We have come to the table with a proposal that both “Wall Street” and investors, both individual and institutional have it all wrong. Why? Modern financial theory stopped with the development of the Black-Scholes model. What we have seen in the last few years is mathematicians trying to give trades and banks a way to “pass off” risk using formulas that have time bombs in them because some of the variables can’t be defined exactly. We have all seen what has happened and what continues to happen. Right now modern financial theories, which may seem useful, have large unknowns. What is needed is a clearly defined tool to define and capture risk, managing it’s volatile nature.
That’s where we come in. Any asset that can be definitively be priced at a regular interval can have it’s risk defined to a dollar amount by our formula. Once you know how much “risk” in dollars you have in an asset, you can optimize maximizing it’s value. For example, a $100 stock has $5 of risk in it, the optimal way to invest is to “trade your risk”, not dump your money into a full position. So you would only trade a partial amount of what you plan to invest determined by our formulas. This amount is fluid and changes and adapts as the stock moves. If you were to hold several securities in this way in a portfolio, you could invest a partial amount in other assets. The portfolio would also adjust itself as the securities move.
Everyone in the investment world is focused forward. Sure a companies stock does reflect future earning expectations, by everyone is tricked by their own human nature. Everyone focuses on the pot of gold at the end of the rainbow. People are focused on how much they can make, they are sold on the promise that something can make it there. We are too easily swayed by the “what can be” instead of what is. Humans are passionate and greedy by nature, so this is no surprise. You can see examples of this through history. We are believers that what a stock is here and now is what it is and that it’s risk component can be exploited. Everything in the price today is all you need to know.
We would like to hear back from some people on our theory and share some of our results. Hopefully we can even make some business connections.
You read it right, all of these years we have been taught of the linear relationship between risk and return. It appears that way, and looks nice in textbooks and economic journals. Risk is a multidimensional object that has anything but a linear relationship with return. Something can be declared “risk free”, but catch risk on the wrong facet and we have 2008. The risk relationship and the random walk down Wall Street are myths. Anyone playing on these myths has felt the sting of one of these facets of risk. We all want to be great investors, and some of us are. There’s more out there, if you can nail risk down to dollars you can have an amazing return as you enjoy knowing one of the key components to an asset is harnessing it’s risk.
Here at Dual Peak we know how to truly figure out the risk of an asset, and use it to your advantage. Ask for a sample spreadsheet and we will show you what we are talking about.
Investing as you know it is about to change. The traditional Financial Advisor will be out of business because of this revolutionary idea. Periodic investing has been a trusted and long term investment strategy, Dual Peak puts a twist on this and creates a very powerful tool. The center of all of this revolves around one number, the stock’s risk factor. Instead of the traditional “I want this much$ at 40, this$ at 60, and this$ when I retire, the number put risk in a $/share. When you know how to trade your risk your goals will be easier to obtain and even be passed up. I have included a spreadsheet of AMGN in this site to show you how powerful this is. I will also post one for AA to show you how to turn a loser into a winner. This is all going to be hard to believe, but it works and I suggest you try it out. Our advisory fees are miniscule compared to the returns. Dual Peak has the answer for the future, check us out.
Dual Peak has three revolutionary ideas that will change personal investing forever. No longer will you have to rely on some “educated expert opinion”, which is really a guess. No one in the financial markets hits a “home run” every time. As financial professionals, they are human, they can have good judgment and experience that can make their decisions better, but it still frustrates investors. Investors turn to newsletters and speculation, or through our arms up in disgust. Putting money in our 401k plans is very difficult and little advice is given on what to do, except a prospectus thrown our way. Gifts and money inherited have value in our hearts and the last thing we wish to do is loose it. Investing is complex and emotional. Dual Peak takes the complex out, but leaves the emotional component. You can invest in what you feel is good, and we determine each month what the risk adjusted amount to trade is. This way of investing takes the worry out of being in the market. We can calculate a dollar number that puts risk into a hard number. A number that shows you what the maximum probable loss per share in dollars is. Now this is not totally full proof, because if the market suddenly crashes you will take a loss. The great thing is this system never trades on a hundred share basis the full quantity, it is always less because of the risk calculation. This system limits you market exposure and maximizes you return. You will never have to go short, and if you wish to take on the extra risk you can use margin, but it is not recommended. No more mistakes from brokers, no more figuring out cryptic recommendations or economists visions. This is very real and very powerful. It is meant to empower the individual investor.
It is much less expensive that you would think, probably less than the amount you spend on commissions each year. Come and paper trade with us to see how it works and how powerful it is. This could be a life changing decision for you. Please don’t pass it up.
Again, the economic wheel has turned and the market faces some very tough situations. The budget talks, the debt ceiling, a slack economy, Syria, and countless other things that are ready to shake up your portfolio, even if you are “diversified”. Bonds can swing any way now due to the Fed, so your once a rock in your portfolio has become volatile as bonds can be. Again, Dual Peak offers an alternative for all market conditions. Now, it’s not perfect but it is way better than most. We are the only firm that has this, please come check us out!
We have been pressing for years about America’s future, and the time is over. America’s future is almost set in stone. We tried. Now we will focus on something everyone thinks and cares about. Don’t pass this up, this not some dream to make you rich, this is not like the millions of frauds and ponzi schemes you are emailed and told about each day.
This is real investing. It is only for serious, committed individuals that wish to make their lives better. The Government of The United States will make it hard for you to make money, and hard to keep it. This is to help the individual investor, who has been beaten and shut out of the markets that securely make good money. Today the individual investor has to take on more risks than is warranted to achieve a good return.
There is an alternative, and only we have it. Forget about what you have been doing. We have a new powerful way to invest.
You only find out if you ask. We have put out several examples, and you can ask for several more. This is the new way. email@example.com
Help us fuel The Giving Tree, and fill your pockets. Life is changing in the next few months in ways we really don’t want. Take advantage of this and steer your life the way you want. It is unfortunate that we have to resort to making more money to protect ourselves and our way of life.
Take control and follow your heart. Maybe that sounds stupid, but that is where my money from star investing is going.
Be well, be prepared.
Posted in Charity giving, Investing
Tagged best investment, fund returns, hedge fund, hedge funds, high returns, how to invest in the stock market, how to trade the stock market, Investing, money, stock market, Stocks, trading systems
So Alcoa is not the prettiest stock out there, but it is another great example of this star investing method. Normally you would not just invest in just one stock, but this is a good example of how it works. This compares regular “old school” periodic investing to the star method which is also periodic. Investing a fixed amount, say every month, is highly underrated and looked over too often. People want “racier investments” and fast returns, in other words we all are greedy. I will admit I have the drive created by greed within me at times. This star method has rescued me from greed and all it destroys. The difference between the two methods is that the star method puts you risk in dollar terms. This makes it so that you never invest more than the method says to risk. Funds are still collected each month, but the amount to invest will be much less than you put in under the star method.
This is assuming a starting amount in AA of $5000, and an investment in AA of $1000 per month.
Under the regular periodic investing, YTD 2012, you get the following:
You would sell your total amount of shares losing $467.78, your starting stake was $5000
Your return would be $4532.22
Under the star method the following would happen:
Sale of your shares would be $511.33, your starting stake is $5000, your extra cash not invested is $4447.08
In the star example the $10000 in contributions were subtracted out.
It is very plain which is better. Contact us for more information: firstname.lastname@example.org
This is more profitable than what you have ever seen before, it will allow you to be more diversified and trade with less risk. This is the best investment.
You know I never can get away from politics, we have the plan, americanrevision.wordpress.com Tonight the WSJ online has a center story of how Romney cut taxes as Governor by rasing corporate taxes. Gee can you see the press pushing?
Anyway, nasty day in the market. DOW down over 200 or 1.52%, the S&P500 down 1.66%, NASDAQ down 2.19%. Interestingly enough the two star portfolios were down 0.41% and the newest star down 0.92%. So yes we lost, we only take long positions so it is inedible that it will happen. Look at the contrast of the returns, it points out to you that the star portfolios are less risky. This can be pointed out on many days. This is the best investment method around. It is cheep and gives a great return. This can change the way you invest and many other things. Don’t get caught in the fee game, the more you pay for your investment information does not mean you have to buy in on the idea that you pay more and you get a better return. I am sure some of it is true, but remember the risk of your investments are really undefined and unknowingly “paying for a return” may exponentially increase you risk exposure. Risk can not be eliminated but it can be put into a dollar amount. That is what Dual Peak does, puts risk to a dollar amount, and puts portfolios together that are mathematically sound because risk is known. Things are not as complex as they seem. Dual Peak has a method that makes that makes investing better. Investing does not have to cost you a lot of money. We have a very good method, we never touch your, you have to make 1 trade per stock per month. We can tell you the quantities to trade, risk is ever changing and every month adjustments need to be made every month. This can be very profitable.
If you are interested email us: email@example.com
You have our portfolios from our previous posts on dualpeak.wordpress.com
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The real benefit is to society. Dual Peak operates The Giving Tree charity. Part of our revenue goes to the charity. Each year 5 customers are picked to distribute funds. Dual Peak cares.
Dual Peak wants to empower the individual investor, improve life for people. Dual Peak, where your money matters, and where lives change.