Our strategy for the management of investments such as 401ks and others involves, first, the selection of "investment grade" companies and, second, a moderate amount of trading. We believe that a moderate amount of trading is preferable to ' buy and hold' or 'dollar cost averaging'. The huge gains in the market during the 90s are not likely to be repeated for the foreseeable future and for this reason strategies such as buy and hold will not lead to a comfortable retirement.
Our method is simple; the Newsletter suggests companies and STT signals when to trade. Our basic premise is that every company, even the best, experiences continual price fluctuations. Some are minor (~10%), but others can be much larger. Tradersweb takes advantage of such fluctuations.
Our long term predictions are designed to select companies which are likely to significantly outperform a safe investment in U.S. Treasuries. Our short term predictions are designed to avoid the larger losses and to take advantage of the larger gains associated with normal price fluctuations. As with any trading system, however, our predictions are not perfect. Thus there will be some inappropriate stock choices and trades, but such errors will tend to average out over time.
An important feature of our service is a measure of risk associated with our recommendations. This provides you with and initial assessment of the probability for a successful investment. (The details of this unique Tradersweb feature are explained in the following links; GIV for the newsletter and VaR for STT)
Finally, we believe that you should be involved in the execution of this strategy. It's your money. On the other hand we know that you are busy managing home and career, or both. Accordingly, Tradersweb has devised an investment service that is easy to use and does not require a large amount of time.