A couple of days ago, I received a call from a good friend of mine.
He was excited because the markets had just finished a record setting of its 5th straight week of gains.
Like most passive investors, he had not looked at his portfolio in January or February (If you don’t look, money loss seems less real).
This day was different though because the Dow had just rallied 2,100 points in just over a month, and he couldn’t wait to see how much his account was up.
Then the number appeared on the screen … and his account was down -14%
He couldn’t understand how that could be, everything was doing so well according to CNBC. Well, upon further investigation, he realized that the markets hadn’t actually moved, and the person managing his money didn’t do such a great job. His portfolio moved but not the direction he wanted it to go.
Unfortunately, this is the modern day reality.
It’s extremely hard to get any kind of return on your money, especially when you take markets that returns are nearly nothing and on top of that you have to add in management fees.
Only the individual traders have a chance. Like the famous trader in this book.
You see, individual traders can focus on individual stocks and sometimes it just takes one good trade to make up your whole year.
Take a look at WYNN. The popular casino stock came crashing down and even went to below $50 a share. In fact, on January 14th, it was below $50 and two months later the stock hit $96. That’s a 92% return.
Now to be honest with you I didn’t make anything in WYNN. It’s not my kind of stock.
I did however, buy AAPL at $93 (now $106) and FB at $95 (now $111).
You see, that’s the beauty of individual investing, you start form a strong base and then you incorporate your own style to trading.
So while I didn’t grab WYNN, I am confident that some of the thousands of people I trained did manage to pick it up. In fact, when I see people I have trained outperform me it makes being a mentor that much more satisfying.
While some are much more conservative than I am, there are also those traders that are much more aggressive. When someone begins to harness the power of the skills that they have learned and then turn it into profits it’s a beautiful thing to watch. And for many, it all started with this book.
One of my very first students is now my first phone call when I myself need a fresh perspective on the market. I trained him in 1999 and now he is the closest thing to a coach that I have.
Let this email serve as a reminder that there are alternatives to paying for management fees and to find out how you could be an individual trader start with this book .
I look forward hearing about your journey.
Adam Mesh is CEO and Founder of The Adam Mesh Trading Group. For the past 18 years he has coached thousands of students to all levels of success in trading. He is also creator of the revolutionary Smart Money Elite