The Tower Algorithm
Objective And Accurate
The Tower Algorithm has been developed and refined over a number of years and is complex but is based on closing rates; the market facts, cleansed of opinions and emotions. The data is analyzed for trends and strength, and buy and sell signals are generated. Both data and process are completely objective, and so are the results.
The underlying technology
We Empower Investors
The Tower Algorithm is designed for analyzing exchange closing rates. It consists of a detailed set of rules which, based on numerous parameters, analyze markets and individual assets for trend, strength and speed. Part of the analysis is distinguishing between incidental fluctuations in the market and the shifts which indicate trends. This unified, consistent calculation across exchanges makes it possible to make an objective comparison between markets and assets, including those that might be included in an existing portfolio.
The tangible output of these calculations delivered by the system is buy and sell recommendations, and thus also a portfolio recommendation, as well as an analysis for that portfolio against the relevant index. The same output enables the mapping of bull and bear for the entire given market segment. These data and recommendations are implemented into the Funds Services available to our customers.
Freedom of investment
The algorithm does not need to discriminate between the exchanges on which assets are traded, but is able to measure stocks against each other and the market, regardless of where in the world they are traded. This provides a uniqe and groundbreaking opportunity to treat multiple exchanges as if they were one and the same market, and thus to choose the best of the best across exchanges.
The practical outcome of this is that the speed and precision of the Tower Algorithm creates the freedom to have a dynamic allocation of funds between stocks, free of risk profiles and traditional pool distributions between exchanges and international markets. The algorithm points to the stocks to buy and sell across markets, and thus makes it possible to follow the strength wherever it goes.
Following the strength of the market is not a revolutionary idea - but the Tower Algorithm has a decisive advantage over a human analyst: It is never surprised. It contains no assumptions about the individual index or asset, or about companies or customers or markets. It operates exclusively with what actually happens, ignoring what we, as subjective human beings, might think or expect might happen. Thus trends which would catch an analyst off guard are identified without delay, hesitation or inertia.
All in all, the strength is found where it is and followed where it goes. On an everyday basis, and during crises. Without any consideration for risk profiles or other limitations investors are thus enabled to identify exactly which stocks it pays to own at any given time - and to dispose accordingly.
That is what "We Empower Investors" means.
What we deliver
A reliable investment policy, implemented in a selection of products for continual market monitoring.
From Idea To Reality
Inspired by a period full of turmoil at the stock market, the original idea for what is today the Tower Algorithm was devised. Torben Villumsen and Karsten Johansen set out, via a number of increasingly complex calculation models, to translate the idea into an algorithm.
Thomas Saxe joined the team in 2015 to bring the idea to a business, and was responsible for the further innovation and development of the company.
Innovation is what characterizes Funds Tower.