Many retail investors are coming to the realization that stock picking is a losing game. The folks that lost all or most of their investments during the dot-com bubble of the 190s jumped back into the market thinking it was safe only to take a hit again by the great global financial crisis of 2008-09. …
Italy has one of the world’s largest economies in the world. Though the country has a rich history and cultural heritage, currently it is going through some tough economic times. Despite the current problems, as a developed country Italy is home to many world-class companies. In this post, let us take a quick look at …
Continue reading ‘The Nine Largest Italian Companies By Revenue 2012’ »
Investors can the amplify returns of an investment in a stock by reinvesting dividends.This return known as the Total Return will be substantially higher than the Price Return in the long-term due to the effect of compounding. The difference in returns between the total return and price return will be especially significant for companies with above-average and growing …
Continue reading ‘Total Return vs. Price Return of Two ETFs’ »
Diversification helps reduce risk and volatility of a portfolio. Some investors falsely assume that diversification eliminates risks altogether. This is not true. Diversification only helps to reduces risk but not eliminate it. For example, a well-diversified portfolio of stocks may fall 15% when the market falls 20% or 25%. In a major market crash such …
Continue reading ‘Why Diversification in Stock Holdings is Important’ »
Every year Fortune magazine publishes its famous list of Global 500 companies ranked by Revenue and Profits. The rankings for 2012 are listed below: Energy companies dominate the top 10 spots since they benefit immensely from high oil prices. Oil giant Royal DutchShell (RDS-A, RDS-B) topped the list based on revenues followed by ExxonMobil (XOM). …
Continue reading ‘The Fortune Global 500 Companies List 2012’ »