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Hi OranjeMannetje,

1. As to CAPS, no there isn't an easy way to translate rankings to IRR. Mostly because you don't specify dollar amounts. The site says something like, it's not a stock simulator, it's a recommendation list.

For example, if you 'buy' one stock and it doubles while the market is flat, you will get 100 points. If you 'buy' two stocks and they both go up 50% while the market is flat, you also get 100 points. Obviously investors would much prefer the former.

So the best I can consider is the average CAPS performance, and then make considerations for average time held to estimate annual performance. Or dig deep into running actual money with the recommendations. I tried this once and there are many problems, for example when a new rec appears without an old rec disappearing... if you're already fully invested, how much money to put into it?

2. Basically, yes, my portfolio of MFI stocks got about a 20% return last year. I did do a 'simple' IRR of the IRA, only looking at cash-in vs. cash-out + current value and got an IRR of 16.59%. The reason it is less is I sold mutual funds in November and then goofed around for five weeks before reinvesting the money into MF picks. But even then the IRR of 16.59% compares favorably to SPY's total return of 10.47% from 11/24/2016 to 12/16/16.

3. I'd say I've been investing in MF picks off and on, pretty much since the book came out.... especially more so once the website was solid. I've settled on preferring dividend-paying stocks, because I hold my buys much longer than a year, barring buy-outs or fast shooters (say, up 20% in a couple months, or 50% in less than a year.)

Also if you look at my CAPS comments, you'll know I sell cash-secured puts on the stocks if the options market is particularly scared. These have been usually great, sometimes rotten. Personally, I'll sacrifice a possible 30-50% IRR for a much more likely, locked-in 20% IRR.

Best wishes,
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