I love telling people about
IRL software because I am an experienced Individual Investor, I appreciate
great software and I use it every day. Five years ago such tools did not
exist. So forgive me if I get overly enthusiastic.
Several years ago when the Alamo PC Users Group started a Financial
SIG I immediately joined. I did so because I saw that the Internet had
the possibility of changing the way we could buy stocks. Computers became
more powerful, commission rates became reasonable if not cheap, information
that had only been available from brokers and/or libraries became available
online, quotes became available at the touch of the mouse etc. I wanted
to know more!
It was at the SIG that I learned the importance of the Investors
Business Daily (IBD) newspaper, also, I saw what software others used
and I learned about a workshop that was conducted by Ian Woodward. I attended
the workshop and things started to change. My post education had begun!
What has been a winding road eventually brought me to IRL.
Let me begin by telling you what IRL is not. This software is not for
day traders because it only uses end of day data. And it is not a mechanical
It is simple and intuitive to use, but is also very sophisticated and
There are two basic principles in investing in stocks. The most basic
thing to remember is that supply and demand drives it all. The other is
that it is nice to “make more money” but never overlook the principal of
preserving capital. Greed is bad. Taking profits too soon and cutting losses
quickly allows you to stay in the market. That’s about it. IRL helps me
focus on the playing field, the rest is up to me.
There are Value Investors, Growth Investors. Momentum Investors, Investors
who focus on the Fundamentals, Investors who focus on the Technicals, and
Investors who want to do it all. Because there are so many ways to approach
profitable investing, choosing a style that is comfortable is important.
IRL is designed to improve your ability to understand, predict, and confidently
act on market.
IRL is an Investing Group Consortium. It is comprised of Industry Monitors,
Woodward Investments, Quotes Plus and Ron Brown Investments. They have
an agreement to integrate each company’s existing and new products and
services into a comprehensive set of integrated end-to-end investing solutions.
The collaboration is intended to bring strategic solutions to investors
who heretofore needed to piece together the data sources, software tools,
investment methods, ongoing education, and user communication forum needed
to be a profitable investor.
is the leader in software for developing stock portfolio baskets that can
be indexed and ranked among other portfolios, market indexes, and industry
groups. This is the most important segment.
Quotes Plus is a unique
provider of quality investment fundamental and price data for stocks, mutual
funds, and commodities. For a modest monthly fee, users are provided with
a database of all equities (comprising some 9,000+ stocks) on their own
computer. Daily updates keep the database current. Quotes Plus is integrated
into the Industry Monitors program.
Ian Woodward is
one of the most sought after experts on HGS (High
investing. His workshops and newsletters have helped thousands of investors
learn the principles of HGS investing and the ingredients required to,
as he puts it, “Buy rockets and sell rocks!” He has a great
way of communicating whether orally or in writing. I have attended 6 of
his workshops and they are amazing. In addition, he and Ron Brown have
collaborated in leading the discussions in an Investment Forum on High
Growth Stocks. Specifically look at the bulletin board for his messages.
He never quits teaching.
Ron Brown is an individual investor
who shares his experiences in HGS Investing. He has developed sensible
processes using HGS software tools that reduce the time to ferret for profitable
stocks. His CDs provide training tools that simplify the user’s learning
by actually doing the routines he uses to find the nuggets tuned to prevailing
It is this combination that makes IRL so special.
And this is how I use the tools to Make More Money:
Each evening I download the Quotes Plus Data. This adds the end-of-day
data to the 8-10 years of historical data for Stocks, Indexes, Commodities,
and Mutual Funds that I already have in my system. The download includes
Fundamental information from Zack’s and Market Guide for over 9000+ issues
PLUS earnings estimates and analyst recommendations (provided by Zacks’s).
The download takes about two minutes of online time depending on your connection
to the net.
Thereafter this information is automatically input into the Industry
Monitor Software. Each stock is sorted into the appropriate industry group,
then each group is indexed against all other groups. The method of indexing
can be either Price weighted, Market weighted, Equal Dollar weighted or
Average. I prefer to use Equal Dollar weighted. I do nothing; the computer
does it all. That takes about 25 more minutes.
This finished, my work begins. I look at the relative strength, the
velocity, and the acceleration for each 200 Industry Groups plus some 20
Custom Groups that I have created. The result is color coded to help identify
unique patterns. Green is good, it means I am looking at the upper 80th
percentile. This makes it easy to see which industry groups are rotating
in and rotating out. Different Relative Strength formulas are available
to create this sort.
I then select a group that looks interesting and the stocks comprising
that industry group are displayed. Each company can then be similarly ranked
or sorted by various fundamental indicators. In addition Filtering tools
are provided to find only those securities that meet my specific specifications.
For example, I like stocks with greater than an 80 EPS Rank whose volume
that day exceeded their 50 day average volume by at least 35% and in so
doing the closing price increased. IBD readers understand, right? No problem!
That produces a list of prospects I must research. I select a stock,
click an icon and I am looking at a chart with custom indicators available,
plus I see the fundamental data displayed for the specific company including
8 quarters of earnings and revenue, volume, P/E, beta etc, 100 in all displayed
in one screen. Handy huh! Another click of an icon and I am viewing tons
of fundamental data on that company in spreadsheet form plus the same data
for each company in the group. Click and I see the ranking of my company
versus all others for EPS Rank for example or sort by Relative Strength
Rank or maybe the % change of earnings this quarter against the same quarter
last year. Too many to tell in this short article. Seeing is believing!
Want to create an Excel version, two clicks and that’s done!
Does this sound too good to be true? For more information contact
me . Also visit the IRL User Group which meets the first Thursday of
the month. And visit the Websites listed above for prices, ordering information
or more information.