I Beat The Market In 2007!

It feels great to have outperformed the market this year. This year ended with my portfolio up 15.78%, while the three major indices (S&P500, Dow Jones, Nasdaq) finished up for the year 4.24%, 7.24%, and 10.73% respectively. However the most significant percentage is the S&P500’s 4.24%, as the S&P500 most accurately depicts the entire stock market’s performance with its broad range of companies listed within it. With that in mind, I beat the market by over 300%!

For the most part I’m not saying this to brag, I just want my readers to see that I am a successful investor and I am capable of outperforming the market. So how did I do it? I was 100% in cash when two stock market corrections occurred in 2007 and I explain how I was able to do this with my article “How to Avoid Stock Market Corrections and Crashes“. Further, I invested with a list of rules to invest by created by myself, and stuck to investing only in stocks with good fundamentals.

My biggest winning stock of the year was Apple, a stock I horribly regret not holding onto longer. I learned this year that if I believe a stock is great but the economy/stock market looks troubled, I should only sell a portion of my shares. I made the mistake of selling all of my Apple shares because I was too worried about a stock market crash.