My Home About Me

And the most fraudulent. When these guys go to create an SEC-registered mutual fund, hopefully they'll have to be more honest than to present this data-mined back-tested 20/20-hindsight "research" that "proves" that Left-leaning companies perform better.

U.S. companies that donate money to the Democratic party posted far higher returns than those that support the Republicans, turning on its head the conventional wisdom that the Grand Old Party is best for business.

According to research released on Tuesday, so-called "blue" companies that fund Democrats and also meet certain ethical requirements topped both the broader stock market and "red" companies that favor Republicans in the last five years.

This means a company's political leanings could forecast performance as much as more traditional indicators such as price to earnings ratios, executives at New York-based money manager Blue Investment Management found.

The "Blue Large Cap Index," which includes digital music device and personal computer maker Apple Computer Inc. and coffee shop chain Starbucks Corp. outperformed the market by 13.1 percent and "red" companies by 15.6 percent annually over the past five years, the researchers said.

"There is a myth in America that Republicans are both better for business and at business and I disagree on both counts," Daniel de Faro Adamson, co-founder and CEO of Blue Investment Management, told Reuters.

"Just as Democrats in the White House have a longer-run view on economic success, our data show that Democrats in the boardroom who use progressive leadership techniques are better able to create long-term shareholder value," he said.

Next week the firm, created on a car trip last summer, will launch the first ever mutual funds to focus on Democratic values, putting the firm's research to a live test.

This, by the way, illuminates the fundamental paradigm on which my firm Trend Macrolytics operates. We believe that investors are systematically irrational when it comes to politics -- so we look for political events that will trigger unexpected market outcomes. These fools at Blue Investment Management will be easy pickings for our strategy.

Thanks to reader Jameson Campaigne for the link.

options   oil   technicals   stock   investor   charts   Short selling opportunities   Technical chart patterns   support/resistance levels   ETFs (exchange traded funds)   Deron Wagner   Basic Materials sector   IRS denies trader tax status   trader tax status   mark to market accounting   Patience in the markets   Dow Monthly Performance   Dow Performance since 1900   Amateur Investors   Nasdaq Composite chart pattern