When I wrote Stars: A Model for Outperformance
The focus was on the model itself—its design, its variations, and the many ways it could be applied.
The (40/60) version of the Stars model remains the most powerful. Here are a few ways investors are using it today:
Full dedication to Stars: Many split their portfolio—holding SPY in a 401(k) and TQQQ in a separate brokerage account, since TQQQ is typically not 401(k) eligible.
Hybrid approach: Use TQQQ for the Stars portion, while the rest of the portfolio is managed with other investments—often guided by a financial advisor.
10% allocation: Some dedicate a small portion (e.g., 10%) to Stars. Historically, that slice often outpaces the rest of the portfolio within 15 years.
Next-gen wealth: A $1,000–$5,000 investment for a child using the 40/60 version can grow dramatically. $1,000 could become $2 million in 30 years.
Institutional strategy: Even large funds are paying attention. One has dedicated 3% of its assets to the Stars model.
Whether you’re investing personally or institutionally, the Stars model offers a framework for long-term outperformance—backed by data, tested by time.
Curious how it could work for you?