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Performance: Deen Capital vs. the Market* as of December 31, 2011
* Past performance does not guarantee future results. Deen Capital Management, Inc., founded in 1992 by Ken Deen, offers two services:
Our Goal: In October 2005, our focus shifted to outperforming the S&P 500, both on the way up and on the way down. It is easy to outperform on the way up. Most aggressive growth funds do this handily. It is also easy to outperform on the way down. Just sitting on cash will do nicely (though few money managers ever do this). But it is surprisingly hard to do both year after year. Indeed, the dirty little secret of the money management business is that very few professional fund managers are able to achieve this seemingly simple goal with any consistency. Our Style: Mr. Deen trades a basket of typically 15-20 growth stocks during up markets, sits on (mostly) cash during down markets, and uses proprietary indicators to tell the difference. During up markets, he carefully hand picks growth stocks for maximum short-term appreciation potential. He often buys on the first day or two after a "true surprise" -- a major news item which appears likely to spark a multi-week high-volume rally. He generally holds these stocks for 2 to 12 weeks, frequently achieving double-digit gains in that time frame. After that, the news has probably been priced in, and Mr. Deen is ready to move on to the next "true surprise". Our Method: Our methodology combines the proven CAN SLIM approach developed by William O'Neil with this "true surprise" concept plus the results of Mr. Deen's computer-based statistical research. Since 1991, Mr. Deen, whose degree is in computer science (M.I.T. 1974), has developed and refined a suite of proprietary decision-support algorithms for managing stock portfolios. One such algorithm generates a short list of buy candidates from over 7,000 stocks. Another algorithm looks for early warning signs of major market tops and bottoms. A third algorithm gives an indication of when to sell. These algorithms are valuable tools; but, in every case, Mr. Deen makes the final decision. Our Results: So how have we done? Please review our track record versus the S&P and judge for yourself. Compare our results to other investments (for a fair comparison, be sure to calculate net total return after all expenses). We think you will find that Deen Capital offers a unique and compelling blend of high growth potential and carefully managed risk. † S&P 500 stated performance includes dividends. It is the total return of the Vanguard 500 Index fund (VFINX). |
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