On a humorous note, Hedgeable.com launched today with the “Search for America’s Worst Investor,” a nationwide contest to find three people with the portfolios hit hardest by the financial crisis.
“As the crisis revealed, retail investors are lost when it comes to implementing strategies to protect their wealth,” said Hedgeable CEO and co-founder Michael Kane, formerly an analyst at Spruce Private Investors, a $2 billion ultra-high net worth money manager. “We want to guide investors on how to decide when to sell, eliminate major losses, and realize portfolio growth in up or down markets.”
Americans are still trying to recover from the unprecedented loss of wealth of 2007-2009. Hedgeable.com, which is offering a free trial of its service, advocates the need for investors to make periodic trades to help protect and grow their portfolios.
The Search for “America’s Worst Investor”
The contest, which runs from September 16 to September 30, 2009, is open to anyone who registers free of charge on the Hedgeable.com site. The top three individuals whose portfolio performance earns them the distinction of “Worst Investor in America” will receive the following prizes:
— First Prize: An all-expenses-paid vacation for two to Rome, Italy, where they will find similarities between the U.S.’s current economic situation and the Roman Empire’s collapse due to leverage, taxes, a de-valued currency, and massive debt.
— Second Prize: A trip for two to picturesque Iceland, a country that has seen its stock market lose 97% of its value due to leveraged bets and excessive debt.
— Third Prize: A trip for two to Las Vegas, the “foreclosure and gambling capital of America.”
“The anniversary of Lehman’s demise should remind us of the huge risk in not managing a hedged portfolio,” Kane concluded. “If the U.S. continues on its current path, it’s the everyday investor who will be affected the most, by a second collapse that could make the Roman Empire seem like small potatoes.”
Hedgeable Inc. is registered as an investment advisor with the SEC.
