While we have very different 'trading' styles, I very much share the 40,000 foot point of view on how to manage a portfolio with Whitney Tilson.  Try to reduce downdrafts and protect against downside, and let the upside take care of itself.  Sometimes that strategy leaves you behind in the dust when the market goes on a steroid induced rampage as we saw the last 4 months of 2010, but this is a marathon and not a sprint.  The benefits of this strategy don't show up during the steroid era; that said, his long term record in the hedge fund is superlative.

Tilson runs a long short book and has bet against some of the most popular stocks in the market today ala Netflix (NFLX) and Lululemon (LULU).  While outperforming the first 8 months of the year, Tilson opines he did not believe enough in our new paradigm 'free markets' as practiced by Ben Bernanke, and championed by David Tepper - and hence missed the can't lose market the Bernanke Put offered in the last third of the year.  He provides his always frank analysis on the year 2010 in his year end investor letter below:

Whitney Tilson T2 Accredited Fund Annual Letter-2010
                                                          

[Aug 10, 2010:  Whitney Tilson Becomes More Bearish on Economic Prospects of the U.S.]

[Nov 4, 2009: Whitney Tilson T2 Partners October 2009 Investor Letter; Housing Recovery Still Has Long Way to go]