How can I invest in commodities via ETFs?
Question: How can I invest in commodities via ETFs? What are the options and what are the risks involved? Response: Investors can gain exposure to commodities via ETFs in two ways – either via ETFs which track the price of a particular commodity such as gold or through ETFs which track the performance of the…
Why would I buy an ETF rather than a managed fund? What are the advantages of ETFs?
By Drew Corbett, Head of Investment Strategy and Distribution of BetaShares There are some major differences and advantages of ETFs over managed funds which investors should be aware of. The primary differences are summarised in the table below: #FOTO:1012:600# Expanding on these characteristics: Risk Diversification – ETFs usually provide all the diversification benefits of traditional…
16 Mining Services Stocks Leveraged To Mining Boom
Australian mining investment is projected to jump by 50 per cent this year as strong commodity prices encourages mining companies to push ahead with as many projects as they can handle. Mining services companies are set to benefit with full order books and an ongoing pipeline of work. To investors this represents a golden opportunity…
Top 5 Uranium Stocks For Your Portfolio
Australia’s uranium sector is highly speculative, but it offers an opportunity to make relatively fast money for investors willing to heighten their risk/reward appetite. The uranium spot price has risen from $US41.75 a pound in June 2010 to $US71.83 a pound at the end of January 2011, a 72 per cent increase. China and Russia’s…
What is the difference between an exchange traded option and a company option?
There are key differences between Exchange Traded Options (ETOs) and Company Options. An option is either the right to buy (a call option) or the right to sell (a put option) the underlying asset for an agreed price on or before the predetermined date. Company options are call options which may be issued to shareholders…
Who Picked the Top Stocks? Stock Pickers’ Showdown
Twelve months ago we asked four stock pickers to select a portfolio of 10 stocks to hold for one year. At the time the sharemarket was languishing at 3353 points – so with the market awash with value, each stock picker had ample opportunity to find the low-hanging fruit that would help deliver strong returns….
What happens if I hold a put option on a stock that’s suspended from trade?
Question: If I hold a put options contract on a stock that is suspended from trade on the ASX, and is subsequently wound up, do I receive any return? Response: The buyer of a put option has the right to sell the underlying stock at a particular price on or before a specified date. A…
How do I calculate the Average True Range on stocks to set a stop loss position?
Any successful trader will tell you that stop losses are essential to a good trading strategy, but knowing where to place your stop loss is less obvious. Average True Range (ATR) can be an effective way to set stop loss positions and profit targets, and avoids the problem of being stopped out early. What is…
Which is better – range trading or trend trading forex markets?
Many traders come over to the 24-hour and deeply liquid currency market from other asset classes. The reasons for market such a shift are varied; but one thing is the same for those that wade into the new arena: they bring their methods and biases for trading with them. In many ways, the Forex market…
Global trading contest starts today
The GFT trading challenge – a global trading contest for new and existing clients with a $50,000 cash first prize – starts today. And the succesful trader who scores the biggest percentage gain over the coming three months, wins. GFT says that the trading challenge aims to do two things; firstly, bring traders across the globe…
