Profit Trends Rotation Lacks the Profit
by abritc | June 17, 2019 12:29 pm
Now that my year’s trial has about expired, I thought I should share with readers that the Wealth Press service called Profit Trends Rotation has gone flat. The premise is that you invest a flat amount of money (say, $5000) into a mix of 2-3 stocks in the proportion they recommend. (Recent common spread is 60% ZIV, 40% EDV). Hold for two weeks, then adjust to their recommendation for the next two weeks (example, adjust to 70/30 ZIV-EDV). This lazy approach allows a comfortable growth of the nest egg over time, or so they claim.
If you review their spread sheet, it seems to work. Starting with $50,000 in Jan 2011, they now stand at about $650,000 as of June 3, 2019. The problem for me is that the approach has gone flat. For the last 18 months, including the 12 months I was a member, the portfolio has netted next to nothing. (Actually it’s gone down about $50K from its peak.) So during a period of considerable up and down movement, Roger hasn’t been able to call the ups and downs well enough to grow the investment. At all.
My advice is to stay away from this one. Roger Scott is a great teacher and pitch man, but not all of his approaches work…and there’s always a better one the next month. I wasted the $997 fee. Worse, when I realized I was wary of the approach, about 60 days in, they would not let me switch services. This is apparently a Wealth Press policy; other publishers are more flexible.
Source URL: https://www.stockgumshoe.com/2019/06/microblog-profit-trends-rotation-lacks-the-profit/
A great salesman, but what you need to know is that some of the services perform better in certain market conditions than others. You also need to understand risk allocation. Many of these services recommended buying options, which is great when it works, but it also chews up your capital when it does not. The sales presentations do not tell you that. They make it seem like all you have to do is purchase this one program and you will be rich. “If you had invested just $500 in this recommendation, your account would have grown to$4000, and if you had invested $5000 your account would have grown to $40,000! That may be true, but that will NOT happen on every recommendation. People need to understand capital allocation so they can stay in the game because there will be losers.
I don’t know. Just a little digging produced an amazing amount of information (not good info) on Roger Scott (aka Yuri Plyam … Google it). Lost hundreds of thousands of client money due to embezzlement by one of his employees and subsequently fined and banned by the CFTC from running trading operations. Also, somehow he was affiliated with NXIVM sex cult leader Keith Raniere and possibly aided in the defrauding of two Seagrams heiresses out of $65 million to cover Raniere’s losses in commodity trading (presumably thru Plyam/Scott).
You can’t make this up! No thank you.