Beating the Market, 3 Months at a Time: A Proven Investing Plan Everyone Can Use

Gerald Appel is a pioneer of chart based market timing. He also has a commendable track record. He has been ranked very highly for long term performance multiple times by the Hulbert market advisory rating service. Mr. Appel, and his talented son Marvin, could have written a complex tome for market heads. This book, though, seems aimed at the vast majority of investors who do not want to take up economics, markets, and finance as an avocation. It aims to improve safety, and possibly returns, for retirement savers while keeping it as simple as possible. I think it succeeds in this mission. The Appels' method of making minor quarterly adjustments within a portfolio of low cost exchange traded funds using tested techniques of market timing, asset allocation, and diversification does seem to add value for those willing to spend half an hour to an hour every three months. I imagine buy-and-hold investors spend more time than that worrying when markets go down sharply. It's worth remembering that improving performance by, on average, a few percentage points a year, means you will retire with strikingly more money. Doing it by reducing losses along the way also makes it easier to stick to your plan, and it makes life more enjoyable! I would have liked to have seen an appendix documenting the back tests in detail. Most of the portfolio he recommends is constantly exposed to stock market risk (and, to be fair, stock market returns). He times domestic equities by switching between broad market sectors. I would have enjoyed a discussion of overlaying this approach with a simple market timing filter that gets one out altogether when risk is high. Highly recommended, especially for non-market junkies who want to look out less for the interests of their mutual fund companies and more for their own.

This book contains valuable market timing strategies that anyone willing to spend the time and energy can implement. I like the presentation of the more active and less active (mutual fund) approach, and the fact that either strategy can be implemented without a great deal of time. How many times has an investor, myself included, made decisions based upon yesterday's winners, only to get in near the top of the market before a fall? I think this book offers practical strategies to make decisions based on valid indicators.

Most of this book I thought was very basic & a review of what I've read in many other places. What set this book apart was thier idea of momenum play with broad stock market ETF's. They spell out thier idea in easy to understand language. I am in the process of evaluating the tax consequences of trying this but it seems more efficient & easier than most other investment methods I've tried.

The authors have put together a fine basic plan to do precisely what the book title indicates. Most of the strategies,tips, ideas are things most investors should already be aware of. This tutorial very well reinforces the basics. It points out how the sellers of many mutual funds can be highly motivated by commissions. It is suggested that investors seriously consider etf's. In my view, most investors would benefit from this quick read.

Cramer may be more entertaining, but Dr. Appel's book is a must read for any investor, whether novice or expert! I highly recommend this book for prudent, responsible investing advice!