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66% of stocks
achieving a four or five star rating turn into a gain within
four weeks (see
table)
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This incredible performance is
possible thanks to our scoring system which enables our clients
to get in and out of a stock at the most favourable time. Every day e-yield
analyses global stock markets and trends using our proprietary
tools such as the BTI, the Top 20 Differential and the Wave
Matrix. We aim to establish a rating for each stock in both the
short and medium term.

The above table shows the right
portfolio exposure. If the market is expected to go down the net
exposure will be between 0% and 100% short. If our indicators
point to a rally the net exposure will be between 0% and 100%
long.

This table shows the percentage
of stocks that are at the end of a move (*), in between (* * and
* * *) and at the start of a move (* * * *). For example if a
stock is about to start a move up the rating will be * * * * up.

From the above information the
Scoring System calculates the probability of a move up or down
in the FTSE 100 based on the probability of a move up or down
for each stock. For example * * * * down, * * * down, * * down
and * up are associated with a move down. In the above example
the FTSE is expected to decline.

Anglo American is down * (close
short), Aviva is up * (close long), Astrazeneca is up * * *
(stay long). The best signals are up * * * * (buy) and down * *
* * (sell).
Example:
Sample of stocks extracted from the system on Friday 10
March


Short term
is within three weeks, medium term is three weeks to three
months.
Forecast:
this tells us that all of the above stocks are expected to
move up in both the short and medium term.
Rating: The stocks with the greatest number of stars have
the highest probability to return the greatest profit. When
a move is imminent, our scoring system catches its turning
point at the most opportune stage. Four and five stars
mean that you are catching the move at the very best time
and this in turn will boost your returns.
For
example, in the above table, the best stocks on that day are
BP, Rio Tinto and Standard Chartered
because they are rated five stars in both the short and
medium term.
Reckitt Benckiser is rated one start up in the short
term which means that it is unlikely to rise by much (the
advance is mature).
Sample of
stocks extracted from the system on Tuesday 14 March


In this table, Vodafone's
rally is coming to an end so in the short term there is
little chance the stock will rise (one star up). In
the medium term however, four stars down means that it is
the right time to go short with a view to taking profits in
a few months.
How to profit from
e-yield's Scoring System
By subscribing to our Model 30
Portfolio you will receive
daily ratings on the stocks in the portfolio.
Model 30 Portfolio
This strategy is directional as the
portfolio is exposed to the direction of the FTSE. The best
trading opportunities are found in the stocks rated * * * *
or * * * * * in the short term. These stocks have a high
probability of moving in the direction of their respective short
term forecast. In addition, you will receive daily portfolio
management information such as: net exposure and level of
gearing. This daily information will enable you to construct the
optimum share portfolio.
| Composition |
50 stocks from FTSE 100 |
| Net Exposure |
Can vary from 100% net long to
100% net short |
| Gross Exposure |
Should not exceed 500% of fund's
value (sum of long and short positions should not be greater
than five times fund's value) |
See a
sample
portfolio constructed from information provided by the Model
30 Portfolio
Manage Your Own Hedge
Fund
When you
subscribe to the Model 30 Portfolio, you become a fund manager
under e-yield's guidance. Each day, we email you with vital
statistics on shares and portfolio structure so that you can
invest in the most efficient way. The Model 30 Portfolio enables
you to manage your own hedge fund, however, in order to succeed
you must interpret the information correctly and adhere to the
recommended investment parameters. We have produced a short user
guide for the Model 30 Portfolio which is a step by step guide
to the entire investment process. It tells you how to interpret
our information for best results.
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