Fancy Yourself A Portfolio Manager?

Do you think that you can do better than your mutual fund manager in navigating the markets? Can you generate investment ideas? Well, in the interest of full disclosure, I must tell you that I am an investment professional currently in between firms. I have been involved in the investment world for 18 years and I can say that there are investment managers who post solid, consistent returns most of the time. There are managers who are home run hitters who post huge gains for 1 or 2 years, but are subpar the rest of the time. And then there are managers who just can't put it together ever. Now, to stay in the business, you generally have to be posting decent numbers, so the managers that conistently perform poorly don't last long.

As for individuals who decide to do it on their own from home...most perform poorly. Of course, if you ask most do it yourself investors, they only tell you about the winners. That is how we are as human beings. We do not want to admit that we are fallible.

Why?

Well, many times it comes from lack of information. Or if information is available, the information is old.

Now, if one wants to go on his own, there are a number of services available to help determine whether the DIY guy has the chops.

One that I would consider would be Youtual Funds. On Youtual Funds, you can create your own portfolio with its own trading symbol - a "YoutualFund". Others can see your trades and personal advice. You can also see their ideas too. You can link it to your brokerage account for the trades to automatically execute as well. But the big advantage to Youtual Funds is that others can "subscribe" to your Youtual Fund and you will get paid for every "subscriber" that you have. If they choose to link their brokerage account to your YoutualFund, you can a percentage of the brokerage fees generated by their account. Additionally, they have periodic contests where cash prizes are paid to the winner.

Also, most of the larger online brokers, such as TDAmeritrade, Schwab, OptionsXpress, etc. have online classes and trading services that you can subscribe to in an effort to unearth your next investment gem.

My personal favorites though are the investment newsletters. There are a ton of them if you Google "investment newsletters". The largest publisher is Agora Inc. based in Baltimore MD. They have dozens of newsletters both free and paid. However, only the paid ones will give you actual picks. You can purchase general stock picks, ETFs, options, small-caps, technology stocks, medical stocks, whatever floats your boat!

Another newsletter type service is the Institute for Invdividual Investors, formerly The Tycoon Report. In addition to paid newsletters that provide investment picks, they also have a few courses so that the investor can generate their own ideas.

While all of these services are legit. I must caution that they are in the business of selling newsletters, not making you rich. So, take their claims with a grain of salt. If you decide to subscribe, research their archives during the initial 30 day period where you can cancel for a full refund. If the archives don't show returns that are satisfactory, then exercise your option to cancel.

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limph3215 5 years ago from Malaysia

A portfolio manager yourself, that sound interesting to me. Thanks for your info.

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