Why Hope Isn’t a Strategy, and Logic Always Wins  » TheTechnicalTraders

In the world of investing, we’re conditioned to think certain styles are safe. Buy-and-hold, the classic 60/40 stock and bond split, wide diversification, or relying on dividend-paying assets — these have been passed down for generations as “the right way” to invest. And yet, most investors I talk to — especially those in their 50s, 60s, or already retired — are questioning whether these old rules still work. 

They’re seeing the cracks. And they’re right to question it. 

I’ve spent the last 25+ years studying markets, testing strategies, making mistakes, and refining a system that not only grows capital — but protects it. And that’s where Asset Revesting comes in. 

It’s not just a different strategy. It’s a different philosophy altogether. One that removes the guesswork, emotional swings, and catastrophic drawdowns that derail so many retirement plans. It’s a strategy I use with my own money. And it’s why I’ve made it my mission to help others get off the rollercoaster before it’s too late. 

Let’s walk through how Asset Revesting compares to the traditional strategies — and more importantly, why “hope” can be the most dangerous word in investing. 

Let’s Start With Definitions 

Buy-and-Hold 
The oldest and most common strategy. You pick a basket of investments and hold them through all market cycles — up or down. No matter how deep the drawdown or how long the recovery, the idea is to stay the course and ride it out. 

60/40 Portfolio 
This is the go-to for most financial advisors: 60% stocks, 40% bonds. The theory is that bonds will act as a cushion when stocks fall. But in today’s markets — where interest rates are rising and stocks and bonds are moving in sync — this model is breaking down. 

Diversification 
Some believe that if they spread capital across every asset class, country, and sector, they’ll be protected. But owning 40 funds doesn’t mean you’re protected. Often, it just means you’re overextended, hard to manage, and earning diluted returns. 

Dividend Investing 
Chasing yield is appealing, especially in retirement. But dividends don’t prevent price loss. A 4% yield means little if the stock or fund drops 20%. Income does not equal safety. 

Asset Revesting 
This is a tactical, rules-based strategy. It involves rotating capital only into assets that are rising in value. We don’t predict. We don’t hope. We respond to market trends and follow strict technical signals. When nothing is favorable, we hold cash or short-term instruments like BIL. When the trend turns, we move back in. That’s it. 

The Emotional Reality of Traditional Strategies 

The biggest flaw in traditional investing isn’t just performance. It’s how it makes people feel — and behave. 

• Buy-and-Hold investors often endure years of drawdowns, watching their nest egg drop 30%, 40%, even 50%. They’re told to “stay the course” while silently questioning whether retirement will ever be possible. 

• The 60/40 portfolio offers a false sense of balance. When both stocks and bonds drop — like in 2022 — retirees realize they weren’t as diversified as they thought. 

• Diversification may limit risk in theory, but in practice, it leads to confusion and inaction. You end up owning underperformers alongside your winners. It’s a lot of complexity with little clarity. 

• And dividend investors often fall into the trap of emotional attachment. They love the yield. They love the company. They forget that even a solid dividend stock can trend to zero — and many have. 

In contrast, Asset Revesting is unemotional. We’re not loyal to any ticker. We don’t get attached. We don’t “hope.” We follow logic and data. And that’s what keeps us protected. 

Why Hope is Dangerous 

Hope is a powerful thing in life — but a dangerous thing in investing. 

Hope convinces investors to stay in losing trades longer than they should. Hope says, “it’ll bounce back.” Hope says, “this company is too good to fail.” Hope says, “maybe if I wait one more week, I’ll recover.” 

But hope doesn’t pay the bills. And it doesn’t care about your retirement. 

What people forget is this: a 50% loss doesn’t require a 50% gain to recover — it requires a 100% gain. And that kind of recovery, especially near or during retirement, is often not realistic. Many investors never recover at all. 

Emotional Attachment to Assets Doesn’t Work 

You might love a stock. You might believe in a certain sector. You may even feel like the market “owes” you a rebound. But here’s the truth: 

Your stocks don’t love you back. 

They don’t know you exist. And they will drop — hard — if the conditions warrant it. I’ve seen incredible companies go bankrupt. I’ve seen blue-chip names drop 80% in bear markets. And I’ve seen countless investors stay loyal to the end — only to lose decades of savings. 

With Asset Revesting, we don’t fall into that trap. We follow price. And when price trends reverse, we rotate out and move on. It’s simple. It’s repeatable. And it works. 

Sequence of Returns Risk: A Retirement Killer 

For retirees or anyone near retirement, sequence of returns risk is critical. 

It’s the risk that poor market returns happen early in your retirement, which can devastate your portfolio — even if long-term averages are decent. 

Imagine retiring with $1 million, then taking 4% withdrawals during a bear market while your portfolio drops 30%. That’s not just a setback — it’s a permanent impairment. You’re now withdrawing from a smaller base, locking in losses, and compounding the damage. 

Asset Revesting helps eliminate this risk. We sidestep bear markets. When conditions are unfavorable, we move to defensive assets or cash. That’s how you preserve capital — and keep retirement intact. 

Bad Habits Start Early… and Compound Over Time 

Many traders develop poor habits when they’re young — chasing hype, overtrading, skipping stops, ignoring risk. These habits get masked during bull markets. But when things turn, those behaviors turn toxic. 

And if those habits continue into retirement? The consequences are life-altering. 

That’s why structure matters. Rules matter. Logic matters. 

Asset Revesting helps instill that structure. It removes the guesswork. And it replaces bad habits with a simple, repeatable system that works in all markets. 

Different Life Stages Require Different Strategies 

A 30-year-old has different needs than a 60-year-old. Your investment strategy should reflect that. 

In your 30s and 40s, maybe you can ride out volatility. But in your 50s, 60s, and beyond, you need stability. You need to grow — but you must also protect. You don’t have time to recover from another 2008 or 2022. 

Asset Revesting scales with you. It adapts to market conditions and life stages. And it gives you peace of mind along the way. 

What About Financial Advisors? 

Some advisors do good work. But many are still anchored to outdated models — 60/40 portfolios, buy-and-hold, and generic risk profiles. 

If your advisor can’t explain how they protect your portfolio in a bear market… or how they actively manage risk based on technical conditions… it may be time to re-evaluate. 

With Asset Revesting, many of our members manage their own capital — or use our strategy alongside a self-directed retirement account. Some even choose to autotrade our signals. Either way, they know exactly what the plan is, and that it’s built to grow and protect capital, not just “ride it out.” 

Real Results from Real People 

Here’s what a few of our members have said recently: 

“At 68, I can’t take the stress that comes with big dips in the market. I have total peace with the ACS portfolio… I’m more concerned about the return of my money than hitting home runs.” 
— Verified Member, May 2025 

“Since following Chris’s strategy, I’ve not only made money, but I sleep better. No more second-guessing, no more emotional decisions.” 
— Rich B., Verified Buyer 

“I’ve stopped chasing headlines and hype. Now I just follow the signals, and my portfolio is finally growing with consistency.” 
— Lisa W., Subscriber since 2023 

The Bottom Line 

Hope is not a strategy. Diversification alone is not protection. Buy-and-hold is not a guarantee. 

The markets have changed. The economy has changed. Investor needs have changed. 

Asset Revesting is a strategy for the modern market — one that’s built for clarity, control, and capital protection. It’s not based on predictions or emotional reactions. It’s based on logic, rules, and a deep understanding of how price trends, volatility, and cycles work together. 

I believe the best way to grow wealth — and preserve it — is to invest in assets that are rising, and exit when they’re not. That’s what Asset Revesting does. 

If you’re ready to get off the emotional rollercoaster and take back control of your financial future, I invite you to explore the Asset Revesting Newsletter or read the Asset Revesting book. 

No predictions. No gimmicks. Just a system that works. 

Book your free call with my team now! Pick a day and time here. 

Chris Vermeulen  
Chief Investment Officer  
TheTechnicalTraders.com 

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