September 07, 2017
Mark Minervini is one of America's most successful stock traders; a veteran of Wall Street for nearly 34 years. He is the author of the best-selling books Think & Trade Like a Champion and Trade Like a Stock Market Wizard: How to Achieve Superperformance in Stocks in Any Market.
Starting with only a few thousand dollars, Mark turned his personal trading account into millions, averaging 220 percent per year for more than five consecutive years with only one losing quarter—an incredible 33,500 percent total return. To put that in perspective, a $100,000 account would explode to more than $30 million in just five years.
To demonstrate the capabilities of his SEPA® methodology, in 1997, Minervini put up $250,000 of his own money and entered the U.S. Investing Championship. Trading against highly-leveraged futures and options traders, he traded a long only stock portfolio to win the real-money investment derby with a 155% annual return, a performance that was nearly double the next nearest competing money manager.
Mark is featured in Momentum Masters: A Roundtable Interview with Super Traders and in Jack Schwager’s Stock Market Wizards: Interviews with America’s Top Stock Traders.
Schwager wrote: “Minervini’s performance has been nothing short of astounding. Most traders and money managers would be delighted to have Minervini’s worst year —a 128 percent gain—as their best.”
Mark educates traders about his SEPA® methodology through Minervini Private Access, a streaming communication platform that allows users the unique experience of trading side-by-side with him in real time. He also conducts a live Master Trader Program workshop where he teaches his system in a comprehensive weekend event. You can learn more about this event at www.minervini.com/page.
Mark Minervini traded his first stock in 1983 when he invested in a few hundred shares of Allis Chalmer, a seller of tractors and forklifts. Soon after, he became familiar with the work of Richard Love, author of the book Superpeformance Stocks. Love's book had a profound influence on Minervini's professional and philosophical views on investing and the formulation of his own investment strategy.
It was Minervini's initial intention to simply support himself from his trading profits, but his well-timed investment decisions increased his wealth dramatically each year, as well as the popularity of his opinion. After a decade of studying and trading the U.S. stock market, Minervini founded Quantech Research Group, Inc., an institutional research firm, in 1993.
By his early thirties, Minervini was at the helm as President of a leading institutional research firm in New York City, advising hedge funds and institutional investors in the U.S. and around the world. During this period, he also kept a demanding schedule of regular television appearances on CNBC, CNN, Bloomberg Television and Fox News.
Minervini made available for a fee, to institutional investors, his in-house research based on his methodology Specific Entry Point Analysis® - SEPA®. Clients paid as much as $10,000 per month for Minervini's highly guarded stock recommendations; his clients included the heavy hitters of Wall Street's hedge funds.
In May of 2004, BusinessWeek wrote, Minervini "sells what's often considered the holy-grail in investing."
In 1998, Minervini publicly voiced two back-to-back market calls, which shortly after propelled him into the media spotlight. On the August 28, 1998 Cavuto Business Show – Fox News Network, Minervini discussed the statistical similarities between the market then and the market on the Friday before the "Black Monday" crash of 1987, in which the Dow Jones Industrial Average declined 508 points in a single day. The Monday following Minervini's appearance (the very next trading day), the Dow Jones Industrials fell 512 points.
One month later, Minervini turned very bullish. In a September 28, 1998 profile titled "Trust the Computer," Barron's wrote: "Minervini was still bearish on the market until last week, when he did an about-face and turned raging bull." He recommended, among other stocks, Yahoo, Broadcom, Network Appliances and Abercrombie & Fitch, all of which went on to score spectacular gains as the stock market entered a new spectacular bull phase.
Twenty months later, Minervini turned decidedly bearish. On May 30, 2000 on CNN, Minervini said that the NASDAQ had entered a bear market and that the bear market would continue. He explained: "Oracle, EMC, Cisco, and Nokia – some of these favorite big-cap NASDAQ stocks that have been holding up quite well – they're going to give way now, and that's really going to unsettle investors."
Minervini previously had called for a steep decline in the Internet/dot.com sector on the same network on March 30, 2000. These comments where contrary to what most of the experts were saying at the time. During the March 30 CNN interview, Minervini said: "Many of these (Internet) stocks are going to go down between fifty and as much as eighty percent."
Twenty-eight months after his bearish market call the NASDAQ Composite Index was down sixty-five percent, with market leaders Microsoft, Oracle, EMC, Cisco and Nokia down an average of eighty-three percent. Minervini had avoided one of the most devastating bear market declines in stock market history, protecting his personal portfolio and locking in his gains by going to cash before the decline hit. With the exception of a few well-timed short trades, Minervini sat idle in cash through what was nearly a three-year bear market before returning to the stock market on the long side.
On May 10, 2004, BusinessWeek reported: "Jan. 9 Minervini bought Taser (TASR/NASDAQ), a company that makes Taser guns – nonlethal weapons for police departments. He spotted its potential using his proprietary methodology, "Specific Entry Point Analysis" (SEPA); he then rode the stock up 121% in only six weeks.
In May of 2010, Minervini once again provided a bold prediction about the market conditions deteriorating as the DJIA was down about 250 points - and called for a potential 1,000 point decline in the DJIA – which is exactly what occurred within the next hour during the "Flash Crash" that day.
In his spare time, Minervini enjoys playing the drums, competitive pistol shooting, poker and cooking. You can learn more about Mark Minervini at www.minervini.com.