Hartcourt Companies (fka HRCT)

[Investorman]

Well.... each to his own style of investing. But... The percentage of microcaps that have the kind of growth you are talking about are almost nonexistant. Also it requires a "bubble" market like 1997 - 1999 and those only happen every once in a blue moon. You would probably have better luck finding good companies with a $500 million to $1 billion market cap and betting on them. They are also easier to spot and fewer of them will crash the other direction. MSFT actually did the big return in the 14 years between 1986 and 2000. CSCO did it in 10 years. WMT took longer but made a bigger gain.

As for your second paragraph, you also have more shots at getting it wrong and with microcaps you probably will. Investing is a lifetime enterprise. Gambling is a short term game. Smaller companies are easier to understand? HRCT makes GE look easy to understand - lol.

As for the last.... why would anyone turn their portfolio over to a professional money manager? He is most likely to be the one that benefits from that strategy. Financial advisors can be useful and their knowledge valuable, but you should maintain control of the final decisions. The theory of selling winners just to "rebalance" and holding losers is a sure path to poverty. If some people lack the discipline to hold a winner for 20 years then they deserve what they get.

The failure to act less like an investor and more like a gambler has been exacerbated by the internet. It was much easier when we just got quarterly statements. Investing in equities is an effort that is made with a minimum 10 year time horizon. If you don't have that long, you should be in Pit's bonds or money market funds.