The concept of applying market timing and relative strength to mutual funds was the original idea behind The Chartist Mutual Fund Letter. Simply put, the editors believed that the basic methodology that was used so successfully with stocks would work just as well with mutual funds, and possibly better. The Chartist established a Mutual Fund Actual Cash Account on August 29, 1988 with $100,000. As of 9/30/08 it had grown to $857,982 an annual average gain of 11.6%. There is nothing hypothetical about the account, and not one penny has been added to it over the years. The growth of the account comes strictly from dividends and appreciation, all of which is thoroughly documented. On the front page of each monthly letter is a printout of all the funds that are currently held by the Actual Cash Account, along with the purchase date, price paid, dollars invested and current price along with the subsequent gain or loss reflected in dollars as well as percentages. The advantage to you is that you have concrete evidence of exactly how the recommendations are performing. Every issue also precisely updates how the Actual Cash Account has performed since inception. We know of no other newsletter that provides this type of disclosure. Each edition also lists the relative strength rankings of the top performing mutual funds culled from a database of thousands of no-load funds. The funds in the forefront of the ratings are those that have exhibited the greatest potential to score superior gains over the coming months. The Chartist advice is unhedged, and tell you exactly to when to buy and when to sell.
