Which way? Investing.

deaddog said:
Are your returns anywhere close to holding SPY?
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If you paid attention to your own questions which I'm sure you don't because you ask a thousand questions on ET, you would discover you've asked me this same question before recently.
 
deaddog said:
Are your returns anywhere close to holding SPY?
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That's a laughable, sad, question to ask traders.
Watch their face...morph, squirm, turn shades and hues different.

A Huge majority of traders and so-called finance professionals and experts in this industry...can barely match, beat, the S&P annual average.
And they realize they are basically full of stuff, and they provide no value to their customers and clients.
 
SPX Options Trader said:
That's a laughable, sad, question to ask traders.
Watch their face...morph, squirm, turn shades and hues different.

A Huge majority of traders and so-called finance professionals and experts in this industry...can barely match, beat, the S&P annual average.
And they realize they are basically full of stuff, and they provide no value to their customers and clients.
More...
themickey said:
If 90% of stock market players lose, never mind whom, traders or investors, what does that say
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I think even Buffett with his gazzillions doesn't beat the index.
Does that matter to him? No! :)
 
themickey said:
If you paid attention to your own questions which I'm sure you don't because you ask a thousand questions on ET, you would discover you've asked me this same question before recently.
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Sorry Mic; Must be early onset Alzheimer's; I mostly ask questions for you to answer yourself, to make you question whether what you are doing is worthwhile. I don't really give a fat rats ass one way or the other.

I gather what you are doing is easy and you are comfortable with the process but is there a better way to achieve what you are trying to do.
 
deaddog said:
I gather what you are doing is easy and you are comfortable with the process but is there a better way to achieve what you are trying to do.
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I doubt it.
I really enjoy my hobby/job, lots of fun, enjoy coding, enjoy being in a candy store market where there's lots to choose from.
Keeps me sane, keeps me busy, pays the bills. :)
 
themickey said:
https://www.afr.com/markets/equity-...built-on-earnings-that-endure-20210908-p58pur

A bear-proof fence built on earnings that endure
William McInnes Reporter Sep 13, 2021

If most investors were only allowed to select 15 companies for a global portfolio, few would choose to buy a 155-year-old paint manufacturer based in Cleveland, Ohio.

But Sherwin-Williams is one of the quiet achievers for Claremont Global, a quality, high-conviction global fund spun out of Evans&Partners. Claremont portfolio manager Bob Desmond describes it as “a boring company that just sells paint”, but his admiration goes beyond its palette of bestselling colours, from Origami White to Iron Ore.

“The thing in this company that’s quite amazing is the culture,” he says.

“It comes from Cleveland in the Midwest and these companies are down to earth, they serve their customers, their employees, their shareholders, they’re not arrogant, and they stick to what they’re good at.”

In the last five years, Sherwin-Williams has tripled investors' capital and risen more than 50 per cent since its pre-COVID-19 levels.

“The continent was opening up but while the continent was getting better, Zimbabwe was getting worse,” he says. “So I decided to leave Zimbabwe in 2001, sadly.”

After working for Seilern Investment Management in the UK for eight years he came to Australia and joined Evans&Partners as a senior equity analyst. In 2017, he became head of international equities for the firm and was put in charge of what is now Claremont Global.

Along the way he has witnessed some of the biggest economic crises of the last three centuries.

“I literally landed in London on the day of 9/11,” he says. “Since then we’ve had the GFC, the euro sovereign crisis, we’ve had Brexit, we’ve had Trump and we’ve had COVID.

“So instead of trying to predict everything, I just think it’s easier to own the best so that when the worst happens, I can still sleep well at night.”

One of Desmond’s key filters for a quality company is being able to stand the test of time and outgrow a downturn.

“When we look at a new business, we always look at how that business performs in a recession,” he says. “If it’s resilient in a recession, that’s a really good place to start. If I look at the portfolio, the average age of the company is over 80 years old. They’ve seen a few cycles, have been around a while, and they’re pretty durable.

"The newest company in our portfolio is Alphabet.”

Strong growth prospects are also important, as well as a good balance sheet.

“We’re trying to get a return of 8 to 12 per cent per annum, and we want most of that to come from earnings growth,” says Desmond. “So we want businesses that have higher returns on capital, lots of opportunities to deploy that capital, incremental capital and higher rates of return, because of future growth opportunities.”

The portfolio aims to avoid cyclical companies and doesn’t invest in banks, insurance or resource companies.

Desmond says value and timing count: “It doesn’t matter if it’s the best business in the world, if you pay the wrong price, it’s not gonna work out for you,” he says.

Claremont has purchased a stake in Nike after monitoring the stock for more than a decade. “A few years back we owned Adidas for a while and we were looking at Nike as a competitor,” he says.

“But we realised Nike was the better business in our opinion. They were taking share in Adidas’ home market and we felt Nike was beating them on the innovation.

“The real crux of Nike is they have scale. They’re 70 per cent bigger than Adidas, their biggest competitor, and it’s almost a two-horse race.

“We also love businesses that control their distribution. About 15 per cent of sales come from Nike.com and management have said they’d like to get that closer to 30 per cent in the next few years.”

In late March, Nike said it would not use materials from the of Xinjiang region, citing the reports of forced labor of Uyghurs,sparking backlash from China.

The outrage triggered a heavy fall in Nike’s share price, providing the perfect entry point for Claremont.

“That’s kind of how we roll. We tend to follow things for a few years and then there will be a little bump, and that gives us the entry opportunity."

Despite having the opportunity to invest across the globe, most of Claremont’s portfolio is made up of US companies. “It’s not for any particular reason, it’s just that the businesses we want to own are in the US,” the fund manager says.

“They have enormous advantages in terms of a huge domestic market to start with and they have a lot of businesses in the industries we want to own."

Holding a best-in-class portfolio means that in the event of a downturn, he doesn't have to be a seller when market panic sets in, because the earnings will be durable.

“When the market’s in trouble, if you own quality, you stick with your investment and you sleep well at night,” says Desmond. “That means clients then stick with the strategy and get the returns they deserve.”
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My 2 cents on that is that's not trading, it's investing. I can invest in an aggressive or conservative mutual fund and avg 8 to 15% a year over 10 to 20 years and there's nothing wrong with that at all.
But trading is basically saying, I can do better by doing it differently, using different strategies, and if you manage to get 25+% returns and beat your mutual fund, then you're successful.
At least that's how I see it...
 
There are several people I know that seem to have a similar strategy to Mickey.

The theory is that you buy a small amount of a whole bunch of stocks. Seeing as how stocks have no upside limit and a 100% is all you can lose, then in theory your winners should outperform over a long period of time. It's a good theory, however those that follow the strategy would have been better off in an index fund. (Just a small sample of those that actually keep track of their performance: I have no data to back it up)

Some even believe that if they don't sell they don't have a loss. The problem is that their capital isn't working for them. Equity curve is the best way to keep track. That will tell you your performance.
 
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