Boulder, CO (PRWEB) April 17, 2006
aiqresearch.com has just released its updated research into the direction of the stock market for 2006 and beyond available at mepa.aiqresearch.com. In it, they note that the risks now clearly outweigh the rewards and that “the fragility underlying this market makes it ripe for a shock or a serious downward move.”
The report provides startling new insights into why market crashes occur and provides a new viewpoint on the underlying factors that contribute to them.
Looking to the future, the report details numerous factors that are presently weighing on the market which are being widely ignored by the investing public. A must-read for anyone with money in stocks, “Causeless Causation – The Need for Stock Market Caution” reminds readers that “there has not been a single (healthy) 10% correction to this market climb since its inception in ‘03” and that “Seasonally speaking, the stock market has gain a woeful .02% on average, between the end of April and the end of October, going back to 1950.”
Neither overtly bullish or bearish, the provocative article counsels that “all investors must now clearly distinguish between experience and exposure and take appropriate action to insulate themselves against a (possibly significant) market downturn.
Experience looks to the past and considers the probability of future outcomes based on historical occurrence. Investors are happy to remember the huge gains that they enjoyed in each year of the late 90s. To some, this has now become their bellwether, their expectation for the future (and quite possibly their undoing).
Exposure, on the other hand, is a risk assessment of where things might go, and includes the consideration of an event, and its ramifications, that history to date has not revealed. Exposure was what was ignored in early 2000 when everyone was giddy over their market gains. It’s six years later, and the losses that ensued have yet to be recovered.”
aiqresearch.com is a financial research and consulting firm in Boulder, Colorado which utilizes artificial intelligence technologies to assist its banking, mutual fund and high net worth clients in formulating investment strategies. It also offers Market Equity Protection Agreements (MEPAs) to individual investors wanting to protect their portfolios against declines in value while fully participating in any appreciation in the stock market.
Please visit mepa.aiqresearch.com and view this comprehensive report in its entirety.