Strategy
Is Market Timing A Good Investment Strategy?
Timing the market is not a good idea for most investors. Following this strategy is especially detrimental to long-term investors. Short-term investors also should avoid this strategy since even shorter time periods timing the market usually leads to lower returns. Investors holding equities for less than five years can be considered as short-term investors. Proponents [...]
Why Invest In Elevator Company Stocks
The elevator industry is highly concentrated with just four companies accounting for two-thirds of the global market. The these companies are: Otis, part of United Technologies of the USA Kone of Finland ThyssenKrupp, part of the conglomerate by the same name of Germany Schindler of Switzerland Some of these firms can be considered as the world’s [...]
Does “Sell in May and go away” Work?
“Sell in May and go away” is one of the popular Wall Street strategies. According to this concept, an investors is better-off selling his or her stock holdings in the month of May and then buying back in late in November. When trading volumes are traditionally low during the hot summer months as traders and fund [...]
Comparing The Equity Market Performance Of Canada And Mexico
Investing in emerging stocks can yield higher returns than developed stocks. As the name implies, companies in emerging countries have plenty of room for growth whereas companies in the developed world mostly operate in a saturated market. Not all developed companies can be successful by moving into emerging markets. In fact, only some of the [...]
A Review Of The Long-Term Benefits of Diversification
Diversification is an important strategy to follow when investing in equity markets. It is especially important for retail investors who can least afford to lose hard-earned money. To be sure even professional money managers who run other people’s money for a living use diversification to reduce risks. For example, many equity mutual fund managers hold [...]
7 Behavioral Bias To Avoid In Investment Management
The Financial Post has published an interesting article today on behavioral biases that investors should avoid. The author David Pett notes the following seven biases: Representativeness Familiarity Overconfidence Anchoring Attachment bias Gambler’s fallacy Herd mentality Source: 7 stock picking behaviours you should avoid, Financial Post An important bias noted in the article: Familiarity is a dangerous inclination that can thwart [...]
