Cheetah Advisors Limited

Directory
Discontinued Reports About_Cheetah

Updated 5/10/99

There is a group of elite investors who have managed to produce returns that are superior to the market averages yet at the same time taking on smaller amount of risk than the general market for sustained periods of time (5 to 25 years). They are the subject of this web site.

One hears of stories of how some Wall St. whiz kid fresh from his MBA degree managed to double (100% return) the capital he traded back-to-back for two years in a row (that's a 300% return in 2 years). These stories are by no means rare in the investment business. But if one would just go and look into how that return was generated, more often than not one would uncover a huge amount of leverage being employed at an unacceptable level of risk. The young trader might have suffered, at times, huge losses before springing back into glory when the report cards were being printed. This hot-shot fresh graduate probabily leads a burn-out lifestyle of a 120-hour work week, which makes you wonder how much longer can he carry on like this. The ending for the big majority of such stories is that by the third year, the trader lost back everything that he ever made, and then he will loose some more in the following year.

It may sound implausible, but to be able to generate in excess of 30% per annum, year-after-year, for a sequential stretch of 5 years would make you one of the greatest investors in the world. That will also automatically qualify you for being included in this web site.

Warren Buffett compounded 28.6% over 37 years, George Soros compounded 34% over 19 years, Peter Lynch compounded 30% over 11 years. If anyone tells you that he is that good, ask him for an audited proof. Buffett has Berkshire Hathaway to prove, Soros has Quantum Fund, and Peter Lynch's record is from Fidelity Magellan Fund.