stock picking
These Fund Managers Want to Be Like You
stock pickingFor a long time, Warren Buffett specialised in dumpster diving. He would buy small- and microcap stocks that traded at heavy discounts. Then, as a catalyst caused the share price to spike, he sold out for huge gains in a relatively short time. Now it seems droves of fund managers are trying to do the same thing. Let me explain how this will create opportunities for individual investors like you…
China Could Wreak Havoc on Stocks Everywhere
stocks wreak havocIt’s still not clear if China will start selling US bonds. In fact, it could be that China can’t help but buy more US bonds. As an exporting nation China earns hundreds of billions in foreign currency, particularly US dollars. Over time, they’ve piled up trillions in USD. What can they do with all these dollars?
This Figure Could Cause the Next Crash
bonds causing a stock market crashAs US bond prices collapsed, so too did bond prices in most developed countries. The rise in yields not only devastated bond portfolios, it encouraged thousands of investors to jump out of stock and into high yielding bonds. It caused the All Ordinaries (the 500 largest Aussie stocks) to fall more than 22% from its high in 1994. Question is, could we see a similar situation play out in 2018?
Investing in ‘the Market’ is Far Riskier than You Think
investing risks in the marketSomething is risky if there’s a high probability to lose money, right? Investors are told investing in an index or ETF is far safer than the alternative, holding picked stocks. So not only can you make amazing returns, you can also take on far less risk. Dreams do come true... but try telling that to anyone who bought an ETF tracking volatility.
Aurizon Shares Up on Earnings
Aurizon share price riseAurizon is Australia’s largest freight operator, with a focus on commodity transportation. The AU$9 billion logistics company is up almost 4% on open today, after an encouraging half-year report was released highlighting an interim increase in net profit of 52%.