump.
>
> "According to the American Association of Individual Investors (AAII), since January 1998, market portfolios
> traded according to CANSLIM principles gained an average of 1,859.3%,
> versus a gain of 23% in the S&P 500. . ." http://en.wikipedia.org/wiki/CAN_SLIM > Meanwhile, my CC Strategy since 1998 has gained 3500%.
>
> Compare the results from professional money management company:
>
> CANSLIM PC (Jan-2001-Feb- 2010): 215%
> versus S&P 500: -4.6%
> Note: it had just a 20% drawdown.
>
> This last investment program most closely resembles my CC Fund
> approach, since it's "portfolio is a long-term growth vehicle that
> invests in leading growth stocks as the market rises and scales to cash
> to preserve gains during market declines."North Coast
>
> Compare Returns
>
> -CANSLIM PC- -KC PRO CC Fund- -S&P 500-
> 2001 12.5% 16% (11.9%)
> 2002 2.7% 1% (22.1%)
> 2003 55.5% 120% 28.7%
> 2004 31.5% 44% 10.9%
> 2005 13.8% 76% 4.8%
> 2006 10.1% 34% 15.5%
> 2007 12.5% 12% 4.9%
> 2008 (12.3%) 28% (37%)
> 2009 10.0% (6%) 23.5%
> 2010 (1.8%) (1.5%) 8%
>
> In conclusion, the above data re-affirms my long-term investment
> methods remain on point - despite lackluster trailing 9-month results.
> A) Risk: my 20% (max) drawdown is in keeping with CANSLIM PC
> B) Return: my 1,062% gain bests PC's 215%.
> C) Although both systems returns vary substantially from one year to
> the next, staying the course grows your account exponentially - despite
> the market's ups and downs.
> D) Since Jan-2008 (through the market crash and return from the abyss)
> my system has significantly out-performed growing 18.5% versus CANSLIM
> PC's loss of 1.8%.
> E) Drawdown: my DD during this period has been significantly muted
> compared to the drop and rise from PC, which is still off it's highs.
> F) 2010: Even though Q1 has seen a supposed market "correction" AND
> has a YTD 8% gain - both these systems have under-performed.
> G) Long-Term Systems: for the long-haul, this approach are still the most profitable for the individual investor.
>
> I'll leave you with a quote from the publisher of IBD who developed the
> CANSLIM method - the #1 investing strategy, as independently tracked by
> AAII.
>
> "90% of people in the stock market, professionals and amateurs alike, simply have not done enough homework." William J. O'Neil
>
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