How to double bonus money within a year ?


There is a way to get decent returns. Not 200% over 1 year, but good enough.

Here's an easy trick: Lets say you decide to buy funds. You can then calculate the percentage change in value over a particular time frame:

X3.jpg

Shown here are 27 funds with their percentage chages over the past 1 month.

You now form a strategy of buying into the fund with the highest growth rate. This data is reviewed and change of funds performed after a certain time interval, eg. every 1 month.

Lets see how this holds up. We can download historical data for all the 27 funds going back 2 years:
X1.jpg


Next we normalize each according to their average value:
X2.jpg


We now use this strategy on the data. We use an algorithm to evaluate the percentage change in value and act accordingly:
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We are now tracking the top performing fund at each particular time in the data series.
 

Lets say you review and change funds every one month. Here is where your money is going:
X5.jpg

The vertical blue lines indicate switches between funds.

For $1 you invested, the value over time is:
X6.jpg

A gain of 20% over 2 years. Which is pretty decent.

Now, if you have too much time on your hands, and you do a review every week, this is what your $1 looks like:
X7.jpg

> 30% gain over 2 years. In fact almost 40%. Better than Temasek Holdings.
 

There is a way to get decent returns. Not 200% over 1 year, but good enough.

Here's an easy trick: Lets say you decide to buy funds.

So cheem......

My formula is easier. Go casino, observed and identify the most unlucky person.

When he buy big, you buy small and vice versa. Lol..
 

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Lets say you review and change funds every one month. Here is where your money is going:
X5.jpg

The vertical blue lines indicate switches between funds.

For $1 you invested, the value over time is:
X6.jpg

A gain of 20% over 2 years. Which is pretty decent.

Now, if you have too much time on your hands, and you do a review every week, this is what your $1 looks like:
X7.jpg

> 30% gain over 2 years. In fact almost 40%. Better than Temasek Holdings.

But if it was so easy, why aren't we all billionaires shooting with Leicas? :dunno:
 

Lend me $2,000,000 you can keep my goldfish.

:bsmilie:

Okay, if your gold fish is made of pure gold and weights about the size of the Statue of Liberty (the real on of course) :)
 

there's always USD Yen carry trade. And yen kept on weakening, too.
 

there's always USD Yen carry trade. And yen kept on weakening, too.

I always wondered about forex, the gain diff is so small. So most of the time, for small time investors, any gain would have been used to pay commission to broker. Right?