LIG Capital Management offers investment portfolio management for equity/ETF portfolios. LIG's system for management incorporates five primary elements that begin with daily investment database screening for positive attributes based on :
- Technical criteria such as relative strength
- Past price chart pattern
- Fundamental attributes such as earnings and sales.
From there a screened watchlist is formed that targets daily price movement and potential entry point. Once a candidate has been identified for investment with entry point and stop loss identified, the position amount is determined based on a preset risk per trade basis. After a position is taken, our proprietary trailing stop follows the position. If the trade performs as expected the trailing stop automatically moves upward and signals when the position should be removed as dictated by the positions price action.
As much as every portfolio manager would like, not all trades result in a positive outcome. There will be losses. Having protective stop losses in place before a trade is taken keeps losses manageable and does not tie up capital in losing positions.
The ETF program follows the same system as the stock program with the exception of earnings and sales. Here we are focusing only on price trend.
In summary, the system that we follow is to:
- Trade with the market trend
- Manage risk
- Ride winners
- Stick with the system
As simple as wash, rinse, repeat.