Sunday, November 06, 2011

People Can Make Money In Any Market


People can find a way to make money in any market - bull, bear, or trend-less.

For example, I have averaged 8%/year in the stock market from 2005 - 2010, a time when the index and most funds lost money. How was I able to do this? Because I had a good trading system, and the discipline to stick with it.

Similarly, most people have written off the housing market the last few years, but there are people who have made money. They had the flexibility to adapt to a changing marketplace. For example, successful real estate investors in places like San Diego switched from outbidding for properties and flipping them to patiently scooping up foreclosures in San Diego, fixing them, and then renting them out or selling them for a reasonable rate of return.

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