Here are some of the things I have learned from the Stars buy and hold strategy over the past year since I wrote the book “Earn Twice the S&P”
There are now 8 versions of Stars. The results are on my website leeekholm.com under Stars results. These versions identify the limits of TQQQ in the strategy.
There are now 6 variations of Stars that allow tailoring your needs to the use of Stars. One example is the “social security security” variation that turns $1,000 into about $2 million in 30 years.
It is now quite clear that Stars has an accuracy of 100% and a real risk of zero after a couple years because of the very high returns.
The returns in a rising market and correction are about the same if you consider the correction return to be the average of the down year plus the two following years. This implies you do not need to know market direction.
Stars stock selection process using the cap weighted ETFs SPY and TQQQ select mostly the best 1.5 % of all stocks. Stars is constantly finding the best stocks so these two ETFs can be held forever except for the rebalancing requirements.
When compared to the greatest investors and traders of all time Stars ranks number 18. The best version of Stars outperformed the S&P by a factor of 17 over the past 26 years. In the book that factor was 8 based on a version with a lower percent TQQQ.