The strategy

Where can you find a mutual fund or other financial portfolio that gives a 60% return in 12 months? Nowhere... except here. I would like to give a brief explanation to our simple strategy for investing. Comments are welcome!

1. First we find a good company. Whether or not a company is a good one is based on many factors... a more in depth look into this subject will be posted later.

2. So lets say you have found your Good Company that you want to invest in. Now many investors like to classify themselves as either "day traders" or "long term investors", we don't like to classify. Our strategy does not concider time a key factor. The point is to make goals on the amount you want to make on each investment, disregarding the time it may take to do so. Once your investment reaches the goal, you cash out. (But you must cash out! Emotion cannot be a part of it as was mentioned earlier.)

Example: Lets say we find our good company, Apple. (AAPL) On a long term basis we feel this company will do well, and its stock price will increase. So we buy it. Our goal will be 3%. Once AAPL reaches 3% above where we bought it, we sell. It could take a day, a week, a month, or even a year for this to happen. Hopefully we have enough brains to find the correct stock that will go up that amount in less than a year.

This sounds simple doesn't it? Well, it is. What makes it profitable? Two things, looking for a long term good company, and setting the goal. Those two things alone will help you tremendously. In future posts I will relate a few time when I lost huge amounts of money by not doing these two things.

I am not the best writer so any questions feel free to ask!

peace