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Subject: RE: [CANSLIM] canslim-the best system?
Date: Mon, 18 Feb 2002 15:11:41 -0600
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This is a multi-part message in MIME format. - ------=_NextPart_000_0002_01C1B88E.91D35EA0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: 7bit David, Let's see. When WON graduated from SMU, all he had was a small equity in a Red Ford convertible and was facing a couple of years in the Air Force. Today, about four decades later, he has a family, a pretty nice business, a seat on the NYSE, and unlike me and perhaps, you, can't travel anywhere without his bodyguards. Perhaps, that means that he has made more money (perhaps not) but may only mean that he is more recognized in the public eye. However, I think it probably indicates that he has been relatively successful since college. The CANSLIM approach was formulated after many years and hours of study and probably needs revision for the type of market which we now find ourselves. To rely on it exclusively for investment decisions is in my mind not very intelligent as other factors might also be important. However, WON's biggest winners were CANSLIM type companies coupled with a portfolio that was highly limited in the number of stocks in that portfolio. While my overall performance since 1959 probably is not as good as WON's, I had the problem of only being able to spend a few hours per month watching the market after leaving Wall Street where I was responsible for managing a sizeable portfolio. Many of my winners were CANSLIM picks although we differed greatly on whether the chart was important. WON is a technician first whereas I was trained as a fundamental analyst. As mentioned earlier, the percentage return is meaningless because of the mass and inertia problems inherent in larger portfolios. It is relatively easy to take a $100K portfolio and run it to $1 million. It is much more difficult to take a $10 million portfolio and run it to $100 million. Try it sometime and you'll understand if I don't make sense. WON never bought MSFT, CISCO, or INTC at the IPO price or close. Some of us did. Likewise, when we bought McDonald's because our kids liked to go there, CANSLIM probably would have said that it was dumb. I think the real point is as I stated before: The real test of performance is whether you set goals for your investments and how well you met those goals using whatever strategies, timing and crutches you found useful. Investment can never be relegated to a mechanical modus operandi. Unfortunately, too late many get smart. Successful investment requires judgment, timing, and often sheer luck. There are always those extraordinary events, i.e., 9-11, that can cause the best laid plans of mice, men and computer programs to "tilt" and cause consternation and indigestion. FFR -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of david frank Sent: Monday, February 18, 2002 2:42 PM To: canslim@lists.xmission.com Subject: [CANSLIM] canslim-the best system? since people are talking about honesty; is canslim the best system? that is what alot of people would like to know. that is why we would really want to know how much did you make using canslim last year or past years. i don't know if canslim is really the best system, i have never used it during a bull market. i have 7 figures available to trade-so i trade in 1,000 to 10,000 share lots. i might have made $50k last year but i traded very few days, cut my loses short, took small profits, and was lucky on most of my trades. actually trading mutual funds in past years have been easier since i could use all of my capital in one fund. talking about traders with large amount of money not trading canslim, how about WON stating in his seminar ads that his in-house money management team produced a return of 1,486% from 1998 through 2000. is this hype? i wonder how many shares of stock they trade on how much capital? when WON states that type of return--it sounds like canslim is worthy of the best system. i sure would like to see that tax return!!! but noboby on this list states that they have returns near that or have made even 100% in one year-past or present using nearly pure canslim principles. open to criticism and opinion. david frank - ------=_NextPart_000_0002_01C1B88E.91D35EA0 Content-Type: text/html; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable <!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> <HTML><HEAD> <META http-equiv=3DContent-Type content=3D"text/html; = charset=3Diso-8859-1"> <META content=3D"MSHTML 6.00.2712.300" name=3DGENERATOR> <STYLE></STYLE> </HEAD> <BODY bgColor=3D#ffffff> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>David,</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>Let's=20 see. When WON graduated from SMU, all he had was a small equity in = a Red=20 Ford convertible and was facing a couple of years in the Air=20 Force.</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>Today,=20 about four decades later, he has a family, a pretty nice business, a = seat on the=20 NYSE, and unlike me and perhaps, you, can't travel anywhere without his=20 bodyguards. Perhaps, that means that he has made more money = (perhaps not)=20 but may only mean that he is more recognized in the public eye. However, = I think=20 it probably indicates that he has been relatively successful since = college.=20 </FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN><SPAN class=3D410104820-18022002><FONT = face=3DArial=20 color=3D#0000ff size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>The=20 CANSLIM approach was formulated after many years and hours of study and = probably=20 needs revision for the type of market which we now find ourselves. = To rely=20 on it exclusively for investment decisions is in my mind not very = intelligent as=20 other factors might also be important.</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>However, WON's biggest winners were CANSLIM type companies = coupled with a=20 portfolio that was highly limited in the number of stocks in that=20 portfolio.</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>While=20 my overall performance since 1959 probably is not as good as WON's, I = had the=20 problem of only being able to spend a few hours per month watching the = market=20 after leaving Wall Street where I was responsible for managing a = sizeable=20 portfolio. Many of my winners were CANSLIM picks although we = differed=20 greatly on whether the chart was important. WON is a technician first = whereas I=20 was trained as a fundamental analyst. </FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>As=20 mentioned earlier, the percentage return is meaningless because of the = mass and=20 inertia problems inherent in larger portfolios. It is relatively = easy to=20 take a $100K portfolio and run it to $1 million. It is much more = difficult=20 to take a $10 million portfolio and run it to $100 million. Try it = sometime and you'll understand if I don't make = sense.</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>WON=20 never bought MSFT, CISCO, or INTC at the IPO price or close. Some = of us=20 did. Likewise, when we bought McDonald's because our kids liked to = go=20 there, CANSLIM probably would have said that it was dumb. = </FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>I=20 think the real point is as I stated before: <FONT=20 color=3D#ff0000><STRONG>The real test of performance is whether you set = goals for=20 your investments and how well you met those goals using whatever = strategies,=20 timing and crutches you found useful. = </STRONG></FONT></FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>Investment can never be relegated to a mechanical modus = operandi. =20 Unfortunately, too late many get smart. Successful investment = requires=20 judgment, timing, and often sheer luck. There are always those=20 extraordinary events, i.e., 9-11, that can cause the best laid plans of = mice,=20 men and computer programs to "tilt" and cause consternation and=20 indigestion.</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2>FFR</FONT></SPAN></DIV> <DIV><SPAN class=3D410104820-18022002><FONT face=3DArial color=3D#0000ff = size=3D2></FONT></SPAN> </DIV> <BLOCKQUOTE dir=3Dltr style=3D"MARGIN-RIGHT: 0px"> <DIV class=3DOutlookMessageHeader dir=3Dltr align=3Dleft><FONT = face=3DTahoma=20 size=3D2>-----Original Message-----<BR><B>From:</B>=20 owner-canslim@lists.xmission.com=20 [mailto:owner-canslim@lists.xmission.com]<B>On Behalf Of </B>david=20 frank<BR><B>Sent:</B> Monday, February 18, 2002 2:42 PM<BR><B>To:</B>=20 canslim@lists.xmission.com<BR><B>Subject:</B> [CANSLIM] canslim-the = best=20 system?<BR><BR></FONT></DIV> <DIV><FONT face=3DArial size=3D2>since people are talking about = honesty; is=20 canslim the best system? that is what alot of people would like to = know. that=20 is why we would really want to know how much did you make using = canslim last=20 year or past years. i don't know if canslim is really the best = system, i=20 have never used it during a bull market. i have 7 figures available to = trade-so i trade in 1,000 to 10,000 share lots. i might have made $50k = last=20 year but i traded very few days, cut my loses short, took small = profits, and=20 was lucky on most of my trades. actually trading mutual funds in past = years=20 have been easier since i could use all of my capital in one fund. = talking=20 about traders with large amount of money not trading canslim, how = about WON=20 stating in his seminar ads that his in-house money management team = produced a=20 return of 1,486% from 1998 through 2000. is this hype? i wonder how = many=20 shares of stock they trade on how much capital? when WON states that = type of=20 return--it sounds like canslim is worthy of the best system. i sure = would like=20 to see that tax return!!! but noboby on this list states that they = have=20 returns near that or have made even 100% in one year-past or = present=20 using nearly pure canslim principles. open to criticism and opinion. = david=20 frank</FONT></DIV></BLOCKQUOTE></BODY></HTML> - ------=_NextPart_000_0002_01C1B88E.91D35EA0-- - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". 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Next Article (by Date): [CANSLIM] Off Topic: Scottrade Andreas Himmelreich
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