SmartStops in Action
Now that you have a better understanding of how SmartStops work, let’s take a look
at SmartStops in action. We’ve chosen three companies to illustrate how long- and
short-term SmartStops can help investors in a variety of situations. Just click
on the company name to see a chart that simulates the way SmartStops would have
performed under various market conditions.
Indiscriminately, like a tsunami, the latest has wiped out some US$15 trillion in asset values,
hitting every asset class, every market, every geography, andevery client segment: 15 years of
capital gains were wiped out in 15 months.
Source: InvestmentThinkTank
The beauty of SmartStops is it intelligently adjusts so that you can ride the uptrend and cut
your losses in a significant downtrend. No stock every goes straight up. You need an adjusting
exit strategy that takes into account the stock's behavior and market macro trends. With
SmartStops you can just turn it on and let it run.
The Dotcom Bubble was a highly speculative period that roughly covered the years
between 1995 and 2001. Its peak is considered to be March 10th, 2000 when the NASDAQ
closed at 5132.52. JDS Uniphase Corp. was an investor favorite during the bubble.
Its shares rose to over $250 in 2000 before falling into the single digits when
the bubble popped.
The subprime mortgage meltdown has inflicted serious casualties on mortgage lenders,
none more spectacular than Countrywide. In the first quarter of 2007, Countrywide
was trading at an all-time high. Since then, it’s been a long, painful slide for
the country’s largest residential mortgage lender.
From its much anticipated initial public offering in April 2004, Google’s share
price seemed destined to rise forever — $200, $300, $400, $500 and peaked in November
’07 at $747. The market eventually “woke up” and Google took a dive.
