Keeping Investing Simple
Doug Fabian Of
ResourcesFor mutual fund investors, one of the bestknown newsletters is Fabian
Investment Resources, previously known as Telephone Switch Newsletter. It
was begun by financial planner Dick Fabian, whose 1976 book, How To Be
Your Own Investment Counselor, triggered enough response for him to start
the newsletter the following year. Since then, the newsletter has prospered,
with Fabianís son, Doug, later picking up the reins and expanding its
horizons. Editor Thom Hartle talked to Doug Fabian via telephone on March
24, 1999, asking him about, among other topics, the key points to the Fabian
methodology, how he determines the trend of the stock market, and how
backtesting an idea is crucial.
Letís start at the beginning.
Can you give me some
personal history as well as
some of the firmís history?
Weíre celebrating the 22nd anniver-sary
of the Telephone Switch Newslet-ter,
which became Fabian Investment
Resources in 1993. My father first pub-lished
the newsletter 22 years ago, after
he self-published his book How To Be
Your Own Investment Counselor, which
he wrote after the 1973-74 bear market.
The book followed the advent of the
money market fund and the telephone
exchange feature within mutual fund
families. His premise was that stocks
were the place to invest to grow your
portfolio, and mutual funds were, and
are, the simplest way to participate in
the stock market.