We are in a time of enormous risk. Economic growth is anemic, and political risk to the capital markets is on the rise. In the U.S., a generation of white collar baby-boomers is heading into retirement with insufficient assets in their 401(k) programs, and industrial workers are stuck with materially underfunded pension plans.
Against that backdrop, the investing industry's current set of practices and assumptions--Modern Portfolio Theory (MPT)--is based on a half-century old formula that is supposed to deliver the maximum amount of return for a given amount of risk. The trouble is that it doesn't work very well.
In Getting Back to Business, dividend-investing guru Daniel Peris proposes a radical new approach--radical in that it does away with MPT in favor of a more intuitive, common-sense approach practiced by business people in their own affairs everyday: cash returns on cash investments.
"In a profession utterly lacking a historical sensibility," Peris writes. "One periodically needs to ask why we do things the way we do, how we got here, and whether perhaps there is a better way." Balancing detailed historical evidence with a practitioner's real-world expertise, Peris asks the right questions--and provides a solution that makes sense in today's challenging investing landscape.
If you've picked up this book, you probably recognize the value of fundamental analysis, but aren't sure you can master it. With Getting Started in Fundamental Analysis as your guide, you'll quickly become familiar with the key concepts and learn how to put them into action in the real world.
You'll gain important insights that can help you manage risk and make more informed investment decisions and learn from relevant illustrations, examples, and definitions. Written in a non-technical format that's easy to follow, Getting Started in Fundamental Analysis provides valuable coverage of:
- the audited statement.
- finding financial information online.
- the process of confirmation.
- balance sheet and income statement ratios.
- the P/E ratio and how to use it.
- how the combination of fundamental analysis with technical methods creates a powerful strategy.
More than an introduction to fundamental analysis, this book will help you use analytical tools in identifying risk levels, making valid and reliable comparisons, and picking stocks for your portfolio so you develop a successful and profitable investment program.
Due to the current economic climate, individual investors are starting to take much more time and effort to really understand their investments. They've been investing on their own in record numbers, but many have no idea how to handle the current financial crisis. This accessible guide shows you how to take control of your investment decisions by mastering security analysis.
This fully updated Second Edition of Getting Started in Security Analysis covers everything you need to fully grasp the fundamentals of security analysis. It focuses on the practical mechanics of such vital topics as fundamental analysis, security valuation, portfolio management, real estate analysis, and fixed income analysis.
- Easy-to-follow instructions and case studies put the tools of this trade in perspective and show you how to incorporate them into your portfolio
- Along with dozens of examples, you'll find special quiz sections that test your skills
- Focuses on key security analysis topics such as deciphering financial statements, fixed-income analysis, fundamental analysis, and security valuation
If you want to make better investment decisions, then look no further than the Second Edition of Getting Started in Security Analysis.
He's the swashbuckling world traveler and legendary investor who made his fortune before he was forty. Now the bestselling author of A Bull in China, Hot Commodities, and Adventure Capitalist shares a heartfelt, indispensable guide for his daughters (and all young investors) to find success and happiness. In A Gift to My Children, Jim Rogers offers advice with his trademark candor and confidence, but this time he adds paternal compassion, protectiveness, and love. Rogers reveals how to learn from his triumphs and mistakes in order to achieve a prosperous, well-lived life. For example:- Trust your own judgment: Rogers sensed China's true potential way back in the 1980s, at a time when most analysts were highly skeptical of its prospects for growth.
- Focus on what you like: Rogers was five when he started collecting empty bottles at baseball games instead of playing.
- Be persistent: Coming to Yale from rural Alabama, and in over his head, Rogers never stopped studying and wound up with a scholarship to Oxford.
- See the world: In 1990, Rogers traveled through six continents by motorcycle, gaining a global perspective and learning how to evaluate prospects in rapidly developing countries such as Brazil, Russia, India, and China.
- Nothing is really new: anything deemed "innovative" or "unprecedented" is usually just overhyped, as in the case of the Internet or TV, airplanes, and railroads before it
- And not a bit off the subject, and very important: Boys will need you more than you'll need them Wise and warm, accessible and inspiring, A Gift to My Children is a great gift for all those just starting to invest in their futures.
Power through the ups and downs of the market with the Value Investing Model.
Stock prices fluctuate unpredictably. But company values stay relatively steady. This insight is the basis of value investing, the capital management strategy that performs best over the long term.
With Good Stocks Cheap, you can get started in value investing right now. Longtime outperforming value investor, professor, and international speaker Kenneth Jeffrey Marshall provides step-by-step guidance for creating your own value investing success story. You'll learn how to:
-Master any company with fundamental analysis
-Distinguish between a company's stock price from its worth
-Measure your own investment performance honestly
-Identify the right price at which to buy stock in a winning company
-Hold quality stocks fearlessly during market swings
-Secure the fortitude necessary to make the right choices and take the right actions
Marshall leaves no stone unturned. He covers all the fundamental terms, concepts, and skills that make value investing so effective. He does so in a way that's modern and engaging, making the strategy accessible to any motivated person regardless of education, experience, or profession. His plain explanations and simple examples welcome both investing newcomers and veterans.
Good Stocks Cheap is your way forward because the Value Investing Model turns market gyrations into opportunities. It works in bubbles by showing which companies are likely to excel over time, and in downturns by revealing which of these leading businesses are the most underpriced.
Build a powerful portfolio poised to deliver outstanding outcomes over a lifetime. Put the strength of value investing to work for you with Good Stocks Cheap.
An authoritative global framework for understanding and benchmarking risks related to a company's governance policies and practices
Effective corporate governance has long been viewed as essential for healthy capital markets. Careless and corrupt governance practices, however, have thrust the governance debate from the shadows to the forefront, and corporate governance can now be recognized as a stand-alone risk factor. Many market participants now question whether true self-governance is possible or even realistic in today's era of razor-thin profit margins and bloated executive paychecks.
The Standard & Poor's Handbook of Governance & Risk provides a solid conceptual grounding on the principal themes of governance in today's global corporate arena. Straightforward and authoritative, with compelling insights into today's key micro (internal) and macro (external) corporate governance issues, this all-encompassing book:
- Provides a wide-ranging discussion of methodologies and criteria relating to corporate governance analysis
- Brings together diverse country environments in a common analytical framework
- Seamlessly links up-to-date conceptual and theoretical thinking about governance to practical performance issues
- Explores broader themes of governance--sustainable development, directors and officers insurance, behavioral aspects, and approaches to governance in managed funds and governments.
Highly publicized collapses in governance have replaced calm and complacency with vigilance and even stridence, often obscuring valuable and necessary aspects of governance that are long-overdue for discussion and review. The Standard & Poor's Handbook of Governance & Risk presents a balanced and rational approach to one of today's most emotional topics, and outlines an analytical model for both evaluating the governance practices of individual corporations and protecting yourself or your organization from the effects of incomplete, inaccurate, and potentially misguiding practices.
The United States has a problem - a big problem. Due to costs associated with the massive bailout of financial institutions deemed "too big to fail," on-going armed conflicts, and a move towards socialism, another even bigger bubble is about to burst - the debt bubble. The Great Super Cycle: Profit from the Coming Inflation Tidal Wave and Dollar Devaluation is an intriguing look at the relationship between Washington and Wall Street; the history of political shifts in power and how those shifts influenced the global economy; and, the ways investors can profit as economies move away from U.S. dollar and debt. The book:
- Discusses how a socialist America will result in the U.S. economy becoming far less competitive, while causing funds to move offshore
- Details how investors can profit by investing in gold, oil, and Asian markets
- Explains major cyclical movements from the mega cycle of world power to stock market cycles which last 10-20 years.
As the United States begins to deal with its massive debt bubble, The Great Super Cycle just might prove the most powerful tool an investor has for making money in the turbulent years to come.
In 2006, hedge fund manager John Paulson realized something few others suspected--that the housing market and the value of subprime mortgages were grossly inflated and headed for a major fall. Paulson's background was in mergers and acquisitions, however, and he knew little about real estate or how to wager against housing. He had spent a career as an also-ran on Wall Street. But Paulson was convinced this was his chance to make his mark. He just wasn't sure how to do it. Colleagues at investment banks scoffed at him and investors dismissed him. Even pros skeptical about housing shied away from the complicated derivative investments that Paulson was just learning about. But Paulson and a handful of renegade investors such as Jeffrey Greene and Michael Burry began to bet heavily against risky mortgages and precarious financial companies. Timing is everything, though. Initially, Paulson and the others lost tens of millions of dollars as real estate and stocks continued to soar. Rather than back down, however, Paulson redoubled his bets, putting his hedge fund and his reputation on the line.
In the summer of 2007, the markets began to implode, bringing Paulson early profits, but also sparking efforts to rescue real estate and derail him. By year's end, though, John Paulson had pulled off the greatest trade in financial history, earning more than $15 billion for his firm--a figure that dwarfed George Soros's billion-dollar currency trade in 1992. Paulson made billions more in 2008 by transforming his gutsy move. Some of the underdog investors who attempted the daring trade also reaped fortunes. But others who got the timing wrong met devastating failure, discovering that being early and right wasn't nearly enough.
Written by the prizewinning reporter who broke the story in The Wall Street Journal, The Greatest Trade Ever is a superbly written, fast-paced, behind-the-scenes narrative of how a contrarian foresaw an escalating financial crisis--that outwitted Chuck Prince, Stanley O'Neal, Richard Fuld, and Wall Street's titans--to make financial history.