In Search of the Source of All Ratios – Financial Statements
Ratio Analysis is one of the most widely used investment tools all over the globe. With the exception of the hard-core technical analyst types, most investors rely on financial ratios of all kinds to evaluate shares. It is the cornerstone of fundamental analysis. Even the most recent newcomers to share market investing quickly discover the…
Does the P/E Ratio Really Tell You Which Stock To Buy?
The Price to Earnings Ratio for the vast majority of shares in which you might be considering investing is readily available, and for those you cannot find, the vaunted P/E is easy to calculate on your own. All you have to do is get your hands on a copy of the company’s latest annual report….
How To Make Money By Thinking Big Picture
Think of top down investing as a “big picture” strategy. The big picture is the global market and all it encompasses. If you think of the global market as a forest, if it looks green and healthy, you enter the forest looking for the healthiest trees. When you find a grove of healthy trees, you…
Tools for Finding Safer Shares (Part 2) – The Quick Ratio
Something happened a short time ago – January 24th, 2011 – that shines a spotlight on the issue of finding safer shares. Australia’s giant retailer, Woolworths (WOW), lowered its guidance for the first half of 2011. Today’s earnings release cited the following conditions that led to the revised forecast: • Consumer Confidence Levels • Inflation…
How those in the know make money – and lots of it
TheBull talks to industry experts for insights on how they make money – and lots of it. Brendan fits the definition of a diversified investor. He estimates his personal assets of shares, property and part ownership in a transport business to be collectively worth about $2.5 million. Shares in his self-managed super fund include Westpac,…
How To Make Over 8% On Your Portfolio This Year
There’s no such thing as a free lunch in investment, but with low interest rates prevailing across much of the stgeloped world, Australian income investors are at least sitting down to a lunch that is relatively well-stocked. Using the ASX-listed interest-bearing securities market, Australian retail investors can pick up double-digit portfolio yields without taking on…
Are You Investing Or Gambling?
Merriam-Webster dictionary defines gambling as: 1. a: to play a game for money or property b: to bet on an uncertain outcome 2. to stake something on a contingency : take a chance. When trading is looked at, gambling takes on a much more complex dynamic than what is presented in the definition. Many traders…
How to choose investment software
Using a software package to select, track, and manage your investments can be a great help to most investors but with so many software packages available and all sorts of confusing claims from producers, choosing the right investment software can be an extremely difficult decision. Below we outline what investment software can do for you,…
How negative gearing works
There are two ways to build wealth and more particularly a share portfolio. You can either wait until you’re saved a sufficient amount or you can borrow. If you decide to adopt the save and wait option, there’s a risk you could miss the boat if the share market were to rise in the meantime….
Important facts to get right when choosing a stock
A little logic goes a long way in successful stock picking. It’s easy to get caught up in indicators and share prices and to overlook the most important facts to get right when buying any company. Purchasing a share involves taking part-ownership in a business. Think of it like buying a stake in the local…
