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A better way to invest

Invest intelligently

Formula Stocks offers a better way to invest. We forecast which stocks will go up, before they go up. +90% of the time we have made such an estimate, it has proved a successful long term investment. You simply buy these stocks in your own account.

Investing using these estimates, cumulative returns since 2009 have been +957%* vs. the S&P500's 225%. Our Entry portfolio returned +11.74% in 2017 and +89.71% in 2016. Powered by Artificial Intelligence forecasting, this performance strongly exceeds the 6-7% average returns typically expected from the stock market.

Join us to better your returns, save on fees, and moderate your risk. Sign up for a 30-day free trial without any obligations.

*Past performance is not neccesarily indicative of future results.

90%

entry

59%

Market

Winners in %

What is it?

We offer stock recommendations: What to buy and when to sell.

Intelligent portfolio management is designed to build wealth through a model portfolio that you can easily replicate. We systematically buy low and sell high, combining higher reward with lower risk.

You can also pick better stocks individually via AI investment reports and recommendations. He who has the best information wins.

Every percent matters

Assume that you would like to get an 18% yearly return. After all, who would not? Through the effects of compounding this would be much, much more rewarding than the standard 6% you normally expect from stocks. Example in a tax free account:

$1,000 invested with an 18% yearly return over 30 years.

$143,370

$1,000 invested with a 6% yearly return over 30 years.

$5,743

18% in this example is 25 times better than 6%. Compounding is an exponential function, that makes time work for you.

Certainty of any future rate of return is impossible, since the future has not happened yet. Looking back, our Entry product has produced +24% p.a. since inception in 2009. That amounts to +957.12% over a 9 year period, about 3x as much as the stock market indices in the same period.

First month is on us

If you decide Formula Stocks isn't for you - simply cancel online at any time without obligations.

$49.99 monthly after your free 30 days

Pilot program

Formula Stocks initiated a 3-year pilot program at launch. Performance data was recorded under real-time market conditions, and financial results reviewed by a state-licensed auditor. We recorded a return on equity employed to sustain securities trading of +78.94% in 2009, +44.64% in 2010 and +17.51% in 2011.*

*Past performance is not neccesarily indicative of future results.

Year 1

+78.94%

Year 2

+44.64%

Year 3

+17.51%

How we beat the market

Formula Stocks uses a combination of many specific technologies developed over a 15- year period to do as Mark Twain originally suggested:

”Buy good quality common stocks that go up. If they do not go up, do not buy them”. While Twain said it tongue-in-cheek, it encapsulates Formula Stocks' mission.

We identify stocks that go up, before they go up, with a 88-92% probability of being correct. We do this using novel technology developed in-house, including state of the art artificial intelligence. A few of these concepts are:

  • Artificial Intelligence – our speciality revolves around artificial intelligence in several forms
  • Quantitative business analytics – analyzing business models using big data.
  • Growth projection – in-house methods used to project the future non-linear growth of a business.
  • Margin of safety principles – safety seen as a prerequisite to intelligent investing as pioneered by Benjamin Graham.
  • Valuation technologies – novel methods for calculating the intrinsic value of a business.
  • Intelligent Investment Technologies – approx. 100 different methods for outperforming the market developed in-house
  • AI Score – in-house AI which estimate risk & reward, alpha in a stock.
  • Portfolio management technology – software for optimizing risk/reward characteristics of a portfolio.
  • The scientific method – everything is based on the central method upon which a thesis can be formed, tested, and refined.

Formula Stocks offers leading-edge technology for modern stock selection and portfolio optimization. If you want to know more, please see our brochure.

Risk management

Formula Stocks moderates risk, and we believe it yields a lower degree of risk than passive stock market investments. We prefer situations where the perceived reward is significantly larger than the perceived risk, or we have some form of margin of safety.

One way to measure the risk of using Formula Stocks' Entry product, is to look at its win/loose ratio: +90.82% of all historical investments have been successful. This is highly unusual and compares to 59% elsewhere.

Another way is the so-called Gain-to-Pain Ratio, which measures exactly what the name indicates. It is 1.318 for Entry, which indicates far more gain than pain.

The Sortino Ratio is yet another way to measure risk. It is 3.0169 for Formula Stocks Entry, indicating high reward and low risk.

We can also examine the average gain from a winning stock which is +65.97%, while the average loss from a losing stock is only -18.32%. Add to this that Entry also wins 90.82% of the time and only loses 9.18% of the time. This leads us to a mathematical expectation of (0.91 * 65.97) - (0.09 * 18.32) = +58.38%. Taking an average of 2.2 years we correct for this to get an expected annualized return of +26.54%.