I want to remind everyone of Slope’s extremely unique page called Woulda Shoulda Coulda which lets you enter in any hypothetical trade and find out:
- What it would be worth today;
- What percentage change would have take place;
- What maximum drawdown you would have had to endure at any point;
- What the maximum loss would have been from your original investment.
As an example, let’s say the day after I sold Prophet, I put $50,000 into NFLX, which was a tiny, tiny, tiny fraction of the cash that went into my account.
So this reveals a $50,000 investment in Netflix would be worth nearly $12 million today. This assumes, of course, I would have had the testicular fortitude to ignore a 22% drop in value and, far worse, a nearly 83% drawdown during this holding period.
I would normally be jumping off a bridge at this point, but I know there’s no way in hell I would have held on, so I’m going to let myself off the hook.
