Welcome to an invitation-only Web Page that gives a select group of investing professionals access to a 50-page White Paper (shown at right) that presents an innovative approach to portfolio design and management; one that better meets the challenges of modern markets and the wants/needs of individual investors.

Developed by the NAOI based on a multi-year R&D project, using extensive input from the investing public, the new approach is called Dynamic Investment Theory (DIT). It sets the logic and rules for the creation of Dynamic Investments (DIs), a powerful new investment type that is designed to automatically change the ETF(s) it holds based on a periodic sampling of market trends.

By doing so, DIs are “market-sensitive” and capable of producing returns that are not possible by any investment type today and with far less risk. You will read in the White Paper how DIT and DIs work and how to immediately take advantage of the the full range of benefits they offer.

Click the cover image at right to view the White Paper’s Table of Contents.

Ordering the White Paper

The NAOI White Paper can be accessed in two formats via these links. But before going to an Order Page we suggest that you read, or at least scan, the information presented just below on this page in order to understand the immense value of acquiring, reading and talking action based on the information found in the White Paper.

Download the White Paper in Digital PDF format at this link >>

Order the White Paper in Hard Copy format at this link >>

Introductions

To begin the discussion of how DIT and DIs work, it is important that you understand who wrote the White Paper and why. This information is presented below with more detail found by clicking the links provided.

Leland Hevner - The Author of the White Paper

Allow me to introduce myself as Leland Hevner (click here for more information). I am the President of the National Association of Online Investors (NAOI) and the author of the White Paper. I founded the NAOI in 1997 with the goal of empowering individuals to invest with confidence via education and the use of online resources. Thousands of people have taken our online courses, read our books (Wiley is one of our publishers) and/or attended our college classes. As a result we are a major influencer on how individuals invest today and the advisors they choose to work with.

The National Association of Online Investors - The Developer and Publisher of the White Paper

The mission of the NAOI is to empower individuals to invest with confidence and with success. We are currently the market’s premier supplier of objective and actionable information to the public. But education, alone, sufficient. To meet our mission statement’s goals the NAOI also has these Divisions, the purpose of each is found on our home page by clicking here.

• Education

• Investing-Market Research

• New Product Research and Development

• Consulting

• Marketing

• Publishing

This organizational structure

Why Investing Needs to Change, NOW!

As we teach individuals, they also teach us. And we know that far too many people who need investing income are not participating in the market today. A major reason is that they are afraid of losses incurred by owning industry-standard, buy-and-hold, MPT-based portfolios in modern volatile markets. Based on this input from the investing public, the NAOI embarked on a multi-year R&D project to find an alternative to MPT for portfolio design and management. We succeeded in this effort with the development of Dynamic Investment Theory, Dynamic Investments and Dynamic Portfolios that you will learn about in the White Paper.

An Example of Dynamic Investment Performance

The NAOI has tested the performance of Dynamic Investments for a wide variety of time periods. And we are continually amazed at the high returns they produce in both Bear and Bull markets. Click the button below to see an example of this performance for the simplest possible DI.

This is the level of performance that investors will soon demand from advisor recommended portfolios. Lower performing portfolios will simply not be acceptable to individuals who learn about the benefits of Dynamic Investments. And we will make sure that they learn about them.

Gaining a Major Competitive Advantage in the Field of Financial Services

NAOI students have told us that all financial advisors and organizations look alike to them; they all seem to offer the same investment products and financial services. In their minds, none currently has a major competitive advantage. This changes with the introduction of Dynamic Investments. Investment advisors and financial organizations can easily and quickly gain a significant advantage by including DIs in their product line, and by doing so offering to investors simpler, higher return and less risky portfolios. And the NAOI will refer our students to those that do so.

Click the button below to read about just a few of reasons why offering Dynamic Investments gives advisors that offer them a significant competitive advantage in the crowded field of financial services.

An Overview of the NAOI White Paper Contents

The White Paper that you now have exclusive access to is more than just a “good idea” It is an “action” document and a blueprint for building a better way to invest. You saw the White Paper Table of Contents by clicking its cover at the top of this page. Presented below is a quick overview of the content of each Section. Those who read this document will be among the first to see the future of investing. And they will be fully capable of profiting from it immediately.

Section 1: Introducing the National Association of Online Investors (NAOI) - Founded in 1997 with the goal of empowering individuals to invest with confidence, the NAOI is now the premier supplier of objective education and innovative investing solutions to the investing public. As a result, we have an unmatched knowledge of how individuals view the world of investing and make decisions. We also are a major influencer on how people invest today and the financial advisors / organizations they choose to work with. In this Section you will learn how the NAOI is structured to create the new investing approach described in the White Paper and how we are uniquely positioned to take it "mainstream".

Section 2: Why People Are Afraid to Invest Today - As we teach individuals, they teach us. From their input we know that far too many people who need investing income are not participating in the market today. In this Section you will learn that the problem stems primarily from the exclusive use of Modern Portfolio Theory (MPT) methods to create and manage portfolios. Introduced to the market in the 1950s, MPT dictates that portfolios be customized to match the risk profile of each investor and then held for the long-term, regardless of economic and market conditions. People tell us, in increasing numbers, that they are unwilling to expose their financial futures to the risks of holding static portfolios in modern, uncertain markets. Based on this input the NAOI initiated an R&D project to find an alternative to MPT; one designed to more effectively cope with modern markets.

Section 3: Investor Goals for a New Approach - To begin our R&D effort we asked the public what they wanted/needed in a new approach to portfolio design and management to participate in the market with confidence and without fear. In this Section you will learn their top goals for a new approach. This is information that ALL financial advisors and organization must have in order to offer investment products and methods that will attract clients in today’s market.

Section 4: Introducing Dynamic Investment Theory (DIT) - With investor goals in hand, we immediately saw that MPT methods met none of them. So we began our research effort with a blank slate; as if MPT didn’t exist. In this Section you will learn that we turned to the field of investing Quantitative Analysis (QA) for solutions. There we discovered the remarkable power of price trends to predict future market movements - a factor totally ignored by today’s MPT-based portfolios. Extensive research and testing showed us how to take advantage of this factor in a simple, safe and profitable manner. We then used it to create a new investing approach that we call Dynamic Investment Theory (DIT). You will learn what DIT says in this Section. This is the first viable alternative to MPT for the creation of portfolios since the 1950s when that theory of investing was introduced to the market.

Section 5: Introducing Dynamic Investments (DIs) - DIT sets the logic and the rules for the creation of a new investment type that we call Dynamic Investments (DIs). DIs are capable of changing the ETFs they hold based on a periodic review of price trends. By doing so, they are "market-sensitive" and capable of producing returns that are significantly higher than virtually any static, MPT portfolio in all economic conditions, with lower risk and absolute protection from market price corrections and crashes. The development of DIs enabled the NAOI to meet ALL of the goals set for us by the investing public. In this Section you will learn how DIs are created, how they work, the performance they can produce and how financial advisors and organizations can easily, quickly and cost-effectively create a product line of DIs for a full spectrum of investing goals. You will also be given the design of simple but powerful DIs that you can begin using immediately to enhance your product offerings.

Section 6: The Unique Features of Dynamic Investments - The investing world has never seen an investment type like DIs. In this Section you will learn that one simple DI can serve as an investor’s complete portfolio. Each DI takes advantage of three diversification elements as follows: Company Diversification via the use of ETFs, Asset Diversification by being designed to automatically rotate between different asset classes, and a new type of diversification that we call Time Diversification that results from the DI’s ability to change the ETF it holds based on a periodic review of price trends. In this, Section 6, you will learn how the unique features of DIs enable investment performance that is not possible today and why this new investment type will play a significant role in the future of investing; on at least a par with mutual funds and ETFs.

Section 7: The Rise of Dynamic Portfolios (DPorts) - Even though DIs can serve as complete portfolios, it is NOT the intention of the NAOI to replace MPT with DIT; they work quite well together. In this Section you will learn how inserting DI building-blocks into traditional MPT portfolios, as illustrated in the diagram below, will make them market-sensitive and by doing so increase their returns and lower their risk. We call these MPT/DIT-hybrid portfolios “Dynamic Portfolios”. You will also learn in this Section that DPorts take advantage of FOUR diversification elements; these being the three used by DIs, as described just above, plus Methodology Diversification - by holding both a DIT buy-and-sell segment and an MPT buy-and-hold segment - taking advantage of the benefits of each. It should also be noted that while the two diversification elements used by MPT portfolios both reduce risk and reduce returns, the diversification elements used exclusively by DIT reduce risk and enhance returns!

Adding a Dynamic Investment building block to a traditional MPT portfolio can significantly increase its returns while also lowering its risk. Testing shows that performance goes up as the allocation of money to the DI building block increases.

Section 8: The NAOI Universal Portfolio and the “Productization of Investing”- The world of investing today suffers from the lack of a “default” portfolio that works for all investors, regardless of their risk profile. Such a portfolio is not possible using MPT methods that must be customized to match a “guesstimate” of each investor’s risk profile. In contrast, DIT-based portfolios are designed to maximize returns while minimizing risk in all economic conditions; a goal that works for all investors regardless of their risk profile. As a result, using DIT methods, the NAOI has created a simple but powerful “Universal Portfolio” that meet the needs of all investors. You will be given its design in this Section.

This portfolio can be seen as the market’s first “consumer product” that can be sold off-the-shelf, directly to the public, by a variety of vendors. It opens the door to the “productization of investing”; the Holy Grail of the financial world that experts have been seeking for decades. They haven’t found it. The NAOI has and in this Section of the White Paper you will as well.

Section 9: The Benefits of DIs for Investment Buyers and Sellers - This Section shows how the introduction of DIs and DPorts will provide powerful benefits to both investment buyers and sellers.

• Benefits For individual investors, DIs and DPorts meet all of the goals given to us by NAOI students and focus-groups for a new approach to investing as discussed in Section 3. These goals include being given portfolios that are simple to understand, produce higher returns with lower risk than the MPT portfolios they are given today and provide absolute protection from market crashes. By automatically signaling trades based on periodic reviews of price trends, DIs also eliminate a massive human-risk element that is the source of much that is wrong with investing today.

• Benefits For Financial Advisors and Organizations. Investing professionals will benefit by being able to easily, quickly and inexpensively create and offer a complete line of powerful DIs and DPorts for a full range of investing goals. These DIs will outperform virtually any investment in an organization’s current product line. By doing so advisors and financial organization that offer DIs will have the competitive advantage needed to expand their client base, increase revenues and add value to their balance sheets by creating new proprietary products. In addition, by monetizing the combination of existing ETFs, DIs uncover value that is currently lying dormant in current ETF product lines. And this value is massive!

Section 10: Opening a Vast New World of Investing Research - In this Section you will learn how, by breaking out of the decades-old MPT “box”, a vast new world of profitable investment research opens its doors. Shown in this Section are just a few areas of investing where the NAOI is conducting research that will result in disruptive, but beneficial, change to the way investing works today. Among these are how investing risk is measured - you may be surprised to learn that the current methods are dangerously flawed. We are also working to “productize” high-powered investment portfolios enabling them to be sold directly to the public in the same manner as any other consumer product is today. The “productization of investing” is discussed in detail in Section 9 of the White Paper

Section 11: There Will Be Skeptics - Any time a change to the financial world that is as significant as the introduction of DIT and DIs is proposed, there will be skeptics. This Section discusses input from investing professionals, who we have allowed to review the information in the White Paper, telling us why the new approach can’[t possibly work. In this Section we respond to each objection. We have yet to hear one reason that would cause us to question the superiority of the DIT approach.

Section 12: Why Dynamic Investments Cannot Be Ignored - The NAOI is well aware that many financial organizations are profiting handsomely using current MPT methods and will prefer to ignore the DIT-based approach discussed in this White Paper. That would be a mistake for several reasons.

First, if your competitors offer DI-based products and portfolios that deliver returns significantly higher than the portfolios that you offer, and with lower risk, you will lose clients. Second, the NAOI is perfectly positioned to make the investing world aware of this higher performance via our extensive education network, our many contacts in the financial media and in all major financial organizations who are watching this development closely. And third, the NAOI will soon offer the Dynamic Investment User’s Manual, pictured at right, that will be available on Amazon where it can reach millions of investors. NAOI students tell us that readers of this Manual will look for financial organizations that offer this approach; if they can’t find one, they will be able to implement it on their own, using an online broker, and support from the NAOI.

DIT and DIs represent an evolutionary change that adapts how investing works today to cope with modern markets. Those that offer it will thrive in the future of investing. Those that refuse to adapt to changing markets by continuing to offer 1950s-era MPT-based portfolios will struggle to survive. That’s just how evolution works.

Summary: The Future of Investing Is Here - NOW! - Today there is only one approved methodology for designing and managing portfolios. This is Modern Portfolio Theory (MPT), a methodology introduced in the 1950s when markets were far different than they are today; and this approach simply can’t cope with modern market dynamics. In the future of investing there will be two approaches to investing - MPT and DIT, the latter being an approach introduced in 2022, by the NAOI White Paper, that is designed specifically to cope with modern markets. By being able to quickly and automatically adapt to current market conditions, DI-based investment product-lines of the future will be far simpler, more profitable and less risky than they are today. This is the future of investing.

Addendum: The Advantages of Working with the NAOI - After reading the above Sections of the White Paper you will have the knowledge and tools needed to begin creating and using Dynamic Investments and Dynamic Portfolios on your own, immediately. And you will understand how, by including DIs in your product offerings, you can gain a massive competitive advantage over advisors and financial organizations that don’t.

But to fully exploit the power of this evolutionary approach to investing and bring high-performance, DIT-based products to market first, you would be well advised to consider a cooperative effort with the NAOI. We have been testing and teaching the use of Dynamic Investments for 3+ years using a customized DI development platform. We know what works and what doesn’t. Based on this experience, we can assist you in developing a complete product line of DIs and Dynamic Portfolios and bringing them to market months, if not years, ahead of your competition. The ROI of a cooperative agreement with the NAOI will be off-the-charts high.

Order Your Copy of the NAOI White Paper

The NAOI White Paper can be accessed in two formats via these links.

Download the White Paper in Digital PDF format at this link >>

Order the White Paper in Hard Copy format at this link >>

Still Not Convinced? Let’s Talk.

As a member of the financial services industry for over 20+ years, I, Leland Hevner, realize that fundamental change to investing of the nature described here is not easily accepted. So I am offering to readers of this Web page a free phone consultation, either before you have read the White Paper or after, to discuss any questions you have about the use of Dynamic Investing Theory and Dynamic Investments. To do so, contact me at LHevner@naoi.org to set up a time.