Monday, March 05, 2007

Snake Oil Salesmen

Readers of this Blog know that I read a lot but never pay for reading material. In other words I won't pay to read thestreetapple or motley'sfoolishness or any other such publication for the simple reason that it is all Bull Snot of the highest order or odor - your choice.

Motley has been running an add lately that says since their inception in 2002 - 22 of their recommendations have doubled. The problem with this is this - since 2002 the benchmark (S&P 500) is up 28% - it would be difficult to pick a stock and not have it go up at least some in that time span. If you pick 2200 stocks (like say Jimmy Crack Corn Pone) and you have 22 of them double up or better which ones would you brag about?

That's right - the 22 and not the 2178 others that didn't. Now I don't know if Motley is 22 out of 22 recommendations but I'm pretty sure that if they were that bit of information would find its way into the ad - don't you think?

1 comment:


Salesmen come in all shapes and sizes.