Wednesday

Stocks

TheInflationist at 100% Milestone | 5 Months Doubling Time

It is time to celebrate as our portfolio hits the century milestone (100% return), translating to a doubling time of five months. For those who are new to the site, TheInflationist was born on 4th January 2009, in the midst of one of the biggest economic crisis in history. VIX was through the roof, Dow Industrials shed 1000 points a day (and up 1000 the next), financial superweights closing their doors after >100 years of operation, and prices (of anything from commodity to forex) were at extremes at unprecedented levels.

We have been relatively dormant for years, sticking to fundamentals and buying only debt-free companies trading close to cash (which meant we had very limited choices). However, as the herd went for the doors, we decided it was time to act.

Be greedy when others are fearful, and be very fearful when others are greedy -Buffett-

Five months later the dust seem to have settled as confidence is back up and there are whispers that we are now at the start of a secular bull market (despite rising unemployment-crazy). From here we aim to continue trading the way we do - the change in volatility and direction may potentially affect our performance (in an unknown way). Therefore, we will NOT double our leverage until we hit the 200% mark - this reduces the risk in the event that our trading success have been nothing but a random event occuring out of chance.

Our readership is also growing in line with our performance. We take this opportunity to welcome all new members and to thank you for your contribution. (FYI, we research every stock picked by you and provide our two cents worth of feedback). We aim to grow the community and share precious resource to help us outperform the market. There is a finite amount of research time available to any one person, so collaboration is the key. Your leads may help us outperform collectively as a group.

For those who are new to our site, we started TheInflationist Trading Challenge in January 2009 with $40000. Unlike any other stock trading website, we trade publicly LIVE, track our performance transparently, and make actual trades in our personal portfolio (yes, we own every stock and trading position in our portfolio). We stick our necks out on the public chopping board and feel actual pain when our positions are in the red (No, this is not virtual trading for us!)

This phenomenal 100% result is reproducible for all readers as trades are published live at prices available to readers. Applying our own fundamental and technical analyses with our conservative risk management strategies, combined with the views of some of our favourite investment analysts (Jim Rogers, Mr Magik, Tony Caldaro, Brian Shannon, Guy Lerner, Marc Faber and Philip Manduca), we formulate trading plans both short and long term. We do not rely on any one source, and not uncommonly trade contrarion to these technical experts (with all due respect).

Feel free to join us - the first website on the web where you can take a position in anything, long or short! Trading is as easy as writing an email.

1. Register

2. Go to “My Portfolio” (top column of links)

3. Add stocks (search for stock codes using Yahoo here) - for Australian stocks, add (.AX ie dot AX) as an extension (eg: BHP.AX for BHP; WPL.AX for Woodside); enter the purchase price and quantity.

4. To write an article, click on “Post Article” link on top.

5. For trading indices or commodities, simply click on “Add New” under the “Posts” section in your Author Dashboard (www.theinflationist.com/wp-admin).

The Inflationist is a believer of undiscovered public talent, inspired by the success of the Idol concept. The Inflationist aims to provide objective, transparent stock coverage by leveraging on public investing talent.