Assets RouteMap: Chart Library

The investment strategies used to analyse asset classes in our Research Universe

All charts use long-established national stock market indexes or the set of regional and global P/T Global Indexes as the basis for analysis. Indexes are all shown on the basis of total returns. See a sample chart for each investing strategy used in the Assets RouteMap, including the complete simulated record of signals, where appropriate. Check out long-term performance simulation for market timing strategies in each asset class.

    Chart Technical Analysis:- Based on the idea that the trend is your friend, this chart generates Buy & Sell signals using technical analysis. Thus signals depend only on price information available at the time. It relies on analysis of rates of change as well as moving averages. This chart is based on the observation that the psychological effect of a shock takes about a year to wear off, and is based on the Coppock Curve, combined with moving average and divergence analysis
    Investment Sentiment: - Nobody gets it always right and nobody gets it always wrong, but there is a tendency for some kinds of investor to out-perform well and others to under-perform. This strategy combines as many such indicators for each market as possible whose track record over the past decade has been proved to be effective. While individual indicators may be erratic, these composite indicators can be excellent predictors of year ahead performance.

 

Key Economic Indicator:- For each asset class an appropriate economic time series has been chosen that best explains performance of the asset class. A "Best Guess" as to the likely future direction is generated by our macro-economic models and attached to the time series so as to indicate the likely future outlook for each style. The most suitable time series will also vary depending on the investment perspective under analysis.

Yield or Earnings Yield:- This chart is intended to show the attractiveness of the each asset class against alternative asset classes competing for the funds of domestic investors. It is designed not only to show the historical range but also to provide a best guess as to the future trend. This is useful for spotting extremes of over- or under-valuation. It does so by calculating ratios of current yield or earnings yield on each type of asset.

 

Real Yield after Inflation:- This chart is intended to show the inflation-adjusted attractiveness of each asset class against alternative asset classes competing for the funds of domestic investors. It is designed not only to show the historical range but also to provide a best guess as to the future trend. This is useful for spotting extremes of over- or under-valuation. It does so by subtracting the rate of inflation from the current yields.

Seasonal Trading Patterns:- This tool is designed to exploit short-term trading patterns, and is intended for traders, arbitrage plays over time and to assist long-term investors in fine-tuning entry and exit points. It uses end-month data to illustrate seasonal trading patterns. The chart shows the cumulative performance through the year, based on short, medium and long-term historical records.

Chronology of Events:- This high magnification chart is designed to study the significance of past events - economic, political, international or market-specific. As this chart is much larger than the screen, scroll bars enable the user to locate any point over the past quarter century to examine market action before and after the chosen event. To enhance magnification,  the financial history is divided into earlier and later periods.

Comparable charts are available for Bonds, Foreign Currencies, Stock Markets and Investing Styles and Sectors

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Next Class

Asset Charts are part of the free international investment seminar. Just follow the classroom signs alongside, either now or come back here later, when you have looked at whichever chart types in this section of the library interest you. At the end of each class, there is a sign to the beginning of the Next Class.