Archive for November, 2007

Bonds Are Equally Risky As Stocks

If you are new to investing perhaps you are not familiar with bonds. Before you get started, you need to understand some of the risks associated with bond investing. Most people assume that all interest-bearing securities are completely risk free, but this is not the case. Even if you know a lot about investing, you […]

How To Select Mutual Funds

If you are new to investing, you may have heard of mutual funds but do not know exactly what they are or how to select the right one. A mutual fund is a collective investment security, and there are many different types. It may consist of a mix of several different types […]

Understanding a Balance Sheet

There are three main sources of financial information that a company regularly makes available to investors. These 3 items are the balance sheet, the income statement, and the cash flow analysis. Most neophyte investors have no idea how to interpret these statements. A lot of stockbrokers are not too proficient at it […]

Introduction to Day Trading

Day trading is the practice of buying and then selling a stock all within a single day of market activity. Day traders dabble in a number of different financial instruments, such as stocks, currencies, stock options, and futures contracts such as interest rate futures, equity index futures, and commodities futures.
It is not uncommon for […]

Making Your Own Investment Decisions

Most people have a broker that makes all of their investment decisions for them. They rarely even look at their portfolio to see what it contains, and they review their account statements only once per year, because their goal is for their account to grow in the long run.
However, you should not rely […]

What is Breakup Value?

If you are new to investing, you may have heard of breakup value, but have no idea what it means. Sounds bad, huh? If there is much discussion about the breakup value of a company, it could mean that the company is having problems and is about to be sold off.
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Simply put, the […]

What Is Your Investment Risk Tolerance?

It is extremely important to have investments. Without some money set aside for retirement, you will never be able to enjoy your golden years. Social Security will likely be depleted within the next 30 or 40 years, so you should not be depending upon the U.S. Government to take care of you when […]

What Mergers Mean For Your Investments

From time to time, companies merge with one another. Sometimes, a merger involves a company that you are currently invested in and there are usually rumors of the proposed alliance before it actually takes place. So, the question is, how will this event affect the value of the stock and what should you […]

Strategies For Investing In Mutual Funds

If you are new to investing, you may have heard of mutual funds but do not know exactly what they are or how to select the right one. A mutual fund is a collective investment security, and there are many different types. It may consist of a mix of several different types of investment vehicles, […]

Common Investment Scams

In recent years, there has been a massive proliferation of investment scams circulating the internet. I receive up to 5 emails every day containing these scams. The internet is a fantastic resource for investors, providing real-time stock quotes and access to current research and analysis. However, the lack of regulation in cyberspace […]

Stock Market Basics

Your investments are critical to your financial security. You can not rely upon a pension or federal assistance for an income after your retire. Also, job security is not guaranteed, and unless you want to work until you are 80 years old, you need to need to know something about stocks and financial […]

P/E or PEG, Which is Better?

The two most important numbers that investment analysts look at when evaluating a stock are the P/E ratio and the PEG ratio. The former has been around for as long as the stock market itself, the latter originated more recently. A thorough analysis of these dueling indicators reveals that one is […]