The System

There has been a great amount of discussion and opinions on the market conditions we are dealing with. I recently read an article that said Modern Portfolio Theory no longer works, market timing is the way to go. I will admit that no strategy always works, however going from one strategy to another and trying to out guess the market will inevitably lead to failure. The different opinions out there today are trying to work on the investors emotions, that someone else has the 'answer'! No one can consistently predict the future, by remaining disciplined to a proven strategy the investor will succeed in the long run. Financial institutions such as Merrill Lynch and Fidelity have hundreds of money managers, stock pickers, on staff because they know a few will get lucky and pick the right stocks or strategy, they then promote these lucky pickers or strategists. The result is the investor moving their money to the lucky pickers or strategists, which makes more money for the financial institutions. These institutions criticize strategies such as Modern Portfolio Theory because they make less money on trading. I encourage you not to fall victim to this hype stay disciplined to a proven strategy. In the long run you will succeed.