Looking for the all-time, best-of-the-best investment returns? Look no further than Renaissance Technologies.
If you put just $5,000 into its Medallion Fund when it was founded in 1988, then never touched it, you’d have $304 million today. That’s what you get when you compound your money at 37% a year for 35 straight years.
RenTech is the tippy top of the hedge fund world. The peak of Profit Mountain. For the kind of person who’s allowed to invest (it’s a short list), it doesn’t get any better.
And its methods for achieving these returns are completely unlike what most hedge funds use.
From the beginning, the Medallion Fund’s managers have relied on mathematical models, quantitative data analysis and high-turnover trading to generate a torrent of consistent, market-trouncing profits. Over time, it has added up to the highest rate of compounding the investment community has ever seen.
But all of Renaissance’s Ph.D. math whizzes pale in comparison to its most powerful moneymaking tool: artificial intelligence.
You probably know AI didn’t first emerge through ChatGPT, and that ChatGPT, being a “large language model,” isn’t the only type of AI being used today. That’s just the most recent and popular breakthrough.
In fact, the most elite hedge funds have been using a different, but still powerful, form of AI for decades.
The main reason it was, and largely still is, reserved for this ultra-wealthy class of investors was its exorbitant cost. Running AI algorithms required a level of computing power you could only expect a firm with $130 billion on its books to afford.
This kept it secured within the hallowed halls of RenTech and firms like it, well out of reach of the everyday investors who could benefit from it just as much … if only they were allowed access.
Now, though, AI is leveling the investment playing field. It’s enabling us to create hedge fund-caliber trading strategies, with similarly astronomical returns, for a tiny fraction of what hedge funds charge their multimillionaire clients.
And that’s why I’ve spent the last year … and $5 million … leveraging the power of AI and quantitative analysis to do exactly this.
What I’ve created may not be quite as high-octane as the Medallion Fund, but I believe it’s as close as anyone’s going to get, anytime soon.
Not to mention, it won’t cost you anywhere near the fees RenTech would ask for.
Now, don’t worry. I’m not about to tell you to make a hundred trades a day, scalping pennies in a fraction of a second, like RenTech does.
Instead, I’ve found a way to generate comparable returns to the Medallion Fund … by trading just 10 stocks per month. And it’ll take you maybe 10 minutes to make these simple trades.
Let me show you the Infinite Momentum system, and how it beat the S&P 500 by 300-to-1 over the last 24 years…
Climbing Profit Mountain
Beating the S&P 300-to-1 in 10 minutes a month sounds impossible until you realize one simple fact: There’s always a bull market somewhere.
Regardless of what the broad market is doing, a small number of stocks lurking in a hidden corner of the market are bucking the trend and posting huge gains.
And what I’ve learned is that, to find them, you need to screen for stocks that hold three specific, highly important traits: Quality, Value and Momentum.
You may recognize those three traits if you follow my work. They are part of what makes my proprietary Green Zone Power Ratings system tick.
Stocks that carry all three traits are rare. But once you find them, historical analysis proves you can rely on these stocks to carry a portfolio well beyond what any index fund could manage.
It’s also not easy to find them. Until machine learning and AI tools were readily available, it might’ve taken years for our lean-and-mean team of four at Money & Markets to sniff them out… And by then, the best profits would’ve already been gone.
Now, though, AI is at our fingertips. And it’s allowed us to find incredible stocks, with highly specific, bullish characteristics, at what may as well be the snap of a finger.
And this enables the next part of my strategy, which really drives the returns to another level.
You see, I’m not looking to buy and hold these high-caliber stocks for a long time. I only want to hold them for four weeks.
That’s because the AI algorithm we’ve designed has historically proven to find the 10 stocks with the highest probability of posting market-beating gains over that period of time.
After that period, if my system indicates one or more of the stocks are losing steam, we pass the baton to a “fresh” group of stocks that are ready to pick up the pace.
With this unique approach, we don’t need to find long-term stock market winners. We just consistently buy the 10 strongest stocks of today … and ride their rallies one month at a time.
Tracing this strategy back over the last 24 years shows it beats the S&P 500 by 300-to-1. Putting $5,000 into it back in 1999 would’ve meant profits of over $6.6 million today. By comparison, the S&P 500 barely even charts with its $22,000 total return.
This is an exemplary result. In fact, my analysis shows this strategy is a mere 2% behind Renaissance’s annual compounding rate.
In other words, if RenTech sits at the summit of Profit Mountain, then my AI-powered Infinite Momentum strategy gets you 99% of the way to the top.
If that sounds disappointing, consider that my strategy does this without you needing to scalp hundreds of trades a day for pennies…
Or paying Renaissance’s exorbitant 4% management fee and 40% performance fee…
Or already being in the seven- to eight-figure net worth club just so you can get your foot in the door…
Or doing anything more complicated than buying stocks in an ordinary brokerage account.
I’m happy with being 2% shy of RenTech if it means all these things are true… And everyday people can trade 10 minutes of their time each month for the chance to 300X the S&P 500.
That’s why, in less than a week, I’m giving you the opportunity to do just that.
Join Me at the Infinite Momentum Summit
I call this strategy “Infinite Momentum” for its ability to leverage AI in near-limitless fashion to ride a huge, long-term wave of market momentum.
It’s the single greatest investment strategy available to everyday investors I’ve ever seen.
And the first to use AI in a way that doesn’t involve day trading, options, futures, forex or any other kind of leverage.
When I first set out to create this strategy, my mission was to build something easy to use, but every bit as profitable as strategies with 100X the complexity.
Generating returns that rival the all-time greatest hedge fund, with a tiny fraction of the work and cost, shows me that I’ve completed this mission.
The next step is the one I’ve been waiting months for… To share it with you.
That’s why I’d like to invite you to join me at the official launch of this new strategy on Tuesday, September 19. Eastern time, at the Infinite Momentum Summit.
There, I’ll join my co-host John Wilkinson to demonstrate the full power of this strategy. You’ll get all the details on how it works, including some of the major trends it’s predicted in the past. I’ll also show you how I used the power of AI to take the strategy to another level.
And most importantly, I’ll show you how you can access the first 10 trades as soon as you join, which will begin your journey to the top of the moneymaking mountain.
I urge you to put your name down right here so you can ensure your access to the event.
See you on Tuesday,
Chief Investment Strategist, Money & Markets
Beating Inflation, 1 Dividend at a Time
The market has been trading mostly sideways for the past two months, and I’m not so sure this little mini-correction is over.
But here’s the thing. While I hate watching the S&P 500 languish as much as the next guy, I also try to manage my portfolios in such a way that it doesn’t matter.
To give you an idea of what I’m talking about, just take a look at one of my all-time favorite stocks: Realty Income (NYSE: O).
In full disclosure, I own this stock. Have owned it for years and have absolutely no plans to sell it any time soon (and possibly ever). This REIT just keeps chugging along, dropping dividends into my account each and every month.
As a thought exercise, let’s say that back in 1994 when Realty Income went public, you bought a single share of stock. Adjusted for splits, it would have costed you about $8.
In the nearly 30 years since then, that one $8 share of Realty Income would have paid a cumulative $50.11 in dividends. You would have made six times your money just in dividends.
And this makes no assumptions about compounding. This assumes you received the dividend and promptly spent it on something.
But let’s play with the numbers some more. Today, Realty Income pays about $3.07 per share per year in dividends. That dividend represents a yield on cost (a dividend yield based on your original purchase price) of almost 40%.
And remember, Realty Income boosts that dividend every year, so that yield on cost number gets larger over time.
By the way, I’ve said nothing about price increases. Realty Income is no slouch there. Despite having an awful year this year, the company’s share price has risen by a factor of seven since its IPO. Even without a single dividend paid, you would have made seven times your money.
I know, I know. Shoulda, woulda, coulda. Most of us didn’t own Realty Income when it went public in 1994. I bought my shares in 2008. And I can’t promise that the next three decades will see the kind of growth the shares enjoyed over the previous three.
Again, I don’t care. This is a no-stress investment. I enjoy taking risks, and I am no stranger to making speculative investments. But I also like having a piece of my portfolio in something that essentially works on autopilot.
I’m not telling you to run out and dump your life savings in Realty Income. But I am telling you that having at least a portion of your portfolio in no-drama dividend stocks makes sense.
Adam O’Dell is a fan of dividend stocks as well. In fact, he gave a top 10 list of dividend stocks you can (and should) invest in.
For more details, click here.
Chief Editor, The Banyan Edge