In rereading my post # 44062 entitled Why My Investing Criteria Have Changed and Evolved, which Growth Monkey so kindly linked to, and which I had written back on July 15, I was really struck by my PS at the end of it:
the Dow is up 1.2%,
the S&P is up 4.4%,
the Russ is up 8.3%,
the IJS is up 8.7%,
the Nas is up 13.4%,
the five indexes average up 7.2% so far this year.
Compare that to my 58%, and to your own results. We are riding that revolution I was telling you about.
Now, as I said, this was July 15. From then to the end of the year the average of those five indexes fell a rather remarkable 15.7 points (from up 7.2% to down 8.5%). That’s a bunch! It qualifies as a full Correction in itself! That’s just the scenario we were warned about over and over again. “Your overvalued, no-profit SaaS stocks will get killed in a falling market!”
Well, while the Market Averages fell those 15.7 points, my portfolio (made up mostly of these overvalued, no-profit SaaS stocks), actually ROSE (!) 13.6 points… from 57.8% to 71.4%, while the market was falling those 15.7 points.
Just think about that. That’s almost unbelievable on the face of it. It was a total market correction and involved big stocks (Dow, S&P), little stocks (Russell), tech stocks (Nas), value stocks (IJS), the whole market!
That wasn’t because of me, it wasn’t magic, it wasn’t a miracle, it was the secular wave we are riding together, of every enterprise needing to get into the modern IT world, and needing the recurring revenue solutions that our companies provide.