Some investors choose to start each year by investing a fixed percentage of their overall holdings (maybe $10,000, or 5% of their liquid assets) and take a profit every year. This conservative approach has yielded incredible results - in the last ten years, I have had an average return of 73%. My best year was +211%, and my worst year was -77%. If you carefully invest year after year without being intimidated by short term variance, then you will eventually see fantastic returns.
Other investors choose much longer periods of investment - they lock in their money for five, or even ten years. Rather than bet a fixed percentage of their initial bankroll per star, their bet sizes fluctuate each week. Since my investments have a long-term upward trend, these investors earn a compounding return on their money. The swings get larger as the bankroll grows, but the trend is always upward. An investor who invested $10,000 in my picks in 1999 and pursued an optimal growth strategy would have seen their portfolio value swell to $349,112 by the end of the 2008-2009 seasons. This concept of optimal growth is discussed in much greater detail in my Money Management Articles.
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