...ABC’s Stock Trading Seminar Guest Speaker: Antonio Paolo Jimenez Why People Invest In Stocks? Why people invest in stocks? A very good question from the people who don’t know what matter it is? Stocks can appreciate in price, creating capital gains, or an increase in the value of your asset, which grow your wealth. Stocks have offered the most potential for growth, you can ride out the ups and downs of stocks and you don’t need to invest all your money in stocks. People invest in stocks for a variety of reasons, investing in stock market would be a good decision for people who want to gain money, people could earn money in easier way trough investment of stocks. Most of us burn the midnight oil or simply says we overworked. To live is to work and also to earn. In the very first place, young employed, business men or entrepreneurs, ordinary people save for retirement when get old, something that’s years away but probably it must not be the first priority. But it does not mean it is alright to wait for the right time to save money. In real situation, the best way to grow money over a long period of time is by investing in stocks and stock mutual funds. Investing money is a decision that made you confuse before you decide to invest. When it talks ...
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...Investing in the Philippine Stock Market: Worth it! A Term Paper Presented to Ms. Auracel Laplana-Alejandro Humanities Division Ateneo de Davao University In Partial Fulfillment of the Requirements for the subject ENGL 23 – Writing Across the Disciplines Second Semester, SY 2014-2015 By Ronsard-Novem N. Timan Adlin Joey Almencion February 20, 2015 Investing in the Philippine Stock Market: Worth it! By: Ronsard-Novem N. Timan Adlin Joey Almencion Thesis Statement: This paper aims to discuss that although Investing in Stock Market is volatile, risky, and the maintenance is costly, it is a secondary of income, Highly Profitable and has a Long Term Benefits. Outline: 1.0 Introduction 2.0 Background 2.1 Stock 2.1.1 Types of Stocks 2.2 Stock Market 2.2.1 Purpose and Function of Stock Market 2.3 Philippine Stock Market 2.3.1 Brief History of the Philippine Stock Exchange 2.4 Income Bracket for Investment 2.5 Attitude of Filipinos on Investments 3.0 Advantages of Investing in Stock Market 3.1 Earn more Money 3.2 Long Term Growth Benefits 3.3 Highly Profitable 4.0 Disadvantages of Investing in Stock Market 4.2 Risky 4.3 Costly Maintenance 5.0 Refutation 6.0 Conclusion Investment can be considered as a Capital for each company to start their operations. Investment is not only limited to companies, but also for individuals. It is designed to be a source of income for those who have no interest in...
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...Non U.S. Equities The stocks we are investing 19 percent of our money in are JBJAX and EMGCX. The reason for us investing in these two stocks are the positions they hold in the Morningstar JBJAX has a 3 out of 5 rating and EMGCX has a 5 out of 5 rating. So by looking at these stocks we are in a good position to come out of it in a positive way. To further break down where we will be investing the 19 percent of the $1,900 and why, 15 percent or 1,500 will be going into JBJAX just for the simple fact in each investment category Morgan Stanley is in the top 50 percentile. Then 4 percent or 400 we will be investing in EMGCX. But investing in these two stocks we don't want to put all our money in one basket like Morgan Stanley and added a percentage of the 1,900 to Evergreen Emerging Markets and with the growth being made in other countries we did not feel we should have all our money in US stock. JBJAX has a NAV (net asset value) of $9.37 per share and EMGCX NAV is $16.25 per share. Just by looking at The NAV of these two stocks it seem like pretty good stock to invest money into with the return percentages being among the best. EMGCX has an above average 3 year Morningstar rating with below average risk, so that shows in the short term the return vs. risk rate is very high and the 5 year Morningstar return rating is high with the risk being low so that shows some of the stability of EMGCX stock. EMGCX as of November of 2009 had a 66.10% total return percentage. JBJAX as of November...
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... Angela Nichole ********************************************************************************************************** 1. FUNDAMENTALS & STOCKS ********************************************************************************************************** 2. Investing Fundamentals First Budget: Investing in Stocks: ********************************************************************************************************** 3. The Garners' take-home pay is over $4,500 a month. Yet, after all expenses are paid, there is only a $220 surplus each month. Based on the information presented in this case, what expenses, if any, seem out of line and could be reduced to increase the surplus...
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...essentially a beginner’s guide to investing. Author Joel Greenblatt begins the book by breaking down the stock market into the most basic form. His goal was to explain it in a way that could be understood and followed by all five of his children, ages 6 to 15. He begins by using an example of a sixth grade boy named Jason selling sticks of gum for 25 cents apiece. If each pack of gum has five pieces, Jason will be making $1.25 per pack. If Jason only paid 25 cents per pack, he will be making a profit of $1 per pack! Greenblatt takes this even further and estimates that if Jason sells 4 packs every school day (Monday through Friday), Jason will be making $20 a week. After doing further calculations, Greenblatt and his son figure out how much Jason could make if he sold 4 packs of gum every day until he graduated the 12th grade. By using this information, Greenblatt puts a value on Jason’s business and asks the reader how much they would pay for Jason’s business. He uses the idea of Jason’s business throughout the rest of the book. Every new concept that Greenblatt introduces, he comes back to Jason’s business and gives an example of how that concept could relate to Jason’s business. This gives the reader an easy understanding of how the different concepts that Greenblatt discusses affect certain businesses. Throughout the book, Joel Greenblatt discusses a “magic formula” to determine which stocks to invest in that will help you beat the stock market. He gives hard evidence...
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...View online | Add Investopedia to safe senders list May 27, 2013 Dictionary Investing Markets Personal Finance Active Trading Forex Professionals Tutorials Bag Holder An informal investment term used to describe an investor who holds a position in a stock which decreases in value until it is worthless. Typically, the bag holder will hold the position for an extended period of time in which most of the investment is lost. Investopedia Says: ymbolically, the investor is left holding a bag full of worthless material, representing worthless stock. The bag holder... Learn More Share: A Look At Exit Strategies Traders need to understand what exits are available to them and know how to create an exit strategy that will help minimize... Share: Tips For When To Buy, Sell Or Hold In this article, we'll point to key information that will help you make good decisions under pressure... Share: Top 4 Most Scandalous Insider Trading Debacles In this article, we will look at some landmark incidents of insider trading... Share: The Art Of Selling A Losing Position Let's take a look at why selling is important and then talk about a selling strategy that works for any type of investor.... Share: To Sell Or Not To Sell In this article...
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...------------------------------------------------- What are stocks? Stocks are shares of ownership in a corporation. The stock market is a place where stocks are bought and sold. The Philippine Stock Exchange (PSE) is the corporation that governs our local stock market. People buy or invest in stocks to benefit from a company's tremendous value potential over time. Once you buy or invest into a stock you now become part owner or a shareholder of that particular corporation. Download the latest PSE Information Primer ›› ------------------------------------------------- How to make money in stocks? As a Shareholder, you can now participate in the company's growth and success through stock Price Appreciation and by earnings Dividends. Capital or price appreciation is an increase in the market price of your stock over time brought about by an increase in its potential value and the demand to buy its shares. The faster a company can grow, the faster its price can appreciate. Profitable corporations can also issue dividends, whether in cash or in additional shares of stock as a means for shareholders to share in their distributed profits. Top ›› ------------------------------------------------- Why Invest in the Stock Market? History has proven that investing in quality stocks can provide greater returns than most investment instruments. This offers you the best chance in achieving your financial goals and gives you the ability to later enjoy the benefits of your...
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...Cash Flow Statement Basics Χ The statement shows cash flow from operations, from investing, and from financing. The total of operating, investing, and financing cash flows equals the change in cash, through an algebraic identity. Χ Cash flow from operations is cash collected from the sales of goods and services and from investments (e.g., interest and dividends), less cash spent for operating expenses. These include cash paid to suppliers, employees, interest, tax, and other miscellaneous operating expenses. The term operating cash flow is a net concept. Χ Cash flow from investing is cash spend on investments such as marketable securities, investments, PP&E, land, and patents, less cash received from the sales of these types of investments. The term investing cash flow is a net concept. In most cases, investing cash flow is negative. Χ Cash flow from financing is cash generated from the issuance of debt and the sale of stock, less cash spent for dividends, debt repayment, and the purchase of stock. Again, the term financing cash flow is a net concept. Χ In a sense, the objective of any business is to generate negative cash flows from financing, which represents the payback for equity and debt financiers. Any investment made in the company is done with the expectation that one day, the firm will be able to internally support substantial amounts of negative financing cash flows. Χ Non-cash transactions do not affect the cash flow statement. For example, if...
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...Stock Investing FOR DUMmIES 2ND by Paul Mladjenovic ‰ EDITION Stock Investing FOR DUMmIES 2ND ‰ EDITION Stock Investing FOR DUMmIES 2ND by Paul Mladjenovic ‰ EDITION Stock Investing For Dummies® 2nd Edition , Published by Wiley Publishing, Inc. 111 River St. Hoboken, NJ 07030-5774 www.wiley.com Copyright © 2006 by Wiley Publishing, Inc., Indianapolis, Indiana Published simultaneously in Canada No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Sections 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400, fax 978-646-8600. Requests to the Publisher for permission should be addressed to the Legal Department, Wiley Publishing, Inc., 10475 Crosspoint Blvd., Indianapolis, IN 46256, 317-572-3447, fax 317-572-4355, or online at http://www.wiley.com/go/permissions. Trademarks: Wiley, the Wiley Publishing logo, For Dummies, the Dummies Man logo, A Reference for the Rest of Us!, The Dummies Way, Dummies Daily, The Fun and Easy Way, Dummies.com and related trade dress are trademarks or registered trademarks of John Wiley & Sons, Inc. and/or its affiliates in the...
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...Value investing is the strategy of purchasing an asset which is trading at a significant discount from its determined intrinsic value. It has long been regarded as a low risk method of providing outstanding investment returns (Klarman 2001). The investment strategy was described by Benjamin Graham and David Dodd in their book, Security Analysis (1940, p. 724). Over subsequent decades the investment approach has evolved utilizing varying fundamental methodologies but always maintaining the principle of investing when a discount to intrinsic value exists. Graham and Dodd (1940, p. 368) referred to this principle as the 'margin of safety'. This essay will explore the various methodologies, expand on the 'margin of safety' concept and discover the factors that have led to the success of the exponents of value investing. Bierig’s (2000) assessment of the Graham and Dodd approach indicated that a value investor doesn’t just follow share market fads but instead ‘searches for stocks selling for less than their intrinsic value’ and after purchasing, waits for market recognition that corrects this discrepancy. Athanassakos (2011b) has illustrated that a search for undervalued stocks is the initial process undertaken. He maintains that these stocks tend to be ‘avoided by large institutional investors’ and are not the ‘glamour stocks everyone wants to own’. Graham (1973, p. 211) describes two methods of searching for fundamentally undervalued stocks; companies selling at a low price to...
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...Project Number: DZT0517 Stock Market Trading An Interactive Qualifying Project Report Submitted to the faculty of the Worcester Polytechnic Institute in partial fulfillment of the requirements for the Degree of Bachelor of Science by ___________________________________________ Meng-Yu Ni Date: August 2006 Approved by: __________________________ Professor Dalin Tang Project Advisor 1 Abstract Using the information from the internet and published books, a general understanding about stock market and trading strategies was obtained. The knowledge and trading strategies were applied in the market in a stock market simulation to get real-time trading experience. Experiences learned from using trading methods in this simulation will help me to become a better investor in the future. 2 Acknowledgement First, I want to thank my parents who gave me the opportunity to study at Worcester Polytechnic Institute in USA. Second, I would like to thank my advisor, Dalin Tang, who gave me advices, and help me during this whole project time. Thirdly, I want to thank Worcester Polytechnic Institute for giving me opportunity to do this project, which made me to learn more things from outside of classes by myself. Finally, I would like to thank all the people who gave me some help when I needed it. 3 Table of contents Abstract ........................................................................................................................... 2 Acknowledgement...
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...1 * Which stocks did you invest in during this period? 1. Apple 2. Intel 3. Microsoft 4. International Business Machines 5. General Motors 6. Go Pro 7. AT&T INC. 8. Skyworks solutions 9. Cognizant Technology Solutions 10. CVS Caremark Corporation 11. Merck 12. Home Depot 13. Whirlpool Corporation 14. Vertex Pharmaceuticals Incorporated 15. Tata Motors 16. TreeHouse Foods 17. Amira Nature Foods 18. SAP AG 19. Infosys Sponsored American Deposit Receipt 20. Qualcomm Incorporated. * What are the weights you allocated to each stock and why? In my stategy, I said that I am going to divide my total money into 4 part, 125,000 each. One for technology stock, one for consumer stocks, one using the value investing strategy and lastly, one for investing in bond. Since the beginning of the trading period I haven’t invested in any Bonds yet because I’m still trying to figure out which one to invest in. So far my weights for ever sector is as follows: Technology stocks (0.5937), Consumer Stocks (0.0217), Value Investing strategy (0.5096). I also calculated the individual weights for every stock against the total. The weights are as follows: Apple – 0.001920. I only bought 10 shares of AAPL because, even though the stock has been doing really good in the market, I’m still quite hesitant about it and I feel like it’s a risky stock giving the fact...
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...Growth Stocks vs. Value Stocks Thomas Anderton MBA 570 Professor Scott Growth stocks generally come from companies of high quality and who are considered successful. Investors expect the earnings of these companies to keep growing above the market average. If an investor were to analyze the companies with growth stock they would notice that these stocks have high price to earnings ratios and high price to book ratios. The price to earnings ratio shows the market price per share divided by the earnings. In order to have a high ratio generally the market price per share is high. Value stocks are the exact opposite of growth stock in terms of their price per earnings ratio and their price to book ratio, which means they generally have low ratios. These companies are generally expected by investors to increase in value when the rest of the market recognizes their potential. According to Bryan Rich of Forbes, “Value stocks are stocks with the lowest P/E, price to book, price to sales and price to cash flow. Other twists on value investing are simply looking at the lowest priced stocks in a major index or stocks with the highest dividend yield in a major index” (Rich, 2016). To some investors, growth stocks may seem to be expensive and at times overhauled, which could cause them to invest in value stocks. Investors may chase value stock because they don’t have as much money to invest as other investors who choose growth stocks. Some investors may choose to invest in growth...
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... | | | | |PART I | | | | | | |I |BASIC |4 - 7 | |II |STOCKS |8 - 11 | |IIII |INVESTORS |12 - 14 | |IV |INVESTING |15 - 21 | | | |...
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...Iris Goode-Middleton MBA 570 Growth Stock and Value Stocks March 21, 2015 Purchasing stock makes investors part owners in the corporation. The stock purchased is an equity investment in the company. This makes the owner of the stock entitled to returns on their investment. When making stock investment decisions, there are two main stock types to consider investing in called value stocks and growth stocks. The goal of both stock types is to gain the best returns possible. However, they differ in characteristics. Value stock is defined as, a stock that tends to trade at a lower price relative to its fundamentals and thus considered undervalued by a value investor. Common characteristics of such stock include a high dividend yield, low price-to-book ratio and/or low price to earnings ratio (Investopedia, 2015, para. 1). Value stock investors are looking for stocks that are not reflecting their fundamental worth. The reasons for the stock being undervalued can be many. A company’s stock can be undervalue because it is experiences difficulties, its industry can be in decline or it can have a period of poor quarterly earnings. These are a few of the reasons why the stock can be undervalued. In general, value funds focus on perceived safety rather than growth, often investing in mature companies that are primarily using their earnings to pay dividends. As a result, value funds tend to produce more current income than growth funds...
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