Truly Rich Club Stocks Update April 2014 – One of the perks of joining the club is this monthly newsletter that will guide you and motivate you to invest monthly. I have been with the club since 2010 and I can tell you that my investment is keep on growing because of this newsletter from Bo Sanchez, the founder of the club.
I want to share to you some of the content of the newsletter.
Truly Rich Club Stocks Update April 2014 – Simple Is Better Than Smart
Our problem? We’re dazzled by so-called brilliant people.
We’re not only dazzled, we’re intimidated. We dare not even ask questions. As long as a guy is dressed well,
looks confident behind his spectacles, and spouts three-syllable words that you don’t hear often—that’s it—we’re
In the stock market, it’s the same.
A guy tells you, “Today, I bought 30,000 shares of XYZ stock at P0.56 centavos,
and five hours later sold it for P1.78. In five hours, I earned P36,600. Cool, right?” You
drool. You wipe the saliva off your shirt, but your eyes are fixated on this god in front
of you. You sigh, “Wow, he’s so smart.”
Or is he?
But here’s my big, bold, bodacious DARE.
Talk to this “smart” guy 10 years from now, after you quietly and consistently
followed TrulyRichClub’s SAM (Strategic Averaging Method). And over a cup of
coffee, compare your total money in the stock market.
Believe me, there’s a 95 percent chance you’ll have MORE money than this very smart guy.
Why? Because I’ve come to realize that in life, many times, simple is better than smart.
Let me give you an example from the US.
In 2003, if you bought a low-cost S&P 500 index fund and left it alone (which I don’t recommend, but this is just
an example), you would have earned a 97 percent return by 2012. That’s wonderful. (Note: An index fund means it’s
just a basket of stocks—no trading involved.)
Meanwhile, the average “very smart” fund managers of very professional hedge funds, who have PhDs behind
their names, lost 4.7 percent. It’s too shocking, I need to clarify that for you. For nine years, these fund managers did
not gain a cent. Worse, they LOST 4.7 percent.
I repeat: Simple is better than smart.
My last example, closer to home.
In 2013, the performance of our TrulyRichClub recommended stocks BEAT many of the biggest mutual funds
in the Philippines. Reason? These fund managers invested 10 percent (or thereabouts) of their funds into small mining
companies that didn’t pan out but took a nosedive. And that 10 percent brought down their performance.
We NEVER do such things in the TrulyRichClub.
We’re boring. We’re simple. We’re goooooood.
Aren’t you glad you’re in the TrulyRichClub?
May your dreams come true,