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REVIEW OF

Ken Moraif Money Matters

Infomercial

 

Market Timing VS Buy, Hold and Rebalance

 

Moraif's Anecdotes VS Actual Performance Data

 

As heard on KABC - 790 AM Los Angeles

 

What others are saying about market timing as a strategy:

"Nobody but nobody, has consistently guessed the direction of the bond or stock market over any meaningful length of time." -John Markese, President, American Association of Individual Investors Journal

"Far more money has been lost by investors preparing for corrections than has been lost in corrections themselves" -- Peter Lynch, former manager of best performing mutual fund in the world, Fidelity Magellan Fund.

"By trying to time the market, you are essentially gambling with your financial future at very poor odds" -- Baltimore Sun

"Market Timing is impossible to perfect" -- Mark Rieppe, Senior Vice President At The Schwab Center For Financial Research

“In the 1995–99 period, buying and holding large-cap stocks would have outperformed about 99.8 percent of the more than 1 million possible quarterly switching sequences between large-cap stocks and U.S. T-bills." -- Financial Analyst Journal

"You've gotta be right at least twice. The odds are just terrible." -- John Bogle, founder and retired CEO of The Vanguard Group

"If you want to suppress volatility it’s likely you’ll suppress your returns as well, it’s just that simple" -- The Irrelevant Investor

“If your advisor thinks he can pick winning stocks, choose winning actively managed mutual funds, or time the market -- steer clear!” -- Whitecoat Investor

"If you try to select when to be in and when not to be in, chances are you’re gonna miss the opportunity." -- Ric Edelman

"If you can give up the obsession [of trying to beat the market] and settle for getting the returns of the market, you'll wind up with more peace of mind, lower expenses, less drama and less risk. Best of all, you'll have above-average returns." -- Paul A. Merriman

 

1) Ken Moraif is an asset manager who advocates market timing (versus the conventional "buy, hold and rebalance" investing strategy). The strategy of market timing goes against the advice of many of the most respected experts such as Warren Buffet, Peter Lynch, John Bogle, etc.

 

According to financial analyst Mark Hulbert, 80% of timers fail over any reasonable period of time. He states "I don't like those odds. Neither should you".

 

According to a study published by the Financial Analyst Journal, buy-and-hold strategy beats market timing 99.8% of the time.

 

2) The way to sell something to somebody is to scare them: Moraif is constantly banging the "fear drum" to sell his market timing / asset management services by making anecdotal statements like "these are unprecedented times". Technically, moving forward, all times are unprecedented. Peter Lynch has said not to be driven by fear because "there is always something to worry about". Click here to see year by year, all of the reasons to be fearful and constantly avoid being an investor.

 

In order to scare investors into embracing market timing strategy, Moraif has repeated the myth that it supposedly took 25 years for the stock market to get back to even after the 1929 crash. In reality it took less than 4 1/2 years to get back to even. This is also a strawman argument because he is ignoring diversification into bonds. On a yearly basis, a low-risk mix of 25% S&P 500 index / 75% total bond market index never lost money at any time when factoring in deflation.

 

Moraif made a failed "fearless forecast" that the Dow would hit 11,500 in 2016. Such a forecast sure smells like an attempt to induce people into feeling the need to pay for his market timing asset management services.

 

3) Moraif apparently charges about 1% per year for his asset management services, and this fee may vary depending on the valuation of the client assets under management. According to a Better Business Bureau complaint Moraif charged a customer 1 1/4% to manage $73,000.

 

4) Paying someone just 1% per year by itself can have a devastating effect on your retirement:

 

From 1972 to 1997 while taking out 4% per year with 50% S&P 500 stocks / 50% 10-Year treasuries

$100,000 grew to $220,618.83

From 1972 to 1997 while taking out 5% per year with 50% S&P 500 stocks / 50% 10-Year treasuries

$100,000 ran out of money in mid 1993.

From 1972 to 1997 while taking out 4% per year with 28% S&P 500 stocks / 72% 10-Year treasuries

$100,000 grew to $105,686.37

From 1972 to 1997 while taking out 5% per year with 28% S&P 500 stocks / 72% 10-Year treasuries

$100,000 ran out of money in late 1991.

 

NOTE:

Yearly withdraws were increased with (or pegged to) average rate of inflation for the year.

Calendar rebalancing was used on January 1st of every year.

 

An annual 1% drag on a portfolio will by itself cost you 18.2% after 20 years and 26% after 30 years. All of a sudden the 4% rule of retirement becomes the 3% rule. You must reduce your spending! Presumably Moraif's clients are paying that 1% fee for general advisory services and not just market timing. However investors should be aware that 1) there are other options besides paying an adviser 1% per year, and 2) the strategy of buy/hold and rebalancing of index funds is so simple that any 3rd grader can do it. One can hire a fee-only adviser on a one-time basis to come up with a financial "game plan" if needed. You can also use "light advice" services offered by companies such as Vanguard which only charges 0.3% per year. The actual investing part is easy. There are also lots of free options such as Blackrock's core portfolio builder. Vanguard also has a free portfolio creation tool. Their nest egg calculator is also very helpful.

 

5) Conflicts of Interest: Market timing inherently presents a conflict of interest. If someone believes that an adviser is needed to time the market, then that adviser's services must be used on an ongoing basis, year after year, which benefits the asset manager. A one-time recommendation to employ a buy, hold and rebalance strategy does not serve the asset manager's best financial interests. No costly ongoing services of an asset manager are required.

 

6) Furthermore, Moraif apparently recommends actively managed funds. According to a poster on Bogleheads, the fees on the mutual funds that he recommends are "not low" and returns were disappointingly low. Actively managed mutual funds are famous for under performing their benchmark indexes. Actively managed mutual funds typically pay advisers under-the-table commissions. If Moraif is in fact paid each time a transaction takes place, then this is yet another conflict of interest.

 

It should be noted that the estimated gains / missed gains (covered below on items 10, 13, 14, 15) do not account for mutual fund over or under performance versus their benchmarks.

 

7) Paid 60 minute radio advertisements disguised as "radio shows" -- Moraif pays for radio air time to run infomercials to promote his advisory services. Other than the disclaimers at the very beginning and end, Moraif presents these infomercials as being part of the regular (unpaid) programming. Make no mistake, these "Money Matters radio shows" that run on KABC-AM in Los Angeles are paid commercial advertisements. This should be evident by the way he incessantly self-promotes.

 

8) On his infomercial Moraif never fails to boast about how his firm is listed on Barron's: Top 100 Independent Wealth Advisors. But if you listen to his disclaimer, Barrons doesn't even consider what we would care about most, namely investment performance! So this "top 100" list is no help in telling us if Moraif has been over or under-performing the benchmarks. In this review we will attempt to shed light on this question.

 

Moraif says that Barron's doesn't track investment performance because "client investment goals differ". This is comical because it doesn't matter if client investment goals differ. You simply compare to the benchmarks! Are his mutual funds beating the indexes after fees? Is his strategy of market timing beating the strategy of buy and hold?

 

9) Lack of transparency regarding rate of return versus the benchmarks -- Moraif is not GIPS complaint! So how can anyone begin to come to any conclusions about the efficiency or inefficiency of Moraif's market timing strategy? GIPS (Global Investment Performance Standards) independently verifies adviser claims through fair representation and full disclosure of investment performance results. You can search for "Moraif" and "Money Matters" on this list of firms claiming GIPS compliance.

 

10) Moraif urges listeners to come out to his sales pitches at hotels that he calls "seminars". Make no mistake, the purpose of these "seminars" is to ultimately convince attendees to use his paid advisory services. People don't buy radio time and rent hotel conference rooms for charity.

 

11) **Only averted 29% of the 56% market crash -- In Moraif's commercials it is stated that "Clients that followed Ken's advice did not lose money in the stock market crash of 2008." In fact Moraif told his clients to get out of the stock market from Nov 27, 2007 (S&P 2238.52) until June 12, 2009 (S&P 1541.7). Assuming 1% in annual asset management fees and lost dividends (from being out of the market), this would have saved his investors approximately 29% of what was a 56% stock market loss from peak to bottom. This 29% figure does not factor in the adverse effects of paying capital gains taxes within a taxable account, discussed near the end of this review.

 

12) Ignoring diversification into bonds -- While clients who followed Moraif's advice did not lose money in 2008, neither did conservative buy and hold retiree investors who were simply diversified into stocks and bonds. A low risk retiree portfolio of 75% ten year treasuries and 25% S&P 500 stocks did not lose money. In fact this low risk allocation gained 3.1% in 2008.

 

MORAIF'S STRAWMAN PRESENTATION: Ken Moraif says that by owning 100% stocks your portfolio would have run dangerously low since 2000 if "eating your seed corn" (taking out 4% per year). This is the same deception used by insurance salesmen and other product and services pushing salesmen. He blatantly ignores age-appropriate diversification into bonds.

 

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Note: The above chart factors in calendar rebalancing on Jan 1 of every year

Above rate of withdrawal for each year: Jan 2000: $4,000, 2001: $4,136, 2002: $4,251.81, 2003: $4,319.84, 2004: $4,419.19, 2005: $4,538.51, 2006: $4,692.82, 2007: $4,842.99, 2008: $4,978.59, 2009: $5,167.78, 2010: $5,147.11, 2011: $5,229.46, 2012: $5,396.81, 2013: $5,510.14, 2014: $5,592.79, 2015: $5,682.28, 2016: $5,687.96

 

Here in one of his videos (which has recently been taken down) Moraif demonstrated how a "portfolio" of 100% stocks failed to sustain adequate returns for a retiree during the 2000's. Then he conveniently leaps to sweeping conclusion by saying "That's why I believe that buy/hold is a recipe for disaster. I think it is financial insanity. What I think is a better idea is you should have a buy, hold and sell strategy". The real financial insanity is for a retiree to put 100% of their money in stocks! It sure appears as though Moraif is being willfully ignorant of how diversification protects against stock volatility so that he can sell his services to know-nothing investors who don't understand how bonds are like brakes on a car that protect against stock market volatility.

 

More strawman talk: Using 80% stocks as a benchmark for diversification

In his radio infomercial Moraif states that "when we come back from the break I will debunk buy and hold" strategy. Unfortunately Moraif simply repeats his strawman argument of looking at a portfolio that is overexposed to stocks. Ironically he says "We believe in taking the least amount of risk possible". Well, according to Ibbotson, from 1970 to 201 the lowest risk allocation was only 28% stocks and 72% bonds. Yet Moraif talks about investors who lost 25% in the 2008 market crash. It is a mathematical fact that in order to have lost 25% in 2008 they would need to have invested 80% in stocks and only 20% in bonds. They were over allocated into stocks! Therefore Moraif is presenting a strawman argument! And from this strawman argument he declares "There are times when diversification is not enough". If he was being straight forward he would say "If you are sufficiently diversified into bonds then diversification and buy/hold/rebalance works great".

 

More strawman talk: The 1929 crash

Moraif says that it took 25 years for investors to recover from the 90% stock market crash of 1929. Again he is completely ignoring diversification into bonds in order to puff up his market timing service. In reality an ultra-low risk portfolio of 75% bonds / 25% stocks never lost money when accounting for deflation.

 

1929

 

Also in order for your portfolio to have lost 90%, you would have had to have begun investing at the peak of 1929. Stocks more than tripled from 1924 to 1929. So in addition to ignoring bonds, Moraif is cherry picking the worst possible starting point.

 

As recently as 8/20/2016 Moraif was still using the same ole' strawman argument about the 2008 stock market crash causing investors to have to un-retire.

 

13) Cherry picking -- At the end of his radio infomercial the legal disclaimer says that information presented "should not be regarded as a complete analysis of the subjects discussed". Perhaps Moraif's lawyers believe that he CHERRY PICKS that information which makes himself look good, leaving out or glossing over all of the bad information!

 

In Moraif's commercials he not only cherry picks a high risk "portfolio" of 100% stocks, but he also loves to only talk about how he instructed his clients to get out in 2008, without discussing in any meaningful detail what he has done since then. On his website it appears that there are no written details of his market timing blunders. This is confirmed by doing a Google search for "Ken Moraif" + some of the dates that he called for his clients to get in and out of the market. Sometimes in Moraif's 60 minute radio infomercials, he vaguely alludes to his market timing blunders by simply saying that his strategy "is not perfect" without discussing the ugly details about percentages of missed gains. Despite claims that he posts this information on his website, nowhere does there appear to be a complete and detailed disclosure of his market timing calls. He has only posted a link to this video about his 2010 market timing blunder. In this video he does not disclose the exact percentage of missed gains. He only says the "market gained pretty nicely. We were out of the market during that time".

 

It appears as though Moraif has posted no written disclosure or video about his 2011 blunder. The only information on the Internet appears to be a blog by "Investment Myth Busters".

 

14) **Missing out on about 9.98% in gains -- Moraif instructed his clients to get out of the market from June 8, 2010 (S&P 1765.29) until October 6, 2010 (S&P 1941.50), thus missing out on S&P 500 total return index gains of approximately 9.98% before management fees. For all of the calculations made in this review we shall assumes that Moraif's clients held mutual funds that trade at the close of market. The market dropped about 16% from peak to bottom during this market correction. Clients who followed this advice within a taxable account would have also paid short-term capital gains taxes on over $13,000 in gains because Moraif had gotten them back into the market less than 1 year earlier (on June 12, 2009).

blunder-1

 

15) **Missing out on about 10.78% in gains according to report -- According to a report by Investment Myth Busters, Moraif instructed his clients to get out of the market from August 5, 2011 (S&P 2039.02) until January 19, 2012 (S&P 2258.8), thus missing out on S&P 500 total return index gains of 10.78% before management fees. The market dropped about 19.38% from peak to bottom during this market correction. Clients who followed this advice (if IMB's story is true) would have also paid short-term capital gains taxes because Moraif had previously gotten them back into the market less than 1 year earlier (on October 6, 2010). Throughout this review we shall assume that a client was invested in a taxable account. We are also assuming that this report is true.

blunder-2

 

16) **Yet another blunder -- Moraif instructed his clients to get out of the market in August of 2015, apparently at the close of trading on August 21. We shall then assume that a Moraif client placed an order to sell their stock mutual fund(s) on the following Monday (S&P 3512.65). Moraif says that he instructed his clients to put the proceeds into a mix of money market funds and bonds.

 

Since Moraif is not GIPS complaint and he does not disclose the full details we are forced to make estimates. So for demonstration purposes we shall assume that Moraif instructed his clients to put 50% in cash and 50% in a total bond market index fund.

 

Moraif announced that he instructed his clients to get partially back into the market during the week of April 11, 2016 to April 15, 2016. However he didn't say what percentage or what day. We shall assume that he made the call after the close on April 12. That would mean that his investors got back into stocks at the close of trading on April 13 (S&P 3918.95). And we shall assume that these investors used the cash half of their portfolio to get back into stocks. That would mean that he locked in losses (missed gains) of approximately 11.93% with that 50%. Moraif stated that he intended get his clients back into the market "gradually" over the coming months. On July 1 Moraif announced that he had counseled his clients to get back fully invested into the market. We don't know if he said to sell the bond half of their portfolio at that time or if he made that call earlier in time. If he made this call on July 1st then it would have taken approximately 3 days for funds to clear. For simplicity we shall assume that investors sold their bond position 3 days earlier, on July 28. That means that this half of the portfolio gained 3.32% from August 24, 2015 until 7/1/2016. When it's all said and done, these market timing calls would have cost his clients approximately 11% in missed gains, after 1% management fee. This figure does not account for taxes within a taxable account.

blunder-3b

 

17) Approximately 44.5% in missed market gains since 2009 -- According to our estimates, based on information from sources including Investment Myth Busters, clients who followed Moraif's market timing advice since 2009 have missed out on approximately 44.5% in market gains by being out of the market at the wrong times. This figure includes a 1% asset management fee charged on Jan 1 of every year for simplicity. This does not even include loses due to taxes, added trading costs, nor does it include mutual fund under or over-performance of the benchmarks. As of July 1, 2016 your $100,000 invested on 6/12/2009 is now worth about $178,483.93 not including trading costs. The same $100,000 in a buy and hold account is worth $257,941.23.

 

moraif

 

Will these clients ever make up for this catastrophic 44.5% loss? Remember that Moraif only averted 29% of the 56% market crash from Nov 27, 2007 until June 12, 2009. Past performance suggests that these clients now need yet another huge market crash just to get back to even, and no more botched timing calls. The problem is that the stock market has only fallen 50% or more 3 times since 1928.

 

Ironically Ken Moraif criticizes buy and hold investors who say "It's OK to lose 37% because the market will come back". So by Moraif's logic, his own market timing strategy is garbage!

 

As for clients who followed Moraif's advice note for note from 2007 onward and were not drawing from their nest egg, our estimates indicate that these clients are actually now in the red after a hypothetical 1% annual Ken Moraif management fee. They are now down about 2.5%. If these trades took place within a taxable account, then depending on their tax bracket, these clients are doing even worse. If you paid just 15% taxes on gains then you paid out approximately $11,744 in taxes. This represents money that can no longer compound, as well as money that heirs will not inherit. This chart does not factor in trading costs of less than $10 per trade. This chart does not account for Moraif recommended mutual fund fees and under or over-performance of the benchmarks. According to one blogger on Bogleheads, the fees on the mutual funds that Moraif recommends are "not low" and returns were disappointingly low.

 

2006

 

Despite Moraif's market timing blunders he claims that "in his opinion" the cost of [not timing the market] "is way less than the cost of staying in 2008". Clearly this is just plain false.

 

18) Presenting anecdotes rather than performance data: Not surprisingly Moraif has a disclaimer to go with his radio show, informing listeners that his anecdotes should not be construed as an endorsement for Moraif. We couldn't agree more! Anecdotes are a cop out. Anecdotes tell us nothing about performance versus the benchmarks.

 

19) Making excuses with an endless charade of anecdotes rather than disclosing performance data: Moraif appears to explain away his market timing blunders by saying "We’re not here to make you rich quick. We’re here to help you not become poor." Make no mistake, either his stop/loss strategy has been a net gain or a net loss for most of his clients. Performance is everything when it comes to the question of buy and hold versus market timing. Not surprisingly, by attempting to "not become poor", investors who followed Moraif's advice since June 2009 have become poor! The very market crash that they feared has essentially occurred in slow motion by being out of the market at the wrong times. If Moraif was truthful he'd say that "We made you poor by trying to help you not to become poor".

 

As previously discussed (see #11), if your goal is to "not become poor" then you simply take less risk by diversifying more into bonds.

 

More recently Moriaf appeared to try to lessen his market timing failures by stating on his radio infomercial that "It's not about getting high returns" and that instead it's about taking "only as much risk as it takes to meet our client's goals". This anecdote is nothing more than a variation of his "We’re not here to make you rich quick. We’re here to help you not become poor" anecdote. And you mitigate stock market risk by diversification into bonds. Diversification has nothing to do with market timing! Make no mistake, market timing is attempting to sell the stock portion of one's portfolio in attempt to buy lower. Either the strategy is profitable after fees or you are missing out on gains. In evaluating market timing strategy you compare performance versus a benchmark. The S&P 500 index is indeed an appropriate benchmark to use in determining if Moraif's stock market timing strategy produces a net gain or loss.

 

Moraif has also used the anecdote of playing defense instead of offense. He says that he believes that retirees and people close to retirement need to take the least amount of risk as possible. The problem is that the very strategy of market timing is risky! Moraif is living proof of this! Any clients who followed his advice since 2009 have missed out on approximately 44% in stock market gains, again assuming that Investment Myth Buster's story is true. By paying someone about 1% per year to essentially place bets (by attempting to time the market) you are taking risks.

 

Moraif has also presented a storm shelter analogy to justify being wrong with his market timing calls. He says that if you retreat into the storm shelter and there's no tornado, that's OK. But this analogy does not apply to investing! Imagine if you lost a body part or a family member if you retreated into your storm shelter but no tornado passed over your house. That's a better way of summarizing what can happen if you fail at market timing. It's catastrophe in slow motion!

 

Moraif also says "defense wins super bowls" or that trying to "score as many points as possible" is a bad strategy because it might backfire. The real question is whether attempting to time the market with the stock portion of your portfolio is likely to make you richer or poorer. So far Moraif has proven that his market timing strategy has severely backfired for his most recent clients since 2009. And again, you can mitigate risk simply by diversifying into bonds.

 

Moraif says "there's this tiny little thing that's wrong with buy/hold [strategy]. Oh yeah! Bear markets!". And there's this tiny little thing that's wrong with market timing. Oh yeah! Mistiming the market! People who followed Moriaf's market timing advice since 2009 have missed out on 44% in market gains!

 

Moraif says that he doesn't ever want to have a conversation with clients telling them that they just lost 30, 40 or 50 percent of their money because they didn't have a sell strategy. For starters, as previously discussed, Moraif has never averted more than 29% in market loses. Most importantly Moraif's market timing advice has essentially caused clients to miss out on approximately 44.5% in stock market gains since 2009. Has he had a conversation with his clients to explain this?

 

20) Being out of the market is risky: Anyone who has paid for and followed Moraif's advice from 2009 to 2016 has missed out on approximately 44.5% in stock market gains after fees and before taxes. Using Moraif's past market timing performance as a benchmark, it could take yet another market crash of a little more than 56% just to get these investors back to even! Unfortunately market crashes of 50% or more have only occurred 3 times since 1928. They are rare!

 

21) Stop loss strategy is far from perfect: Moraif appears to employ some variation of a stop / loss strategy, meaning that he doesn't get out of the market until stocks have already gone down some, and he doesn't get back in until the market has rebounded to some degree. That means that stop/loss strategy can only be expected to protect from some portion of a market decline if it works at all.

 

22) Moraif's strategy appears dependent on quite sizeable crashes in order to even begin to have a positive result: How much does the stock market need to crash in order for Moraif's market timing strategy to save clients money? We can only guess. If past performance is any indication of future results, it is fair to assume that Moraif's break even point might be somewhere roughly around a 27% - 29% stock market crash before taxes. So if the stock market were to decline approximately 30% one might expect Moraif to save his clients only about 1% to 3% before taxes. The dilemma is that since 1928 the stock market has fallen 30% or more only 9 times or about once every 10 years (as of Dec 2015). And the stock market has only fallen 50% or more 3 times since 1928.

 

23) Other odds that work against stop loss strategy: Since 1900, after 10% declines in the stock market, only 1 out of 4 times has the market dropped 20% or more. Moraif's past performance indicates that 10% is not enough of a drop to result in a positive market timing outcome. The stock market generally goes up over time -- not down. Since 1928 the S&P 500 index has hit a new high every 18 days on average.

 

24) Market timing can be a tax disaster: When taxes are paid sooner than later, those taxes represent money that will not get a chance to further grow and compound. It gets much worse. If you were to die before otherwise holding on to your investments, then 100% of that money that you paid in taxes (due to market timing strategy) represents forever lost money that heirs will not inherit, in addition to not compounding. Heirs normally get stepped up cost basis in California (no inheritance tax) and there are no Federal taxes on the first 5.43 million of inheritance. Because of all of these tax problems, Moraif's market timing strategy makes even less sense for the very retiree investors that he appeals to in his infomercials ("if you're retired or retiring soon then you need to come out to our next seminar")

 

25) Using a stop / loss strategy is not rocket science: If you absolutely insist on attempting to time the market, anyone can implement a stop loss strategy. If the S&P 500 index falls perhaps 10%, 15%, 20% or [pick any number] you can decide to sell. And you can decide not to buy back into the market until stocks bounce back by a certain percentage from the lowest low. Or you can decide to buy back into weakness, locking in averted losses.

 

26) Not practicing what he preaches: As discussed earlier in this review, during his infomercials Moraif omits disclosing all of his market timing blunders. He cherry picks talking about how he instructed his clients to get out of the market in 2008 and he sometimes mentions his 2015 blunder, but he conveniently skips informing listeners that he guessed wrong in 2010 - 2011 and in 2012. Yet recently Moraif has spent a lot of time talking about how he's a finalist for a BBB "Torch Award for Ethics".

 

"I believe that ethics, and honesty and disclosing everything to prospective clients and to clients is how we will be successful in the long run" -- Ken Moraif

 

Evidently the BBB has never actually scrutinized Moraif's lack of full disclosure during his infomercials. And what does that say about the Better Business Bureau (which is not a government agency, but a franchise)?

 

Final thoughts

Investors will always be drawn to market timers because it's human nature that we hate hate losing money more than we love making money. Unfortunately, according to experts like Mark Hulbert, the strategy of market timing is more likely to backfire.

 

The stock market is a leading indicator -- not a lagging indicator. Stock investors bet on the future -- not old news. The efficient market hypothesis states that one cannot "beat the market" because stock prices always reflect all available information and stocks always trade at their fair market value. Prices change instantly to reflect any new public information. Therefore investors may want to rethink whether they can actually avert a market crash after stocks have fallen (due to bad news).

 

** It is unknown exactly what time of day Moraif issued his sell and buy signals and what the lag time was before clients who received his advice took action by selling or buying. This would effect the exact amount of missed gains or averted stock losses.

 

Readers are encouraged to peer review calculations by downloading this Open Office spreadsheet showing Moraif's performance since 2007. Also this spreadsheet of performance since 2009.

 

Related articles:

How Active Managers Sucker Naive Investors In - Article about Ken Moraif

Investment Mythbusters - Money Matters with Ken Moraif - Wrong Again!

Build a billion dollar practice

 

Review of Doug Andrew Missed Fortune

Debunking Tony Robbins and index annuities

 

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