Developing a Trend-Following System
Benefiting from Trading in Trending Markets One of the most famous quotes about stock market investing reportedly came from legendary investor Jesse Livermore – famous as a pioneer of day trading — who said, “the trend is your friend!” Years later what may be a matter of urban legend has it that Martin Zweig –…
Equal Weight Investing Strategies
Using Equal Weight Investing Strategies For investors looking for long term growth in their investments portfolio, diversification is universally lauded as one of the most fundamental approaches to achieving that goal. The idea is to build of portfolio of assets that adhere to the old adage – ‘Don’t put all your eggs in one basket.”…
Upcoming ASX IPOs – Floats to Watch Out For
Newcomers to share market investing during their search for “rules of the road” come across conflicting advice regarding the risk/benefit ratio of investing in companies looking to offer shares to the public. This article will try to illuminate the mystery behind the contradictory views, offering some guidelines for investing in IPOs. What is an IPO?…
Return on Equity (ROE) – Is It the ‘Magic Number’ of Share Picking Tools?
For most share market investors around the world, fundamental analysis is the essential strategy for identifying worthy investment targets. In the long distant past, the process began with investors combing through a company’s financial statements reported to the investing public – the Balance Sheet, the Income Statement, and the Statement of Cash Flows – to…
What’s the difference between top down and bottom up investing?
Top Down and Bottom Up Investing Strategies Newcomers to stock market investing surged during the COVID 19 Pandemic, but the trend preceded COVID and remains in place. Some jumped into markets without much investment analysis, relying on tips from friends and relatives or business news highlighting the hot stock of the day. Others approach investing…
Who is Shemara Wikramanayake? Meet Australia’s Richest CEO
Meet Shemara Wikramanayake – Australia’s Highest Paid CEO It was 2008 before a woman broke through the male-dominated class of CEOs of companies that trade publicly on the ASX when Gail Kelly assumed the title at Westpac Banking Corporation (ASX: WBC). By 2025 Australia has made little progress in the broader market but the Australian…
How to Set Up a Watch List
Newcomers to share market investing quickly learn the need for a plan to guide investing decisions. The critical question facing investors is how to make an investment decision. How does one determine which stocks, or bonds, or commodities to buy? In today’s market environment, many younger investors rely on social media investing groups for ideas…
The Importance of Portfolio Diversity
What is Portfolio Diversity? Portfolio diversity is a risk management strategy where investors spread their investments across different asset classes, industries, and geographic regions so the risk of a downturn in one investment can be offset by better performance in another asset class or geographic region. Investing history has seen repeated collapses in notable industries…
Want Growth and Value Shares? – Try the GARP Investing Strategy
Combining Strategies with Growth at a Reasonable Price (GARP) Investing Newcomers to share market investing quickly learn there are two major categories of stocks around which they can build their trading strategy – Value stocks and Growth stocks. Investing in either category requires an assessment of the fundamentals of the company’s business. This fundamental analysis…
How to Use the Simple Moving Average (SMA) to Trade Australian Stocks
Trading with the Simple Moving Average (SMA) Moving averages are technical analysis indicators designed to smooth out price movements by determining an average price over a period of time. There are two major types of moving averages in use – the simple moving average (SMA) and the exponential moving average (EMA). The EMA is considered…
