Share Pyx - Which Share

The downloaded software opens at the Menu page with buttons reading 'Launch Application' and 'Help Documentation'.

Clicking on 'Launch Application' button takes you to a formulated Microsoft Excel spreadsheet, which is the control centre of the software. This is where you list as many shares as you wish for evaluation by the software. When you become a subscriber, the software will become activated and you can start immediately by entering the details of the TOP TEN shares supplied to you at that time.

The other button is a comprehensive Manual that explains the Share Pyx concept step by step, tells you how to interpret company reports and gives detailed guidance on how to operate the system.

Up-to-date prices of the shares in your list can be obtained from newspapers or various sources on the internet as indicated in the Manual. You may want to update prices of shares that are of special interest to you daily - others less frequently.

The key figures that determine the earnings trajectory (see previous page) can be gleaned from company reports published in the press and on the internet by SENS (Stock Exchange News Service). These reports are normally issued twice a year. Companies are also required to publish trading updates when there is any significant change from earlier forecasts.

Once the above input figures have been entered, the software does all the calculations instantly. It works out the true value, i.e. the fair price, of each share. The computer then compares the actual market price with this fair price to assess the investment merit of each share. The final step is to sort the list in order of investment merit.

Shares near the top of the list will be 'best buys'. Those lower down will be less attractive and may be candidates for switching if you happen to be holding them,

But prices are continually changing. Other things being equal, a higher price makes a share less attractive and vice versa. When you revise prices, the software immediately revalues the shares and the computer will re-sort the list in a new order of merit. When new information about companies comes to light and you amend figures, the rating likewise changes. The system promptly alerts you to the significance of such changes and allows you to take immediate action if necessary.

Deciding when to sell is usually more difficult than buying. (Indeed, professionals, who are happy to recommend what to buy, rarely give advice about what to sell.) When the price of a share rises, you may wonder whether you should act on the adage "No-one lost money by taking a profit"? Or should you follow the one that says: "The trend is your friend" and hold on for a higher price?

The answer is - don't put your faith in sayings, many of which are contradictory. Merit ranking by Share Pyx solves the problem. You simply hold a share as its price rises and its position in your list goes down until it is more profitable to switch to another share with greater merit.

In a Nutshell

The market is subject to unpredictable swings of sentiment and over-reaction to news of the day. It is slow to reach rational conclusions, but fundamental values eventually prevail. Share Pyx calculates these values instantly. So you know in advance the direction prices will move.