Billionaire Investor Shares Two-Step Approach To Positive Returns: 'I Think I Finally Solved The Stock Market'

1 hour ago 2

Chris Katje

Sun, April 5, 2026 astatine 5:01 PM CDT 4 min read

Billionaire investor John Arnold saw a caller societal media station spell viral, successful which helium claimed to person "solved the banal market." Here's the concern proposal from the erstwhile youngest billionaire, which whitethorn beryllium connected par with Warren Buffett erstwhile saying to put successful a low outgo scale fund.

Arnold was erstwhile the youngest billionaire successful 2007. He has since closed his hedge money and focused connected philanthropic efforts similar moving the Arnold Ventures fund.

In a caller tweet, Arnold whitethorn person fixed a lifeline to investors who privation to marque minimal investments and not interest astir trading daily, play oregon adjacent monthly.

Year

XLK

XLE

50/50 Split

2020

+44%

-33%

+6%

2021

+35%

+53%

+44%

2022

-28%

+64%

+18%

2023

+56%

-1%

+28%

2024

+22%

+6%

+14%

2025

+25%

+8%

+16%

2026 YTD

-8%

+38%

+15%

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Arnold's tweet shared a illustration of the returns of the Select Sector SPDR ETF Technology and the Select Sector SPDR ETG Energy for each twelvemonth from 2020 done year-to-date 2026. The illustration besides showed the instrumentality based connected a 50/50 money of some ETFs, with each twelvemonth dating backmost to 2020 and the existent year-to-date having a affirmative return.

In six of the 7 years, the wide instrumentality is treble digits. Now comparison that to the instrumentality of the SPDR S&P 500 ETF Trust and the 50/50 divided of XLE and XLK outperforms 4 of the 7 times, including having a affirmative instrumentality successful 2022 erstwhile the SPY was antagonistic and having a existent affirmative year-to-date summation successful 2026 versus a antagonistic show for the SPY.

Here is the SPY show implicit the past 7 years, counting 2026:

  • 2020: +16.2%

  • 2021: +27.0%

  • 2022: -19.5%

  • 2023: +24.3%

  • 2024: +23.3%

  • 2025: +16.4%

  • 2026 (YTD): -7.0%

Here is simply a look astatine the returns of the 2 ETFs and 50/50 show going backmost the 5 years prior.

Year

XLK

XLE

50/50 Split

2015

+5.5%

-21.5%

-8.0%

2016

+15.0%

+28.0%

+26.5%

2017

+34.3%

-0.9%

+16.7%

2018

-1.7%

-18.2%

-10.0%

2019

+49.9%

+1.7%

+30.8%

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The illustration shows that the 50/50 divided of XLK and XLE hasn't ever returned a affirmative performance. In the 2 years it had a antagonistic return, the 2 ETF method trailed the S&P 500 wide return.

Investors tin experimentation with assorted stocks, ETFs and communal funds to spot past show and effort to bushed the marketplace similar Arnold. Investing successful the ETFs that way the largest vigor stocks and exertion stocks has been a winning concern successful caller years.

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