Buy a Rydex 2X fund.

NOBODY beats double the index over 10 years.

Citing returns, without including actual annual expense percentage ratios paid, and specific tax ramifications, render them moot information.

Most people have no idea what their bottom line returns are - if any.

I remember back last spring at near the bottom of the market a mod at another forum I read started the "missery portfolio"

http://www.thefastlanetomillions.com/stocks-options-currency-trading/19393-misery-portfolio.html

I only wish I had put $70k into it and sold it six months later. I would have made hundreds of thousands on it.

__________________
1999 SL500
1969 280SE
2023 Ram 1500
2007 Tiara 3200

I shudder when I hear that people I know are day trading or in general think they can beat the pros.

I worked as a bond trader briefly at Lehman many years ago.

I couldn't imagine trying to consistently beat the firepower that the pros bring to bear. They sit in front of the screens 10 hours a day, every day, plus have access to research civilians can't touch, plus have access to the inside stuff.

I stay mostly with Index funds, and a small number of Vanguard managed funds.

Trying to beat the market, IMHO, is a fools' errand.

I can get exactly 2X the index. Would you climb aboard with that?

I like Warren Buffets style, just buy good companies and hold them forever.

He certianly has made afew bucks doing it.

__________________
1999 SL500
1969 280SE
2023 Ram 1500
2007 Tiara 3200

It's hard to argue with an average compounded 20% annual return since 1965 - all with no tax event, if one were to be holding those original issued shares. I've paid not one dime in taxes on the Berkshire-Hathaway I've held the past 24 years. Inside, or outside my IRAs in Berkshire holdings.

Several of my banking financial positions were gaining nicely after their reported earnings.

That was until Barack opened his pie-hole, they sunk like the Titanic Friday afternoon.

The quickest profits taken this year have been from the undiebomber's failed attempt of bringing down that airliner.

IMSC has been very good to me!

Unfortunately......gains aren't actual, unless you can hold them in your posession, without loss of value - they're at-risk if still in-the-market. That's understood. Buying a home with part of my past gains - was an actual gain.

Very few of my holdings are long term, right now out of 21 positions maybe 3-4 are.
ANX, BIEL,GTWO are bio's that I'll hold for maybe 3 months max. CIIC is a longer hold of maybe 9-12 months.
With good DD pump & dump goes on weekly!

In an up market, certainly.

In a down market, that sucks big time.

I don't know what specific investment you mean - but the 5yr chart on the Rydex Dow 2X is pretty ugly. http://www.rydex-sgi.com/products/mutual_funds/info/overview.rails?cusip=78355Y201

f you've figured out a way to make it work, more power to you. When I left Lehman to work a real job, I found that I spent too much time and mental energy watching and trying to trade the market, and too little time on my day job. I made some opportunistic money, but it wasn't worth the effort, trading costs and aggravation.

To each his own.

You made the observation that you mostly stay with index funds because beating the market is, effectively, impossible for the average fellow in the street.

I agree with this observation.

However, if you choose to invest in an index fund, you have some fundamental belief that the market will rise. If you have this belief, then you should probably be investing in a fund that returns 2X the index.

If you don't have this belief, then you should probably not be investing in the market at all.

BTW, if you have a fundamental belief that the market will fall, Rydex has funds that return the inverse of the index.

Therefore, you must simply decide which way the market is going. If you can't do that, then you shouldn't be in it.

Long term indicators for RYCVX are a 67% buy.
Short & medium term indicators are sell. IMO

I made that stark realization too - a good 30 years ago. A number of people I've run across have made claims that they have become the greatest lay-traders on earth. By "lay-traders" I mean non-professional DIYers. Question or observe them about it some months or years later and to a person - they're still driving old cars, still in debt or broke. Trading sounds glamorous, quick, and easy - but it ain't.

That's a very good point. I'm going to give that some thought.

I guess I have a fundamental belief that the market will rise given enough time. But I'm not willing to bet the ranch on it.

I suppose it should be evaluated in terms of your investment horizon. If I'm investing my son's money (currently 100% equities), I should be willing to do something like a 2X Dow.

For me at 58, I'm perhaps 60-35-5 equities-TF bonds-cash.

The indexes are easiest because I don't have to think much. I try to buy on dips, and do an online transfer from MM to the equities & bonds.

I do my own form of market timing - buying when I see the Dow down 200 - 300 or so, or after a week of down days. No big purchases because tomorrow can be down another 200. I always buy bonds when I buy equities.

I guess we all do what's comfortable for us, and this is what works for me right now.