From the Share Wealth Systems R&D Team
Welcome to a new year of The Gary Stone Journal.
Thankfully for investors, 2011 has gone by the wayside. We can now look forward with a fresh mindset in the hope that 2012 will bear more fruit.
I’m incredibly excited to be sharing this information with you as I believe it to be groundbreaking in the area of active investment. For the better part of 2011, my team and I have worked tirelessly, researching new and cutting edge timing and money management concepts for SPA3, our #1 trading and investment system. In December 2011, the first phase of this research was released to our customers and I am now prepared and ready to share it with anyone and everyone who is eager to learn.
You may ask, “If it ain’t broke why fix it?” This is a valid question to ask, especially of an existing methodology (SPA3) that has an edge, which has been commercially available since 1998 and has outperformed the market over many years.
However, research never ends in the markets. Acquiring a trading system, as is trading, is not a destination, it is an ongoing journey. Trading is best viewed as a never ending iterative process comprising of:
- discovery (markets, method, mind & personal), and
- trade execution,
to generate a continuously rising equity curve with drawdowns within the trader’s risk objectives.
As is the case when undertaking any research project – there are no guarantees. It is an arduous task that can only be measured alongside your initial objectives once out the other side. Thankfully, I am extremely confident that the concepts and rules devised through this process will add tremendous value and have a profound impact on the long term performance of SPA3 portfolios.
As always, this whole process has been a learning journey full of dead ends and beneficial conclusions. Fortunately we were able to come across a number of ‘game changing tools’ that tested our theories in pictures rather than just statistics. I’m not talking about your everyday portfolio equity curve type tools that are available at the retail level; I’m talking about Portfolio Simulation Testing that billion dollar hedge funds use in their modelling. The biggest benefit from this is that you’ll literally see, in a single picture, what effect risk and money management rules have on performance.
The good news is this: if you spend the necessary time reflecting on this material, I’m sure you will find the real answers you’ve been seeking. I’m a big believer that if you’re not going forwards, you are going backwards. Nothing stands still and as such there will always be room for improvement.
The great thing for our customers is that we’ve conducted this research on their behalf and for their benefit. We’ve mechanised the research into SPA3 and given our customers the process in order to follow the improvements. This is all part of the ongoing service we offer when purchasing SPA3.
I am happy to make this information available and I hope you will appreciate the 1000’s of hours of research, blood sweat & tears and financial investment that have been poured into this process.
We have some wonderful material to work through over the coming weeks that I’m sure will change the way you look at investing in the stock market forever.
Let the learning begin tomorrow!