The challenge was made, the gauntlet thrown.
I agreed. And I decided right then to bring StrategyOne.1 to the general public.
As soon as I started talking to people about SG.1, I realised there was a problem.
So many folk had attended seminars and conferences where they had been offered
unattainable dreams, that their hopes were just completely dashed. They had
signed up for everything from healthcare products to courses that promised to turn
them into “professional traders” in a weekend. Some had been seriously burnt,
especially in the Options markets.
So many dodgy “financial seminars” had gone before, that any claims that I made
simply were not believed. One colourful character expressed it well.
“It‟s not that I don‟t believe you. I‟m just so over the person who leans on
the bonnet of a sports car or sits in his yacht and tells me he made a million
dollars last year. And the funny thing is, I believe him. I just don‟t believe I
So even with an audit – it just tells me you‟re successful. can do the same.
It doesn‟t convince me I can do the same – no matter what you say.”
I appreciated her honesty.
I realised that people needed to believe that they could use StrategyOne.1 and
obtain similar results to everyone else. And so I did something quite unheard of. I
approached one of the most prestigious accounting firms in Australia (in fact, one of
the most prestigious accounting firms in the world, with offices in 112 countries) –
and I asked them to audit the strategy itself! I not only gave them all of my own
results, but I also asked them to test-drive the strategy for themselves.
I sat in the boardroom and faced a senior partner and an auditor of the accounting
firm. They looked at me in silence for a moment, then blinked twice and asked,
“Well, people need to know this works. That it doesn‟t just work for me and
my clients, but for anyone who applies the strategy and follows the rules in
the same way. You see, SG.1 is a real strategy, used by real people, with real
who make real profits. But people need to know it can work for money
them. They need to know this strategy is robust and profitable. They‟ve
been scammed too many times.
“So what do you propose?”
“I propose that I give you the strategy (of course you will be bound by
confidentiality), and then I want you to test the strategy yourselves – over a ten
. Any period. You can choose the starting point. I want you to year period
produce a detailed audit of the strategy‟s performance – and report the
results, whether they be good, bad or ugly.”
That evening I joined some friends for a quiet drink.
“Why would you do this John? Why put your reputation on the line in
such a way – when you don‟t have too?” a friend asked.
“Because people deserve more than their getting. And they need to know it‟s
possible to make serious money in the markets with well managed risk. And
mums and dads with money to invest shouldn‟t have to swim with sharks.
People are just fed up with exaggerations and downright lies. They‟re tired of
hearing that their managed fund “returned 20%” – and then discovering
they only got 6% of it. They deserve the chance to find out that they can
manage their own money – profitably and with managed risk. And they
deserve to hear it from someone who‟s both experienced and qualified – and
has genuine audited performance results to show them.”
And here are the results of the independent audit!
st*Independently audited performance results for SG.1. The starting date chosen by the auditor was July 1, 1996. The results do not include either brokerage or dividends. Anyone using SG.1 on different dates would have obtained different results, which may have been either better or worse. StrategyOne.1 uses leverage to obtain these results as a vital part of its strategy. The details of this are fully explained at all StrategyOne.1 seminars.
Stamford Plaza, Little Collins St, Melbourne th Tues Aug 14 and Wed Aug 15, 7 pm.
To book or for a free copy of the Performance Report, please email:
Who is John Harrop?
He is a highly qualified and experienced Professional Trader and is licensed by ASIC to
advise on all Equities, Options and Futures. He is a graduate of the University of New
England as well as the Securities Institute of Australia and completed his post-graduate
studies at Harvard University. He also a qualified Financial Planner and Technical Analyst
and is a Senior Associate of the Financial Services Institute of Australia.
Harrop Financial Pty Ltd and John Harrop are Authorised Representatives of Tricom Equities Ltd (ABN 92
067 161755) (AFSL No 238 148) and Tricom Futures Services Pty Ltd (ABN 75 001 255 116) (AFSL No
(These Facts are not comprehensive and are only designed to provide simple answers to basic queries. More detailed information is
presented at the seminars.)
How long have you been investing with StrategyOne.1?
Over ten years. But not only myself, so have my clients, friends and family.
What is the best result SG.1 has produced to date?
Actually, this is always an awkward question for me. Part of me wants to tell the world, but another part of me
doesn‟t because the result is so outstanding. I don‟t want people to have unreasonable expectations – but I do want
them to know how good it can get!
And since you ask – Kat from Mt. Isa holds the current record. In 2003 she made over $200,000 (after tax) using
SG.1. This was a staggering return-on-investment of 143%. (Last year she made 63%.) Her accounts will be
available to review at the Introductory Performance.
Is SG.1 just a back-tested hypothetical or simulated model?
Not at all. As a specialist in investment and trading strategy design, I can tell you exactly how I develop an investment
? Firstly, any sound investment strategy begins with a theory and hypothesis, so in that sense every
strategy begins theoretically.
? The strategy then proceeds to computer and market modelling. For any strategy (or “system” as we
refer to them in the industry) to be robust, the modelling must include both forward-walking and
back-testing. Obviously, if it hasn‟t worked in the past in computer simulations, it isn‟t going to
miraculously work in real-world trading. But you would be shocked to know that many, if not most
of the strategies being taught in seminars across Australia have never been adequately tested.
? Once the back-testing, forward-walking and quantitative analysis is complete, the strategy is then
prepared for real-market trading. But not for release to the public. There are very real limitations
with simulated trading models, and the results of an efficient simulation must translate into actual
? Once the strategy has been traded with real money in real market conditions over a lengthy period of
time (years not weeks or months), then it is ready for a serious, rigorous independent audit. It‟s only
once it passes the final strategy audit that I am comfortable to release it to the public.
? SG.1 has been through this rigorous process and has been traded by real people with real money in
real accounts, making real profits for years.
Has anyone lost money using SG.1?
I am very pleased that no client has ever lost money investing in SG.1 to date. In fact, as the Performance Report will
show you, it has not had a losing year in the last ten years. However, all investments carry risk, and I am confident
that at some point in the future, it will have a losing year. Of course, I hope that never happens, but it is only prudent
to plan for it.
Are SG.1 and SG.2 “risky”?
Both strategies are risk managed. That means there are very specific steps taken in both strategies to identify risk and
manage it. For example, SG.2 actually uses a calculator based on the work of two Nobel Laureates in economics to
measure the risk of every trade. We do not take any trade that has a measured probability of success that is less than
Do I have to give my funds to you or someone else if I want to use either SG.1 or SG.2?
No, not at all. We will teach you the two strategies and you can use them yourself. However, if you prefer, Harrop Financial can offer you a Non-Discretionary Account or a Managed Discretionary Account where we can do it for you, although there is no need for this. Some people just prefer others to manage their investments.
Can I use my own broker?
Absolutely. However, our preferred broker is Tricom because they know and understand both strategies and can give personalised assistance to clients with queries.
Is it hard to learn SG.1 and SG.2?
No, we teach the strategies in relaxed and comfortable venues, and the learning is simple and structured. Our oldest client is in his 80s and our youngest is 19. No prior knowledge is needed in order to learn either strategy. We understand people sometimes feel nervous about learning and our materials are designed to be easily understood and jargon free.
What will I get at the seminar?
You will be taught how to use both strategies – and it‟s easy! We will provide you with full notes (and CD) – but most
importantly, you will actually use the strategies at the seminar. In fact, when you leave, you will have specific, actual trades that you can place the next day.
Is it hard to use the strategies?
No. Both strategies are very easy to use. To select your portfolio using SG.1 typically takes one hour and you do this once every year (or every six months if you prefer). To select Option trades using SG.2 typically only takes around 20 minutes.
How much do I need to start investing using SG.1?
I recommend that people have a minimum of $5,000 to start, and this should be the product of savings not debt. (Yes, I know that‟s very old fashioned!)
How much do I need to invest with SG.2?
I recommend that people have a minimum of $7,000 to start.
Can I teach SG.1 and SG.2 to my friends and family once I have learned them?
Sorry, but no. Firstly, it is illegal for anyone to teach these strategies unless specifically qualified and licensed by ASIC to do so. Secondly, both strategies remain the intellectual property of Harrop Financial Pty Limited. You may use them only for your own personal benefit. It is a condition of attending an SG.1 and SG.2 seminar that all attendees sign a confidentiality agreement.
However, we do appreciate that people often want to share SG.1 and SG.2 with friends and family. Therefore for any family members wanting to learn, they are able to attend an SG.1 or SG.2 seminar at a 50% discount off the seminar price.
Friends pay the full price – however Harrop Financial Pty Limited pays a referral fee to each existing client who
refers someone who signs up and attends a seminar. The “referral fee” is currently 10% of the seminar fee (which
would be $300 for a one day event or $450 for a two day event). If you wish, you can pass this saving on to your friends, however, that would be a matter for you to decide.
Why do you do teach these strategies at seminars?
My passion is trading, investing and the markets. I love teaching and this is what I like to do. I only do three or four seminars a year (which is only around ten days of „work‟) which is enough to be both stimulating and fun while not requiring too much effort. And of course it‟s profitable.
What do you mean by “clients”?
Harrop Financial Pty Limited and myself as principle, provide planning and advice to a select clientele and even trade accounts for them on their behalf. Typically, my clients are “high net worth” individuals with accounts in excess of one
million dollars, but I also have clients with smaller accounts. I do not accept clients automatically and I only accept a few new clients each year. Part of my criteria for accepting new clients is that they share the same philosophy of investing and trading as I do. Currently, the minimum account size required for Managed Discretionary Accounts is $1M and for Non-Discretionary Accounts it is $500k.
Do you promote your advisory services at the SG.1 and SG.2 seminars?
No. I mention them, but both seminars are designed to provide people with the specific details of the strategies. I provide free support for a specified period for SG.1 and SG.2, but there are no requirements for individuals to use any other service offered by Harrop Financial. Once people have attended the seminar and learned the strategies, they have all of the information they need to use them exactly as I and my clients do.
Can I claim my seminar fees as a tax deduction?
You may be able to claim your fees as a tax deduction, depending on your circumstances. In certain situations clients have even been able to claim travel and accommodation costs. However, we are not licensed to provide tax advice and you should consult your tax professional and not rely on any comment given here.
Investing in securities and derivatives involves risk and this should be fully understood before investing.
This advertisement and the introductory presentation have been prepared without considering any
individual’s financial situation, investment goals or needs. You should seek independent advice from of
a qualified financial advisor before making any trading or investment decisions.
Past actual and/or hypothetical returns are no guarantee of future performance. Simulated performance
is not a reliable guide to future performance. No return of capital is implied or guaranteed. There is a
risk of loss of capital when investing in shares or derivatives. Past performance is not a reliable
indicator of future performance.
Harrop Financial Pty Limited
ABN: 86 101 603 641
P.O. Box 6330
Mooloolah Valley QLD 4553
Ph: 1300 552 045
Fax: 07 5942 9046
PRIVACY: We will not sell or share your email address with anyone else. We oppose abuses of privacy and will not abuse yours. You won't get an email box full of junk mail from us, either.
ABOUT THIS NEWSLETTER: It’s purpose is to inform you of an upcoming seminar in your area, and to invite you to attend a free Introductory Presentation. At the Introductory Presentation copies of the Audit and genuine client accounts will be available for you to review. Every person attending will receive a complimentary copy of the Performance Report. We aren't interested in pie-in-the-sky theories, and we know you aren't, either. We will show you road-tested and time-proven methods of investing, trading and generating cash flow.
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