The US equity market as measured by S&P 500 is up by just over 2% year-to-date. Compared to this return, most developed European markets in the negative territory with the exception of UK’s FTSE 100 which is up by about 10% since many companies in the index derive most of their revenue from emerging markets which …
Continue reading ‘Blackrock: U.S. Stocks Are Expensive Compared to Foreign Stocks’ »
One of the best time to buy stocks is when markets are volatile. Currently global equity markets are extremely shaky due to uncertainty over the US elections and investors’ fear of the Republican candidate winning the White House. Those who are able to invest new cash in the markets should buy stocks as markets swing …
Continue reading ‘Keep Calm and Buy Stocks When Markets Are Volatile’ »
Income seeking investors should not prefer tech stocks over utilities even though the former may feel like the best. In this post let me discuss some of the reasons for this view. I came across an article titled “Tech vs. Utilities: Which Is a Better Income Strategy?” by Jeremy Schwartz, Director of Research at WisdomTree Funds. …
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US stocks have performed well in the past few years relative to other developed and emerging stocks. Emerging market stocks have been especially poor performers for many years until now. While the S&P 500 is up by about 7% so far this year, emerging markets such as Brazil, Russia have soared by 42% and 30% …
Continue reading ‘Why International Diversification Is Necessary’ »
Defensive stocks such as utilities and consumer staples are in a downward trend since the beginning of second half. These stocks were top performers from the start of the year as investors bid them up seeking yield and stable growth. Utilities and consumer staples are down about 10% and 6% respectively from their peak earlier this …
Continue reading ‘Technology Stocks Do Not Offer Better Value Than Defensive Stocks’ »