Given the fact that there are 3000+ companies listed on the stock exchange, it isn’t easy to sift through all of them to sort out the good from the bad ones. Before we take the plunge into the investment world, our mind is bombarded with a lot of questions about the company, about its financials, its future, etc.
However, the three most common questions faced by investors are:
- Is it the right company?
- Is it the right price?
- Is it the right time?
An understandable set of questions indeed! But most of us get it wrong on at least one of these questions, fuelling the assumption that stock investing carries with it an inherent risk. In fact, it is very difficult to get all these three right. In fact, you may get the right company at the right price, but it is very difficult to get the time right. Getting the timing right is essential to generate higher returns!
So, is there a way to make this tedious yet important process simpler for you? Can we answer all these questions about a company at just a glance? To solve this problem, MoneyWorks4me has come up with a simple and unique tool – MoneyWorks4me Decision Maker , a powerful tool which effectively answers all the questions you have pre-investing and pulls out all the information on a platter for you!
The Decision Maker answers the above questions in an easy-to-understand format which will help you take an instant decision. All this, without compromising on any elements of quality!
So, how does this tool work?
The MoneyWorks4me Decision Maker helps you take the right investment decision in just three simple steps!
Step #1: Get the Right Company!
In order to ensure good returns and minimize risks, it’s imperative that we invest in fundamentally strong companies. Finding a good company to invest in, is the first step to making a right investment decision. For this, one should look at a company that has performed well over the past ten years. However, past is not a guarantee of future performance. Thus, in addition to past performance, we should also be sure of the company’s future prospects.
The first step in the MoneyWorks4Me Decision Maker helps you do just this by giving an evaluation of the company’s historical performance – through the 10 Year X-ray – as Green (Very Good), Orange (Somewhat Good) or Red (Not Good). It also gives you an assessment of the company’s future through the same colour codes, thus helping one assess whether the future will be as safe/good as the past. This helps you establish whether or not the stock is worth investing and if it is capable of performing over the long term as well.
Thus, one should always look for companies that have an excellent financial track record ‘(i.e. a Green 10 Year X-Ray) and excellent future prospects (Long term Prospects – Green). One can also move to the ‘Orange’ companies if you are willing to take on slightly higher risk.
Step #2: Get the Right Price!
The next step to ensure maximum returns is to invest at a time when the stock is being undervalued by the market. Once you’re assured of the company’s past and future, you now need to assess it on the basis of its valuation – whether it is currently being overvalued or undervalued?
MoneyWorks4me Decision Maker helps you do just this. It gives you an idea of the current market price (CMP) of the stock w.r.t its MRP and DP, through a simple slider. The MRP of the company is the intrinsic worth of the stock, whereas the DP is the price at which you should invest in the stock considering the margin of safety.
Thus, if the CMP is below or close to its discount price, it is undervalued and is now in the buy zone. At the same time, if the CMP is well above its MRP, the stock is in the sell zone! When CMP is between MRP and DP, the stock is in the hold zone.
Step #3: Get the Right Timing!
The last step to making the right decision is to get the timing right! As ace cricketer, Rahul Dravid would testify, timing your move is crucial for success! After all you do not want your stock to fall further, once you have invested it in.
MoneyWorks4me Decision Maker helps you assess this through our easy to understand Timing Chart, that helps you understand whether it is the ‘right time’ to buy the stock.
It generates BUY / SELL / WAIT signals based on MRP, Discount Price and Timing Chart of the stock, so that you can maximise returns and minimise losses. Thus, if the stock’s CMP is well below its MRP or close to DP ‘Buy’ signal is generated. A ‘Wait’ alert is generated when the CMP is between the DP and MRP. When the CMP is well above its MRP, a ‘Strong Sell’ is generated.
In case no such alert is generated and you are being directed to view the timing chart instead, it means a recent trigger has been generated on the stock but is no more valid. You can thus go to the timing chart and view the alerts that have been generated in the past and accordingly take an investment decision.
Thus, MoneyWorks4me Decision maker is a simple tool that will help you answer the three basic questions of getting the right company, at the right price and the right time at just a glance!
So go on. Give the MoneyWorks4Me Decision Maker tool a whirl and take your first step into the world of safe investing!
MoneyWorks4me Decision Maker is a special tool that’s available only to our subscribers. Now you can get unlimited access to the MoneyWorks4me Decision Maker along with an array of features essential for safest stock investing at much affordable price. Check out our plans.