I am the one that is Fuzzy now! None of the replies I am getting appear to address the issue I try to get cleared op so I understand what other think about it.
What you did or want to do and when, or what you think is good enough for you or for Osama Bin Laden, is irrelevant. What is relevant is what happens with of ALL the stock prices in the world over a period of time. . .That what happens can be analysed, but of course, no one is analysing exhaustively all the stock prices in the world and no one will calculate the optimum starting CERs for an AIM investment in each and every stock that is available.
And so, if one is investing in a few companies then the average of what happens with all the stocks in the world over time is not relevant, because only the dynamics of the stock you invest in are relevant, and if you spent only 10 minutes analysing some data of the details of the company about its character and what it does and about the investment climate, then you are better informed than one that has not spend that time on it, Monkey Investment.
So, how can any one keep saying that a Starting CER 50-50 is the best for all cases while that is obviously not true, for in all cases some people know more than others?
And some investors are obviously better investors than others, and that exposes the ignorant investors to far greater risk. . .simply because an uninformed investor with a blindfold on could well invest in a company today about which is already generally known in the investment community that it is about to go bankrupt in the next 20 minutes or so, and he will miss investing in that new company with great potential that has just appeared on the markets.
If investing is a 50/50 coin-toss affair with equal chances to win and to lose for all investors then all the books that are written on it might as well be burned in a energy generation furnace so they will provide some benefit. The Book of Lichello then belongs there as well, and my book The Vortex Method is the one that should be burned along with the others.
