VectorVest (www.VectorVest.com) founded by Dr. Bart DiLiddo is a stock analysis and portfolio management system. The software is capable of sorting, analyzing, and ranking over 15 thousand stocks.
Once the data is collected the software issues buy, hold, or sell signals based on an evaluation of the market alongside a stock's value, safety, and timing. Ideally, as the trader you act on this information to make the best possible decision and consistently trade for a profit.
Based on the variety and depth of information the software estimates the best strategy for the day/week, showing you whether the conditions are bearish or bullish. In addition to the charts and tools provided by VectorVest, investors are invited to free online training classes and presentations in the VectorVest University.
There are also free 4hr training sessions in select cities throughout the year, a five-CD seminar video set, and a course workbook (free with an annual subscription), covering all aspects of the software from beginner to advanced levels. In addition, there are many on and offline support groups for VectorVest users.
109 ‘VectorVest’ Reviews
They sell Hope
VectorVest keeps showing strategies that works great in the past. They find the time period it works best and uses it to fool people in their strategy of the week.
It is like saying if you bought the lottery with the following numbers last week, you would have made 10000% profit.
After using VV for over 10 years, I have not seen better performance compared to buying multiple mutual funds.
If you have the stomach for 40% drawdown, then you can make money on good years with strategies that buys stocks less than $5.
Ratings don't correlate with performance
I subscribed to VectorVest around 1999. I compared their ratings with performance of the stocks, and found no correlation. That is, their buy recommendations performed no better than the average stock, and their sell recommendations performed no worse than the average stock.
Based on my analysis, I decided that there was no value to VV, and cancelled my subscription.
I like it
Using Vectorvest has been very profitable for me so far. Grant in, when the market collapses no one will come out ahead unless you have the courage to play the market to the downside, but if it is going sideways or up, or even taking a minor dip, it has leveraged my profits tremendously.
It is highly configurable and I find that very often, when the sell recommendation is given, it is very often the worst time to sell if other indicators are slightly positive. For the prudent investor however it might be good to get out on their recommendation and get into something else to limit potential losses.
I have found their customer service pretty good for the most part but there is one guy on there that is quite a bore and has the articulation of a Homo habilis, but usually they are quite prompt in answering and are eager to help. VV actually encourages the use of the phone in help service.
Their Live Events are interesting, cost effective, relaxed and informative and I attend them whenever I learn of them coming to my area.
They also have a user group in my area which is small but has some long-term members. They are informative and a great way to network and get ideas.
All that being said there are certain basic trading rules and styles which have to be learned by the school of hard knocks and that can take years to learn which style best suits your emotional makeup. Some people are just not cut out to be traders/investors.
I probably wouldn't use this product unless you have at least $5000 to $25,000 to invest at minimum, but you know I still see some people thinking they can make money on buying 25 shares @ $2.00 each. There is no panacea for simple common sense.
One thing I wish they had more opportunities for providing feedback. You are allowed only 5 suggestions. They really ought to open an email-line for unlimited suggestions. I find that frustrating as the easy to understand program has the odd annoyance.
One feature that it really lacks is the ability to reconcile your portfolio. This isn't unlike other online portfolio managers like Yahoo, but when I try and duplicate my real account I often find myself getting the message "you don't have enough cash in the account for that", probably because it doesn't account for recent unposted dividend payments. If you make a mistake you'll never find it because of this lacking feature. They should allow you to overdraft your portfolio, just like any accounting software. Instead they enforce strict rules that prevents you from doing this and that's a pain too.
Dont give your money to Vectorvest!!!
I'm Glad I can leave a real review so I can warn people not to get sucked into vectorvest's lies. Don't waist years of your time and thousands of dollars like I did to only find out this company is a huge scam. Vectorvest's business model is to come up with back tested strategies to lure people in with promises of large returns by using their system(timing system, buy/sell system, sure fire success system, yellow brick road system, etc) there is a new system every week once the old system completely fails. They modify their data to make people think they can make money my spending $600 a year for their software. I 100% guarantee you will lose money if you follow any advice/system of vectorvest. I waisted 3 years and lost over 25k and trust me I spent hundreds of hours backtesting and using strict rules(vectorvest rules) to buy and sell stocks. I know I got suckered, at least I learned and now hopefully I can save someone else's heard earned money. As tempting as VV's adds sound, PLEASE to fall for their lies.
Shameless hype combined with useful data
First off, you have to acknowledge the obvious: Dr. Bart DiLiddo is something of a huckster. His marketing approach is to hype his product to the skies, make ridiculous claims, cherry-pick his results and lure in the unsuspecting and inexperienced. (Let's face it, this crass approach sells a lot better than spewing out complex analyses and stressing risk factors.)
That said, I'm convinced the information provided can be used profitably so long as you de-emphasize high-risk market timing approaches and instead seek to gain the net difference between a beta-adjusted long portfolio of undervalued stocks and a short portfolio of overvalued stocks. In other words, if you design a classic hedge fund (this strategy is where the term "hedge fund" came from).
You can't just do this fire-and-forget. It takes off-line research to skim out VV misinformation, some daily Excel work, risk management techniques, etc. You won't make a lot of money if you neutralize the market delta but you can in theory make a small but steady return and avoid big losses in all market conditions (except bubbles where wildly overvalued stocks just go higher and higher).