Our Mission: To Protect Your Assets From Loss
December 21, 2018:
On August 28th, our front page read:
“Stocks and bonds are tremendously risky.
For money you can’t afford to lose, sell today.
Bank accounts were designed to protect and conserve your savings.
Call us. We’ll reintroduce you to safety.” – Ray Mullaney
Since our posting, the NASDAQ has declined -21.1% and the Russell 2000 has declined -23.3%.
Our warning was not the result of subjective guessing or hunches; our risk analysis methods are based upon objective, time-tested, formulaic, predictive analytics. Utilizing risk analysis technology of securities and the overall market is the foundation of Capital Preservation Trust.
Call us; allow us to show you how our proprietary risk analysis can protect and grow your capital.
An Honest Explanation of Investment Risks
The charts below will help you understand just how risky and dangerous investing can be. Before we get to the charts, I’ll share some thoughts from 42 years of investment experience. Because the market will rise and fall, a common-sense view of investing would conclude it is best to sell after the market rises and buy after it falls. In general, this is our focus. However, more precisely, we employ financial technology to measure investment risks. The financial technology we employ quantitatively and objectively distinguishes stocks at safer prices from those stocks where the risks of significant decline are greater. We are patient investors. When we cannot find safe stocks, we remain out of the market with some or much of your capital. To keep you safe, we follow our technology, not the crowds or the media.
We will miss some of the potential profit that the speculative wave of rising prices offers. See chart from 1990 – 2000. However, the losses you may sustain from entering the market at the wrong time may be unbearable! See charts from 1966 – 1982; 2000 – 2009; and Oct 2007 – Oct 2012.
Most investment advisors will tell you to buy and hold; that is good for them but not for you. Our proprietary financial technology informs us of what stocks to buy and at what prices. This discipline helps us avoid overpaying for stocks. Our technology is rational, not emotional. When others are selling in fear, our data analysis informs us when it is truly safe to invest and put aside fears. This technology also reliably measures risk, which greatly helps us avoid overpaying for stocks just because everybody else is excited about them.
We caution you; for that portion of your assets that you just cannot stand to lose, Sell Today.
– August 28, 2018
At this time, for your “safe money”, we will invest only in the safest of short-term bonds, with no more than 15% to 20% of that money in the safest stocks we know of.
We will be confident, even enthusiastic, to invest your assets after the market falls. And it will fall; we don’t know when, but we’ll get you out of harm’s way.
Call us to schedule a no-obligation, educational and even enjoyable meeting in person. We’ll discuss your goals and how our methods may be just what you’re looking for.