The Story Of How A Small-Scale Individual Investor Can Get Double The Returns Of A Mutual Fund Investor
Friday, May 18, 2007
Google
I doubled my position in Google to 8.3% of my overall portfolio today. I think Google has about 30% downside risk from here, but I would assign low probability to that. It is much more likely that Google will be up 30% in the next 12 months and will at least double in the next 3 years.
The only way to beat the market is to bet on something the market isn't anticipating and be right. You cannot follow conventional wisdom and expect unconventional returns.
I encourage people to learn and understand more about their investments. You cannot just throw some money at a few mutual funds in a 401K or RRSP account or buy a home and think you'll be okay. You need to play an active role. The downside of avoiding this role is that you probably will not only not achieve your retirement goals but you will miss out on huge opportunities in today's investment climate.
Goal
The goal of this blog is to demonstrate my portfolio management history and performance as well as my analysis.
"But I was investing peanuts then. It's a huge structural advantage not to have a lot of money. I think I could make you 50% a year on $1 million. No, I know I could. I guarantee that."
- Warren Buffett, 1999
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