the five-minute investment formula - [fearlesswealth.com]€¦ · you read great stories about...

TheFive-MinuteInvestmentFormula-[FearlessWealth.com]

2 TheFive-MinuteInvestmentFormula-[FearlessWealth.com]

The Five-Minute Investment Formula How Straightforward Steps Can Put Your Money In The Top 1% Over Any 5, 10, 15, 20 or 30-year Period Without Sitting In Front of A Computer or Pick-of-The-

Month Newsletters.

This is where the story begins.

People often believe that diversification, rebalancing, the lowest fees and the next hot stock pick will provide people with great returns.

But actually it’s killing people’s portfolios.

And if you just know how to keep your approach straightforward, never take catastrophic losses, and protect your money from your lesser self…

…Then you can grow and protect your money in the top 1% of investors during any 5, 10, 15, 20 or 30-year period.

So I’m clear. Everything in the ‘Five Minute Investment Formula” is to start to get people on the blue line shown below in the chart. That blue line represents the performance of the MPX2 strategy that I created in the 1990’s. The research you have in your hands is the start to get your life on the blue line. MPX2 is a straightforward investment strategy to protecting and growing your money in any market condition.

The red line in the above chart is the S&P500.


And even though the blue line is clearly doing something different with people’s money than the red line... the sad truth is most people’s money is not even on the red line. But a line that is growing much slower. Most people’s money is on a line that is growing their money three to five percent slower each year than the red line (S&P500). Why… …Because Big-Box and Independent advisers give you the exact same return of the S&P500 minus their fees, commissions, expenses and performance gap. And then even worse than the Big-Box or Independent adviser returns are The-DIY-Trader” line (The Do It Yourself Trader). “The-DIY-Trader” is the strategy the Investment Newsletter Industry wants you to be on. It’s a fun line to be on this line. You read great stories about great companies. And you are able to elevate your status with friends because you can tell them facts about certain stocks or companies they don’t know. In other words, it makes you look smarter and be a better storyteller yourself. But don’t compare your newsletters investment returns to the red line (S&P500) and definitely not the blue line (MPX2). Because if you do, you’ll soon discover the DIY Strategy is often the worst investment strategy simply because it involves the most actions from your lesser self. The DIY strategy is worse because of all the times you are exposing your money to your lesser self. Your “lesser self” is the part of you that always knows what to do when you don’t personally have money on the line… Or only knows what to do in hindsight…Or only knows what to do when the market is in a stable uptrend. But the second the market falls, goes sideways or does something your lesser self doesn’t like. Then bad decisions erupt and money is lost.


The research is very clear. More trading leads to lower returns. And owning more stocks leads to lower returns. And because investment newsletters are always talking up their new investment ideas each day, week or month, they are accomplices in driving your investment returns lower. So if the solution is not big-box advisers or conventional independent advisers or reading “Pick-of-the-Month” investment newsletters, then what’s the solution…? The Five-Minute Investment Formula. Let me explain. There are three ingredients in the Five-Minute Investment Formula…all three are straightforward off-the-shelf ingredients. And all three ingredients by themself are too simple to work… BUT mix them together in a recipe and BANG! You have a straightforward, uncomplicated investment strategy that aligns your money to the market. This approach allows you to be part of all the stable uptrends and avoid catastrophic losses. Most believe, complicated problems need complicated solutions. But actually it’s just the opposite. Sometimes complicated, difficult problems need straightforward solutions. And with investing in the stock market is one of them. Most will say, ‘that’s ridiculous’. A three-ingredient method is too simple to get your life and finances on the blue line. So let me clearly describe to you how to start to get your life on the blue line (The MPX2 Strategy), which is pictured below being compared to the S&P500 (red line).


Again remember, it’s because the blue line strategy is straightforward and simple, that people disregard and overlook it. People overlook the simple and dig for the complex solutions. And this is why they consistently lose. Let’s get to work.

Ingredient #1 Buy what is already going up.

There is no method called “buy what is already going up” in the investment industry, the closest approach would be called “momentum investing”. If it is not already clear, let me explain why “buying what is already going up” works and is the first ingredient. Eugene Fama, Ph.D, MBA is an American economist and Nobel laureate, known for his work on portfolio theory, asset pricing and stock market behavior both theoretical and empirical. Fama is current the Robert R. McCormick Distinguished Service Professor of Finance at the University of Chicago Booth School of Business. The picture below, Dr. Fama receives his Nobel Prize in Economics. Fama is considered the father of the Efficient Market Hypothesis (EMH), which states, the stock market is completely random and efficient, therefore it is impossible to “beat the market”.


Basically, Efficient Market Hypothesis states that, its impossible to beat the market because the market is ALWAYS reflecting all known information about a stock therefore the market is always trading at its fair value. The next part is super important…what Fama says next about his own hypothesis is very important to getting you on the blue line. Personally, the idea of an efficient market seems silly. BUT it’s important for you to know because it influences a trillion dollar industry and how they market, “educate” and manage your money. It’s hogwash because it’s not able to explain multi-decade returns of people like Soros, Icahn, Henry, Einhorn, Rogers, Dalio, Druckenmiller, Cohen, Ackman, to just name the ones at the top of my mind. All these guys and dozens of others have all consistently beaten the market. So how can Dr. Fama justify his thesis about an efficient stock market that cannot be beaten? Simple, Dr. Fama explains all the data that deviated and deviates from his model. And guess what’s at the top of his list of unexplainable data? What consistent action cannot be explained by his hypothesis? Momentum… Or what I like to call, “Buy What Is Already Going Up”. Look at the image below. Based on Fama’s personal data, Larry Swedroe and Andrew Berkin explain what can’t be explained by his thesis. Notice the biggest piece of data that can’t be explained?


Momentum accounts for an additional 9.5% of relative returns when comparing it against the market. And cannot be explained by Fama’s Efficient Market Hypothesis. Momentum, more than anything else, accelerates the investor’s returns best. Momentum beats, value investing, stock size and volatility (which is called Beta) in relationship to the market. Isn’t that interesting? In second place is “Beta”, which defines the amount of movement a stock has when compared to the overall stock market. In other words, when a stock with higher Beta is moving up, it’s outrunning the market. And stocks seem to outrun the market longer than people can ever imagine. So the two biggest anomalies that the Efficient Market Hypothesis cannot explain create the first ingredient of how to get your life and investments on the blue line. Just buy what is already going up. Now… by itself, momentum can’t really help you get on the blue line. But when you mix it with two more ingredients you have a powerful way to safely accelerate your portfolio. As a reminder, below is an image of the blue line (The MPX2 Strategy) being compared to the red line (S&P500).


Let me clarify more. Check out the two guys on the next page? Those guys wrote the definitive academic paper on ingredient number one. They did exhaustive research on why ingredient number one, “buying what is already going up” is one of the three ingredients to why the blue line (MPX2) in the chart above is accelerating so much faster than the red line (S&P500). What did UCLA professors Narasimhan Jegedeesh and Sheridan Titman (pictured below) discover in their comprehensive research? They discovered strong evidence that, buying what is already going up (momentum) increases portfolio performance. In fact the best performing portfolios owned stocks that were already doing what investors wanted them to do (moving higher) before investors added them to their portfolio. When you hear “momentum” described as “buying what is already going up” it’s immediately obvious to some why it works. Right? You want to go north out of town…? Catch the bus that is already heading North out of town. Don’t get on the bus heading south or looping the town hoping it will turn around. Board the bus that is already going in the direction you want.


So the most extensive research ever done in academia about “buying what is already going up” provided clear answers. Buying investments that are already going up accelerates your portfolio and your life.

Thank you Jegadeesh and Sheridan for doing the research to confirm what common sense says works… buying what is already going up is better for your portfolio’s health. Note: The actual ingredient used for the “Blue Line Strategy (The MPX2 Strategy) is a signal. And it’s this signal that tells you when “up” is “up”. So there is zero interpretation. Okay, the next ingredient?

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Ingredient #2 Beat the market by buying the market…

…Because the market is already going up 77% of the time. I’ll get to what to do with the other 23% of the time with ingredient #3. I know “buying the market to beat the market” sounds ridiculous. How can that be? This is difficult to believe for two reasons, (1) remember this is just, one, stand-alone ingredient. And (2) The “Rube Goldberg Complex” has taught you to believe growing your money needs a complex solution. Never heard of the “Rub Goldberg Complex”? It’s the same thing as the Military-Industrial Complex that Dwight D. Eisenhower talked about in his farewell speech on January 17th, 1961. But instead of a five-star general and the 34th president of the United States calling fowl, I am. Or more likely Rube Goldberg is… Rube Goldberg was a Pulitzer Prize recipient for Editorial Cartooning and is best known for his cartoons depicting complicated gadgets that perform simple tasks in indirect, convoluted ways. Rube is the inspiration for various international competitions, known as Rube Goldberg Machine Contests, which challenge participants to make a complicated machine to perform a simple task. The next page has an example of Goldberg’s work.


So who are the participants competing to build the best Investment Rube Goldberg Machines? For 50 plus years, there have been three key participants… 1) Big-box advisers. 2) Independent advisers. 3) The investment newsletter industry. Together, they’ve created a Rube Goldberg Machine that’s been very successful in creating misdirection, confusion and complexity. What misdirection… Misdirection that has you solely focused on low fees, diversification, rebalancing and chasing the perfect stock. I know. To some it sounds ridiculous. Because we’re all taught that diversification, rebalancing, low fees and stock picks are the answer. But they’re not.

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It’s intellectually difficult for us humans to believe that straightforward can beat complexity. But it’s the case. And it’s not just me who’s beating the drum about this number one misdirection (diversification). One of the best investors in the world is saying Diversification can be damaging… Who am I talking about? …Mohamed El-Erian. The former manager of the Harvard Endowment. And a current member of Harvard’s Global Advisory Council, and a past faculty at Harvard. Mohamed then later became CEO and CFO of PIMCO, with $2 trillion under management. Mohamed is also a columnist at Bloomberg, contributing editor to the Financial Times, and member of their “A List”. He’s on President Obama’s Global Development Council. And a contributor to Fortune and CNN.


And what does Mohamed have to say about the big-box, independent and newsletter industries top idea…?

“Diversification is not sufficient. You need something more to manage risk.”

And when did Mohamed make this statement…? In an interview with the popular Kiplinger’s Investment Magazine in 2009, just as the investment world was noticing their diversified portfolios were getting killed right along side everything else. Diversification didn’t help investors in the 58% loss from October 2007 to March 2009. And it didn’t help in 2000 and in 1998 and in 1991 and in 1987 and in 1982 and in 1973 and in any of the previous corrections going back to the beginning in 1871.

This is your wake up notice. And your approach has to wake up too.

Let me explain.

When people give their money to an advisor (Big Box Adviser, Independent Adviser, Robo Adviser, etc.) that advisor is going to build a Rub Goldberg Investment approach based on 1970’s research like diversification and rebalancing and low fees.

This complex portfolio they build for you will 100% mirror the market they are being measured against.

That’s means your portfolio will mirror the S&P500 if you are in stocks. And mirror the Total Bond Market Index if you are in bonds.

So if the stock market goes up 15%, the money that advisers “manage” for you will go up 15% minus fees, commissions, expenses and a performance gap.

And if the stock market falls 15% your account will fall 15% minus fees, commissions, expenses and a performance gap.

What’s the difference? On average Big-Box and Independent Adviser client’s grow their money 3% to 5% slower each year than the unmanaged S&P500.

Over time your life choices get smaller because of… you guessed it… complexity.

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Complexity that’s made up of fees, commissions, expenses, taxes, trading slippage and timing, which the industry calls rebalancing.

And why do we humans fall for this?

Because we believe their lie.

Advisors complicate your investments so they can justify their fees and existence in your life.

You get it?

They build a Rube Goldberg Machine for you and then after you see how complicated it is, you feel relief when they swoop in as the savior and manage their complexity for you.

But their Rube Goldberg Machine underperforms the S&P500. In fact those conventional portfolios will underperform the S&P500 98% of the time over any ten-year time period going back 145 years.

And all you have to do to beat them is simply buy the S&P500. AND then if you really want to crush them. You know what you do?

You simply reinvest your dividends, which can be done with a click of a button.

But RC, what about bonds?

Aren’t those there to keep your money safer?

If you have bonds and you don’t need income, then the bonds are in your portfolio because Big-Box and Conventional Advisers needs an investment to go up when all the stocks in your portfolio fall.

Why do they need something to go up when all of your stocks are falling…?

Because big-box and conventional independent advisors are never going to sell your stock positions… except once a year in a market-timing event called “rebalancing”.

Read that again, the biggest market timers on the planet are big-box advisers and conventional independent advisers.

AND THEN they are going to let your money take the entire hit of all market crashes. They aren’t even going to try to veer out of the way.


Straight-on head collision? Massive pothole in the road? 100-car pile-ups just ahead?

Don’t worry we’ve got bonds….

No bonds to soften the blow? We’ll I guess you’re in it for the long-run with the big picture in mind.

If Doctors or Lawyers or Captains or Pilots acted this way, they’d be in jail.

But not Big-Box and Independent Advisers… the companies they work for make billions selling you these lies.

Shouldn’t that be illegal or fraudulent?

--- --- --- So how do you know if you have a Rube Goldberg Machine managing your money?

If you have more than 10 stocks, ETFs, Mutual Funds, etc. then you have a complicated, conventional portfolio built to confuse and overwhelm you.

And that means you will underperform a plain-Jane stock market index, like the S&P500 with reinvested dividends.

And in many cases you are going to underperform that plain-Jane S&P500 index with reinvested dividends by a wide margin for decades.

So what’s the best way to eliminate the Rube Goldberg Investment Complex?

Buy the S&P500 with one symbol and reinvest your dividends… Simply buy ticker symbol VOO.

VOO is a symbol that mirrors the S&P500 and is run by Vanguard. The cost to own VOO is four dollars for every $10,000 invested with no minimum.

Stick with me because buying this ticker symbol is not the secret… it’s just an ingredient.

VOO is not the specific symbol we use to get your life on the blue line (The MPX2 Strategy)…pictured below. But it's a start and a great next step for getting back control of your life.

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Write this down, 99% of all Big-Box and Independent advisers will underperform VOO, while charging you at least 25x more in fees, commission and expenses.

Now…if you’re reading this you know conventional advisors cannot help.

But this should help you make the change if you still have them “managing” your other accounts.

Buying the S&P500 and reinvesting your dividends is your stock market free rate of return.

And reinvesting the dividends is one of the main ingredients to beating almost everyone.

But it gets so much better.

The S&P500 have some very painful down years. And you are going to want to make sure your money avoids the majority of those periods.

I’ll show you how you can avoid the big down years with the third ingredient.

Notice in the “Get Your Life On The Blue” Chart below how there are periods on the blue line that are flat?

Well you already know two of the three main ingredients to get your life on that line.

Ingredient #1 = buy what is already going up. Ingredient #2 = buy the S&P500 and reinvest dividends


But before moving to the third and final ingredient I want to talk about the Investment Newsletter Industry.

Because they go about building their Rube Goldberg Machines slightly differently, though equally damaging.

Yes, they can seem a lot better than Big-Box and Independent Advisers BUT they are creating their own type(s) of complexity which can accually be more harmful to your wealth.

Let me explain.

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If you buy one of the nine main sectors that make up the S&P500…

…namely, the financial sector, the materials sector, the industrial sector, the healthcare sector, the utilities sector, the energy sector, the staples sector, the discretionary sector and the technology sector.

You are going up against math.

You see if you buy one of those sectors you have a one in nine chance of being right. Or an 11% chance of being right.

And in order to justify that investment, it must, at a minimum, grow more than 200% faster than the market itself or its not worth the mathematical risk.

Historically, do you know how many sectors grow 200% faster than the S&P500 over time?

At any given time its zero to one. And the one is a sub-sector. And then when the sub-sector changes and you have to be on top of which sub-sector is next. And

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then you could be wrong and buy the wrong sub-sector… and so you have to trade again. And again. And again…?

Don’t know how many sub-sectors there are? There are fifty sub-sectors. Now your chance is one in fifty. Or 2%.

Good luck.

You don’t have to trade or be a trader to grow your money well.

The point is you only have an 11% chance of being right each year with the sectors AND 2% with the sub-sectors. So over a two-year period you have a 5.5% chance of being right on which sector to be in. And over a five-year period you have 2.2% chance of being right.

And the odds are even worse with the sub-sectors… over any five year period you have a 0.125% chance of being right.

Those aren’t the odds you want to bet your future on, would you?

And this is just looking at the nine core sectors and main sub-sectors of the S&P500…

IF you were to step into the ETF world… there are over 1500 ETFs. Good luck with those odds.

And if you were to step into the individual stock world… There are over 4,000 stocks listed on the big boards. And 20,000 publically traded stocks in the US alone.

Again, the odds are against you.

Why not stack the odds, history, math, statistics and probability in your favor…?

This is why the Investment Newsletter Industry is part of the Rub Goldberg Investment Complex.

I hear what you might be saying, “RC, they have a system… a method so I only see their filtered list. So I won’t be looking at 1,000s of stocks…”

So here’s the problem.


Your Newsletter, between their free daily service and their paid service(s) are giving you a dozen news stocks to think about investing in each and EVERY month.

Research is very clear on this.

That is too many choices for your brain to manage. Your brain is literally fatiguing over all the decisions it needs to make. And it’s paying a biological price… and you are paying a financial price.

And what is that price? The brain, when overwhelmed, shuts down and chooses to do nothing.

And doing nothing is a very expensive strategy IF you want your money to grow.

And with the newsletter industry throwing hundreds of choices at your brain each year, choices that are wrapped in amazing stories of growth and ingenuity. With headlines, like “The Facebook of China” And “The Next Google”, it’s no wonder you’re captivated. I’d be too.

Humans love stories, especially ones about investing and money. It makes us feel smart and look smart to our peers.

BUT all of these stories and investments are misdirecting your attention away from what really matters.

And what matters most is to grow your money consistently. And the investment newsletter industry isn’t doing that.

The investment newsletter industry built their own Rube Goldberg Complex and it’s killing your investments because....

…they are not showing you have to protect your money from your lesser self, which we are going to fully describe in ingredient #3.

Again, before we go to the third and final ingredient. Straightforward can work. And Straightforward can be powerful.

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Ingredient #3

Never take catastrophic losses. Big-box advisers and Independent advisers don’t believe in managing losses. Which, at face value, should be very concerning to you.

Especially considering, that the best investors in the world all believe in managing losses. And it’s primarily this one reason why they’re the best.

The Best investors all manage losses first.

They all have their unique approaches to buying AND they all put 9X the amount of energy and time into protecting their money from losses.

Here are some of the people who believe in never taking a catastrophic loss…

Bill Ackman, Ray Dalio, David Einhorn, Kyle Bass, George Soros, Leon Cooperman, John Paulson, Joel Greenblatt, Carl Ichan, Bruce Berkowitz, David Tepper, Edward Lampert, Warren Buffett, Julian Robertson and Seth Klarman all manage losses.

Don’t know all the names?

They’re all billionaires or manage billions of dollars or both. And they all believe managing losses is the key. And yet, conventional advisers and Big-Box Advisers don’t do this.

The best all believe 9x the amount of energy should go into managing losses than managing gains. And yet big-box advisers and independent advisers take the entire hit of all stock collapses.

Doesn’t that strike you as really weird…maybe even fraudulent?

I mean, what other industry acts like this?

And DIY (Do It Yourself) investors, which are mainly the customers of the Newsletter Industry don’t fare any better. In fact they are worse off…

Because they don’t have a straightforward, easy to follow method that protects their money from their lesser self.

What is their lesser self? It's the part of the human brain that only knows what to do in hindsight. And we all have it.


Our lesser self is the main reason why John Templeton, had to hire someone to implement his own investment strategy. He knew. He couldn’t trust himself to do the right thing at the right time.

Don’t know John Templeton?

Templeton died with a net worth north of $22 billion, all from investing. He figured out that his “lesser self” would get the best of his investments and did something about it. You should too.

So he took his lesser self out of the equation and hired someone to implement his system. Smart guy.

Be more like John Templeton and less like the Big-Box Advisers and Independent Advisers by protecting your money from your lesser self.

So how do you do this…?

To manage your losses (and your lesser self), you want to keep things straightforward AND you want a signal.

A signal to alert you that, “something has changed” in the market and the probability of safely growing money has changed.

You want a signal to tell you to, Get Out!

The way you create a strong signal is by using a tool that signals to you that the market has changed direction.

The best tools are simple ones.

The ones that don’t break. The ones anyone can use. So what’s such a tool?

Moving averages.

A moving average is a line that adds up the closing price from a set period of time and then divides it by the number of days to get an average.

For example, a 20-day moving average will add up the closing price over the last 20 trading days and divided that number by 20. Using moving averages to protect your downside, works.

And don’t just take my word for it.

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Meb Faber, co-founder and Chief Investment Officer of Cambria Investment management, who’s authored three well received books and numerous white papers and is a frequent speaker at industry gatherings and has been featured in Barron’s, The New York Times, The New Yorker and CNBC, thinks so too.

Meb graduated from University of Virginia with a double major in Engineering Science and Biology. Meban is wildly popular with insiders because of his deep research. Meb, published one of the most exhaustive research papers on moving-average-based systems. Meb’s research… One simple 10-month moving average can increase your returns 1% a year. I know. I know. One percent RC…? Stick with me, it gets better. A 1% annual performance difference starting with $100k over 20 years is the difference in having $560k (9% growth rate) and $672k (10% growth rate). So that measly 1% difference gets you an extra $112,000… for doing very little. And Mebs not alone.


Jeremy Siegel, Wharton School of Business professor, New York Times and Wall Street Journal best selling author, regular guest on CNN, CNBC, NPR, and a writer for Kiplinger’s and Yahoo! Finance has researched the same topic. Jeremy Siegel, whose famous book Stocks for the Long Run: The Definitive Guide to Financial Market Returns & Long-Term Investment Strategies, investigated moving averages too. Siegel, used the common 200-day moving average and studied it from 1886 to 2006.

Guess what Siegel found out…? When investors buy the market when the price is above the 200-day moving average and sell when the market is below the 200-day moving average… your returns noticeably go up. How noticeably? From 1972-2006, the 200-day moving average system outperforms buy-and hold by over 4% per year on the NASDAQ alone. Four percent!

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A four percent different means your money will double four times in twenty years and not just three times. One extra doubling, not exciting enough? Here’s the numbers. Instead of $10,000 being worth $80,000 (three doublings in 20 years). Your money is worth $160,000. You get twice the money! Not bad for a simple tool. Can you start to see why, with a little more clarity, why the “Blue Line”, which is the MPX2 strategy, can create such a different experience for people’s money?

So why would people not use a simple moving average to signal when they should be out…? They either don’t know about this research. Don’t know which moving averages to use. Or they overlook this research because it’s not complicated. Remember human loves complexity.

And moving averages are not complicated.

So what moving averages should you use?

Well, it turns out two moving averages are better than one. Using two moving averages and tracking when they cross as the signal produces much better results than just a single moving average and the price.


There has been a lot of research on the pairing of the 50-day and 200-day moving average.

There are much better pairings to use, like the pairing used in our MPX2 Strategy, but for now start with the most common pairing.

The two moving averages to start with are the 50-day simple moving average (50 SMA) and the 200-day simple moving average (200 SMA).

Even in shorter periods it works. See the price chart below where it compares the difference in performance when comparing a buy-and-hold strategy to a 50-day/200-day strategy.

The strategy is as follows: buy the stock market when the 50-day is above the 200-day. And be in cash when the 50-day is below the 200-day.

The results are noticeable.

The chart calls the 50-day/200-day strategy the “golden cross”

The blue line is the strategy buys the stock market when the 50-day is above the 200-day. And sells the market and goes to cash when the 50-day is below the 200-day.

The red line below is the S&P500 during the same time period.

People in the industry call the crossing of these two averages the “golden cross” when the 50 moves above the 200, and the “death cross” when the 50 moves below the 200.

Again, there are much better pairings. I simply wanted to show you the research that has clearly shown that a moving average pairing is an important ingredient.

And even with an “off-the-shelf” paring, like the 50-day and 200-day, it still works.

You can see what I’m talking about on the next page.

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This ordinary paring would have kept you out of 75% of the drop in 2000 and 2008. When the market fell 49% and 58% respectively.

Straightforward can be powerful.

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And mixing together three “ordinary” ingredients can be explosive.

The recipe…

Ingredient #1 = Buying what’s already going up. Ingredient #2 = Buy the market and reinvest the dividends with VOO Ingredient #3 = Manage losses by using a pair of moving averages (50/200-day)

Mix these three ingredients and you will beat almost every conventional advisor, Wall Street advisor, DIY investor, and newsletter over any 5-year, 10-year, 20-year, or 30-year period.

I know it sounds ridiculous.

But the evidence is clear.

You can take three off-the-shelf ingredients and create a masterpiece?


And that’s the magic. Alone these ingredients are normal and pedestrian, but mix them and you get a better life.

Four common questions I always get.

#1) Is VOO the best ticker symbol? No. There can be better symbols and the one we use for the MPX Strategy is different. But start with VOO, as it is simple and straightforward and will work.

#2) Is the combination of the 50-day and the 200-day the best pairing? No. There are better pairings, with much better accuracy. Ones that are just as simple but have been proven to have less false signals. In other words, you get out earlier and back in sooner. The pairing we use for the MPX Strategy is different. But again, start with the common as they still work.

#3) What if “buying what is already going up” stops? Fair question. Nobody knows the future. AND for the past 350 years (UK stock market and USA stock market) stocks have outrun every other investment on the planet over long periods of time (30 years).

If you believe humans will continue to invent and create then the stock trend continues…

#4) Why does this work?

- This approach takes your lesser self out of the equation. - It leverages 350 years of data, math, statistics, probability and history. - It keeps your money on the right side of the big picture. - It never takes a catastrophic loss.

And lastly, it’s straightforward.

…because investing more effort into growing your investments is not going to get you more money.

And parts of you already know it. You just needed someone to confirm your beliefs.

You want to know what I believe?

I believe straightforward is powerful. I believe managing losses is powerful. And I believe managing your lesser self is powerful.

And I believe people should have access to straightforward, powerful methods for protecting their wealth.

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That's why I started Fearless Wealth in 1998.

I'm committed to making sure people get the best strategy. A strategy based on evidence, math, history, statistics and probability.

And…

These strategies have to be easy to implement for people who have kids, are married, have jobs, have friends and have demands on their time…you know real people leading real lives.

This is the start.

Respectfully,

P.S. I am putting together a training on The MPX Strategy in the next couple of weeks. Keep an eye out for it.

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