Posted on 08/08/2023 2:05:17 PM PDT by SteveH
> Ralph Kramden Investments.
Haha, let me consider that one lol
It’s only the R at the end of a word.
…….
“Wildly successful investment firms” are a dime a dozen.
99% of them are frauds—their “books” and “returns” are fabrications to lure in the suckers.
Consider yourself warned.
P.S. Watch a few episodes of “American Greed”.
“Supposedly they have their own exclusive 401K which makes 40%/year. I got a sense that it was in the Route 128 beltway but not in Boston proper. Supposedly they use math to predict the stock market, invest accordingly, are very successful, and keep a low profile”
Markets can have good years with double digit returns but not every year. Math to predict the stock market? Ok. :-)
“keep a low profile”
That is code for trying to stay below the radar so state and federal authorities won’t audit them and throw them in jail.
Robin Hood?
Sounds like Rennaissance Medallion but they are based on Long Island, although Jim Simons is from Boston.
Of course, why they omit the last eight years of performance ("as of 2015") from their ROI figure is a bit curious. One can make an educated guess though.
Bernie Madoff's investors got a "consistent 10%," and that was a Ponzi scheme.
Hey; you’re the one grasping at straws, not me. Anyway, you weren’t firm on the 5-letter deal. I just tossed it out there.
It was not my intention to be critical of you— just informative to the general thread readership. Please forgive me if it seemed otherwise as I have limited online social skills (smile).
And yes, I am just tossing out a general question in the hope that someone knows the answer. People are free to re-characterize this as “grasping at straws” or whatever. I’m just interested in the correct answer, and people can regard me however they like for asking a simple question of the collective FR wisdom (such as it is).
> Robin Hood?
Hmmm, 5 letters beginning with an “R”...
—You might have a Bingo there! lol...
> That is code for trying to stay below the radar so state and federal authorities won’t audit them and throw them in jail.
The guy made it sound as legit as he could. He wasn’t selling it (or he would have given me a prospectus or at least a business card). He said that his son was working for it. IIRC, it was a response to an idle inquiry that I made to pass time waiting for a flight connection.
Having stated all of that, yes, in theory, it could be suspicious. (BTW aren’t there rules or at least guidlines against using a retirement fund to invest in one’s own corporate employer? — I had not considered that until just now... doh...)
> Markets can have good years with double digit returns but not every year. Math to predict the stock market? Ok. :-)
This is the first time that I have heard someone who knew someone who actually claimed that this is possible in real life.
Part of this story tickled my skepticism but the same part also seemed to ring true to a degree.
We’ve all seen— or maybe most of us have suspected that we have seen— the results of stock manipulation.
This gets to the issue of whether it is good or bad to invest in a fund that performs automation on top of options and “plays” with stocks on short term bases.
I have no answers on this either, just more questions.
For example, 50% of the general population has an IQ of less than 100. If all or most of these people are investing in stocks, they are wrong half of the time. we all know or perhaps should know of the process of oversteering/overcorrection. This is when a stock hits highs (or lows) on an announcement but continues to rise (or fall) for a while longer after the announcement and the subsequent rush to purchase shares. after a while, perhaps predictably, the hubbub generally dies down, and with it, the share price price reverses. an oscillation then ensues, with the share price converging on a new value (either higher or lower, depending on the announcement or news).
The trick (not saying the R investor corporation does this or something else) would be to predict the oscillations and take advantage of them, by timing buys and sells, and/or options.
Is there an answer to your question?
Thanks; none taken.
> Is there an answer to your question?
I believe so.
The proven path is simple. Save 10-20% of your money and invest in a stock market index fund over 30-40 years without touching the money.
These guys think they can outsmart the market. OK. I’m skeptical but it still sounds like a better 401K setup than many have.
If he saves his money and consistently invests a good chunk in their 401K stock option over decades he should do well.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.