New issues have a reputation for delivering poor investment returns. In this article we filter SharePad for companies that may be more seasoned than they look. In my last article, I filtered SharePad for the firms that had been listed longest on the London Stock Exchange. Statistically speaking, the longer an investment has been listed […]
Category: Technique
The old ones are the good ones
Exciting news: Aston Martin is readying itself to float on the stock market. Investors should think twice though, before buying the shares. Typically, it is the most seasoned firms that make the best investments. This is how you can find them. The Aston Martin story has many of the hallmarks of a big flotation. The […]
Building a base filter
To demonstrate how to filter in SharePad, we’ll build a base filter that filters out the shares we are least likely to be interested in. Our criteria will be personal, but the filtering technique can be applied to almost any investment style. Establishing your sweet spot To exclude shares we don’t want, we must decide […]
The perils of filtering stocks
This is the second article in the series “From ideas to investments” in which I look at the process of finding and evaluating investment ideas. Fishing for stocks using filtering, or stock screening, is a quick way to create a shortlist of shares that are likely to perform well – but only if we buy […]
How the stock market actually works
Today’s article is the first in a new series called ‘From ideas to investments’ which takes an in-depth look at how to generate investment ideas from fundamental data and develop those ideas into profitable investments. We’ll be looking at the benefits and pitfalls of stock screening and subsequent steps in developing a unique style incorporating […]
Avoiding bad shares is just as important as picking good ones
If you’ve been investing in individual shares for a while then you’ve probably gone through the experience of losing some money on one or more of them. It’s a horrible feeling that happens to the best investors. You’d rather it hadn’t happened but the lessons you can learn from it can be invaluable in making […]
First steps to an inheritance tax-exempt portfolio
Investing in AIM-listed shares can help you reduce inheritance tax but you have to be picky. Not all shares qualify, and they must be good investments too. As usual, SharePad can help narrow down the field. What is an IHT-exempt portfolio? People with large estates can reduce the inheritance tax bill when they die by […]
Buying quality on its own is no guarantee of success
There are many different ways to make money from the stock market. Over the last few years, one of the most popular and discussed strategies has been about buying the shares of high quality businesses or quality investing. Warren Buffett has long been a cheerleader for long-term investing in quality companies. In the UK, the […]
A new issue that is already a winner
Looking through the prisms of profitability, debt, cash flow, strategy and valuation, Strix may be an exception to the rule that new issues make bad investments. Finance professor Elroy Dimson and his colleagues made a startling find when they studied the long term returns of UK Initial Public Offerings between 1980 and 2014. The longer […]
AGMs – If in doubt, ask
Most companies will answer questions from shareholders and potential shareholders. At Annual General Meetings shareholders have a right to ask questions and get answers. A large proportion of listed companies report full-year results in late winter and spring because their financial year-ends coincide with the end of the calendar year in December. As surely as […]
