Fundamentals

Economics and the brain: how people really make decisions in turbulent times

By Paul Harrison, Deakin University In a 2008 paper on neuroeconomics, Carnegie Mellon University economist George Loewenstein said: “Whereas psychologists tend to view humans as fallible and sometime even self-destructive, economists tend to view people as efficient maximisers of self-interest who make mistakes only when imperfectly informed about the consequences of their actions.” This view…

Do I get dividends from CFDs? And how does the process work?

Question:  Do I get dividends from CFDs? And how does the process work? Answer:  Thomas Roberts, Financial Writer, IG Markets One of the attractive things about CFD share trading is that, by holding a CFD, you are eligible for many of the benefits that you would receive if you held the shares outright through a…

Is your strategy failsafe? Guide to analysing stocks

Academics and researchers have spent considerable time searching for the secret to making it rich on the sharemarket. The trouble for investors is that – when every supposed ‘expert’ yells from the rooftops proclaiming the secret to successful stock investing – it’s almost impossible to separate the researched theory from the pure sales pitch. For…

The most profitable stocks in Australia

When you screen for stocks it’s natural to gravitate to using metrics like the price to earnings ratio, the price to book ratio, debt levels and net income. Those are all important metrics to consider, but you’re forgetting about one of the most important ratios of all – return on equity, or ROE. ROE can…

3 Financial Stocks For Value Investors

Considering what has happened to financial markets since the Great Financial Crisis, it is no wonder many investors hang up the phone when their advisors begin talking about possible value plays in the investment and financial services group. With a constant barrage of worry over Tier 1 capital ratios, Basel II ratios, sovereign debt exposure,…

Are BHP and Rio Tinto Still Bottom Draw Stocks?

At mid-point in 2011, world markets were confronted with a seemingly never ending series of potentially cataclysmic events looming in the future.  The China story over a hard landing of economic collapse versus the soft landing of an economic slowdown bounced back and forth like a tennis ball.  The United States had its credit rating…

Top Ten Gold Miners – Is Now the Time to Buy, Sell, or to Wait?

Gold has defied the naysayers predicting a bubble to burst and continued an upward trend with corrections along the way.  The price of gold has risen 27.7% year over year, benefiting many gold miners.  Here is a table of Australia’s top ten gold miners by market cap with their current share price and year over…

High Dividend Yield Gets Broker’s Vote

In last week’s 18 Share Tips feature on TheBull, Morningstar analyst James Cooper shared his reasoning for a Buy Recommendation on shares of Platinum Asset Management (PTM).  Here is what Cooper had to say: •    Performance in full year 2011 was poor. This was due to the company’s main portfolios having large exposures to defensive…

Be Wary Of This Mining Services Stock

In last week’s Broker Buys for the Week feature on TheBull we saw Australian mining services and chemicals provider Orica Limited (ORI) make the list, courtesy of financial analysts at Macquarie Brokerage. Analyst coverage data provided by Reuters shows that most analysts agree with the brokers at Macquarie.  Five analysts have a Strong Buy Recommendation…

Is This Stock The Bargain Of The Century? Or Not?

At the close of trading on Friday 09 September shares of the world’s largest hearing implant manufacturer Cochlear sat at a lofty $72 and change.  The volume for the day was 153 thousand shares. On Monday 12 September the company announced a voluntary recall of its flagship product and the shares closed the day at…