When market conditions change, be it at a macroeconomic level, sector level or stock level – these changes are priced in immediately into the stock price. Alpha Ratings analyse these changes and are updated at the end of every month, ensuring that the latest ratings are based on the most current market conditions. This frequency allows investors to stay informed about changes in the performance of various instruments and make informed decisions accordingly.
One of the key advantages of the Alpha Ratings system is that it is 100% automated. It relies on rational analysis rather than human biases or emotions such as fear and greed. This automated approach eliminates subjective judgment and ensures that the ratings are objective and consistent.
The system screens the entire market every month to identify outperformers. This means that it evaluates all listed instruments at the same time for the same parameters. This system aims to help investors compare ratings consistently.
Overall, the Alpha Ratings system in US is designed specifically to adapt to changing market conditions and considers various factors that impact a stock’s performance. By providing consistent rankings and ratings based on rational analysis, the system offers valuable insights for long-term investors who are looking for reliable investment opportunities.