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No. of Recommendations: 10
The problem is chasing yield. Peter Lynch had fabulous results at the Magellan Fund yet many of his clients/subscribers underperformed the fund by chasing yield, buy the latest darling and dump the latest pig. Put another way, buy high and sell low.

Is IO promoting chasing yield?

First off, my team has released audited performance results that outperformed $ARKK since the Fund was founded on May 9th, 2020 and we are currently beating the Nasdaq across roughly 34 positions. You can view the press release here.

and

Beth reports that from May 9, 2020 to December 31, 2020 Cathie's ARKK delivered 113.5% while Beth reports 115.5%.

The difference between 115.5% and 113.5% is 1.76%, a rounding error and the date, May 9, 2020, is just anchoring on an irrelevant event, and not even one year. On May 9, 2020 ARK had baggage while IO had none. Is 115.5% vs. 113.5% a valuable, actionable metric? You decide.


If the problem is chasing yield how do you avoid it? Some people advise buy and forget while others switch at the drop of a hat. In "scientific language," life exists at the edge of order and chaos, at the edge of "buy and forget" and "switch at the drop of a hat."

I listened to both Beth and Cathie and I liked Cathie's "algorithms" better than Beth's. Just because I liked Cathie's "algorithms" better does not guarantee the best results but it was the deciding factor for me.

BTW, there is no need to switch, why not take the best of both, indeed of all offers on the market. This was my thinking when I added the White and Black lists to The Captain's ARK. Someone suggested adding Direxion Moonshot Innovators ETF (MOON) to the ARK. Why not also add I/O Fund except that that will cost you $499 a year while ETFs must publish their holding for all to see -- no charge.

Denny Schlesinger
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