Do you subscribe to the greater fool theory of investing? That would be buying a stock at a certain price without knowing about the fundamental or technical attributes, then realizing that it’s going to tank. You promptly sell the stock to someone else believing this person to be the greater fool. It’s all about strategies, […]
WHO’S THE GREATER FOOL? Read More »
The carry trade is all about borrowing short-term in a weak currency and investing long term in a stronger one. The stronger currency will generally be noted by rising interest rates. The funding is short-term where the rates are apt to be lower, and the investing is long term where the rates are out near
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There was a time when millions of office workers throughout the U.S. would commute each workday morning from home to an office building for work. Along came the Covid pandemic which changed everything. To maintain social distancing offices were closed, and office workers worked remotely from workstations at home. As the pandemic winds down, will
THE FUTURE OF THE DOWNTOWN OFFICE BUILDING Read More »
Should investing in the second largest economy in the world seem like a daunting experience to the private investor? A big, growing economy has plenty of good investment opportunities, but there are some pitfalls to watch out for. In March, 2021, equities in mainland China endured a selloff of 15% in two weeks. The state
CAN FOREIGNERS WIN IN CHINESE STOCK MARKETS? Read More »
This is the third and final part to the Art of the Dividend series. In this part we will look at the risks involved with the dividends strategy and what can be done to offset them. This will be followed by a recap of what was discussed in the two previous reports with further points
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In this analysis entry points, exit points, and durations will be discussed as we look at a dividends strategy to supplement the investor’s income. Essentially, a good dividends strategy is similar to a good growth and income strategy, except that income is in the forefront, and duration is managed differently. Growth remains important, but is
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There are thousands of stocks listed on the markets, and many of them pay dividends of various amounts and frequencies. To invest in dividend stocks, the first step is to develop a method of screening through lists of candidate stocks to select the ones that would be fitting for a portfolio. A good on-line broker
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In spite of the pandemic and recession, US consumers will have an impressive stockpile of cash ready to use. What’s surprising is that household savings generally do not increase during a recession. Net household incomes often fall as pay and/or benefits decline and breadwinners are subject to losing their jobs. Savings are then consumed and
THE PANDEMIC’S CASH SURPLUS EFFECT Read More »
Long term government bond prices have been on a slide since the beginning of 2021. As the economy improved and the S&P 500 continued to rise, it seemed logical that money would move away from the safety of bonds into risk assets such as stocks. This has a tendency to point to the ten-year Treasury
WILL THERE BE MORE BOND MARKET SCARES? Read More »
What is a SPAC? That would be a special purpose acquisition company. A SPAC is essentially a fund working to take a firm public via a merger. About 250 SPACS were created in the U.S. in 2020 raising about $83 billion. An average of five per working day are being created this year. A SPAC
HOW SPACS IMPACT FINANCE Read More »