One guy asked Sykes as to why does he do such cheesy marketing clips showing cars, girls, hotels, watches, real estate etc. The answer was that it is to "motivate" you guys. Makes sense but that can also lead many a folks into taking higher risks, especially if they have not blown up few accounts before.
One place I read about Sykes and InvestorsUnderground that the subscribers get a feeling of "feeding dollars" to the trade positions of the gurus. Do not know the truth. However, investorsunderground is known to too much noise in the chatroom and also many a trades he pulls are posted later on as winners making others feels as if they missed the boat or something.
That is not true about Sykes it seems. A problem I see is he trades lots of penny stocks where pump and dump type deals are taking place. In a rush, the bid-ask spreads can widen up massively and a trade that is a winner on paper or even real time is actually a barely break even after the fills have been accounted for.
I do not know anything about penny stocks, nor his method, nor the "motivation" of his followers. but, clearly the riches that he attained are from sales and marketing, and not from his trading skills. Do I have a problem with that? not at all. Like I said, if it takes a certain kind of "special" someone to buy this, and he found them...a whole $4 Mil of them. Free country, free ads, and a whole lots of lawyers to protect you after the first mil. For those who need his methodology summarized in one line: shit penny stock companies go to zero. the end.