SAN FRANCISCO, June 6, 2013 /PRNewswire/ -- SmartStops.net, an online service that helps investors manage the risk within their investment portfolios, announced today several updates to their service that include improved visibility into an equity's risk state, historical risk-based returns analysis and a new bundled service pricing plan.
Designed to be easy to use and appropriate for investors of all levels, the SmartStops Risk Management Service monitors the stocks and ETFs held in members' portfolios, watching for signs of elevated risk, and alerts investors when these increases are detected. Risk fluctuates over time rather than remaining constant. Why expose yourself to periods of elevated risk if you don't have to?
In the SmartStops system, equities are evaluated as being in one of two risk states at any given time: Normal or Elevated. Should the SmartStops risk monitoring algorithms detect indications of elevated risk, a risk alert is issued and the equity is placed in the elevated risk state, where it remains until strength in the trading pattern is detected and a reentry alert is issued.
"The goal is help investors be more aware of changes in the risk levels experienced by individual positions held in their portfolio and to facilitate protective action. By sidestepping periods of elevated risk, investors can maximize their return for the risk taken on," advised Chris Conway, the company's Director of Products. "Most days you may not need to be watching your stocks. But if one of your positions falls and triggers a risk alert, today is the day to look at that one. Sometimes this turn occurs in positions you least expect. SmartStops issued a risk alert on Apple and placed it in the elevated risk state back on September 26 at $667. This alert allowed our members to take protective action and avoid losses early in this downtrend. SmartStops has since issued 25 follow-up risk alerts as Apple continued its decline." (view Apple)
In the updated user portfolio view, the current risk state for each position is clearly called out for both the Aggressive and Conservative risk signal families. View live sample portfolio here.
Additionally, a trade button has been added, which brings the user to the brokerage site of their choosing as designated in their SmartStops profile. The equity performance comparison section has been updated to highlight the returns achieved for each day that the equity is in the market and exposed to risk. You can view a sample performance comparison for Google here.
To measure the risk level of sectors or markets as a whole, SmartStops provides the Market Risk Barometer, which looks at the ratio of Elevated to Normal risk states of the sector or market components.
The new bundled service pricing makes signing up for the SmartStops service easier than ever. Users can choose a free service level which provides email risk alerts on the SmartStops sample portfolio, or opt to create and receive risk monitoring and alerts on their own custom portfolios. The paid service starts at $14.95 per month with an initial arrangement for a 10-stock portfolio. This package includes daily risk state monitoring, published optimized exit and reentry prices, SmartStops and SmartReentry alerts and BrokerLink integration with participating brokers.
SmartStops.net (www.smartstops.net) provides simple yet effective solutions for investors of all levels who wish to better manage their investment risk. SmartStop risk alert prices are calculated and published each market day for stocks and ETFs. If your equity falls and triggers its SmartStop, you may want to consider taking protective action - it's that easy. For more information visit www.smartstops.net or email SmartStops at [email protected].