A situation that many investors find themselves in is they purchase shares in a company, and then see the market value of the shares plummet. During hard economic times they may also see the company lose money, operate poorly, or their financial condition deteriorate. They hope that the company will get better, profit, and along [...]
Archive for the ‘HOW TO’ Category
Sell or Hold A Depressed Investment?
Posted in HOW TO, tagged DIY investing, If I sell I will lose money, sell or hold an investment?, Things to consider when selling a down investment, WARREN BUFFETT, What to do with a stock that is losing money? on July 31, 2009 | Leave a Comment »
Index Funds And The DIY Investor Herd
Posted in HOW TO, tagged WARREN BUFFETT, Benjamin Graham, DIY Do It Yourself investor, DIY investing, How to start investing, avoiding the herd mentality, low cost index funds, ETFs, index mutual funds, index linked GICs, couch potato strategy, David Dodd, the myth of index funds, Efficient Market Theory, Burton Malkiel, John Bogle, Should I invest in index funds and ETFs?, What should I invest in?, How do I invest in an index fund? on July 23, 2009 | 4 Comments »
The DIY (Do-It-Yourself) investor crowd has been growing over the years, as average investors saw their portfolios devastated. They experienced enormous investment losses from the two most recent crashes in history (credit crisis / housing bust, and the technology / dot-com bust). The average investors invested mainly in mutual funds, and the average DIY investors [...]
Personal Finance III – Practical Steps
Posted in HOW TO, tagged DIY investing, Getting started with personal finances, How to build wealth, How to start investing, Investing skills, Investor development, Learning to invest, Personal finance, steps to personal finance, The first step to investing on June 25, 2009 | 1 Comment »
This series of personal finance articles take a different perspective than what you would ordinarily find on blog and other sites related to the topic. The first article in this series [Personal Finance I, The Essential First Step To Investing] discussed the importance of personal finance, as the first step to investing. It discussed how [...]
Q&A: Preferred Share Prices, Yields, The Fed Rate
Posted in HOW TO, tagged corporate debt instruments, preferred shares, preferred stock dividends, Standard Charter, wells fargo cumulative preferred on June 22, 2009 | Leave a Comment »
Reader Question: What is behind the price movements of preferred shares. They work like bonds, but why do they seem to move in tandem with the issuing entity? When the Fed raises the rate, bond prices would fall, but what about preferred shares? The yields for preferred shares still seem rather [...]
Personal Finance II, Getting Started
Posted in HOW TO, tagged First step to investing, Getting started with personal finances, Handling debt problems, How to build wealth, How to start investing, Investor motivation, Personal finance, Roadblocks to personal finance on June 4, 2009 | Leave a Comment »
Too often people skip getting their personal finances in order, and jump right into learning about investing. In the last article [Personal Finance, The Essential First Step To Investing] we discussed why it is the necessary prerequisite to investing. We saw how it shared many similarities, and also creates a solid foundation of skills, knowledge, [...]
Personal Finance I, The Essential First Step To Investing
Posted in HOW TO, tagged DIY investing, How to build wealth, How to start investing, Investing skills, Investor development, Learning to invest, Personal finance, The first step to investing on May 29, 2009 | Leave a Comment »
In one of my older articles, How To Start Investing Part I, I listed getting your personal finances in order as the very first step to take in investing. In Part II, I briefly summarized the importance of that step. In this article, I will elaborate in more depth, to explain why personal finances is [...]
Investing In Preferred Shares/Stock And Corporate Debt
Posted in HOW TO, tagged corporate debt instruments, cumulative preferred, Enbridge 5.50% Cumulative Redeemable Preference Shares, George Weston 5.15% Cumulative, Nexen 7.35% Subordinated Notes due 2043, preferred shares, preferred stock dividends, subordinate notes, TD Captial Trust Capital Trust Securities, The Bank of Nova Scotia Non-Cumulative Preferred Shares Series 12, USB Capital XII 6.30% Trust Preferred Securities, Vale Capital Ltd. 5.50% Guaranteed Notes Due 2010, Wells Fargo & Co Enhanced TRUPS 7.875%, wells fargo cumulative preferred on April 24, 2009 | 8 Comments »
In this article I discuss items to consider when purchasing preferred shares/stock or other similar debt instruments of a company. This is a followup to the questions from investors who were considering purchasing preferred shares/stock of Wells Fargo (WFC) and US Bancorp (USB).
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What Are Preferred Shares?
In general, preferred shares are a form of corporate [...]
Bank Valuation VIII
Posted in HOW TO, tagged Value investing, WARREN BUFFETT, Benjamin Graham, Intrinsic value, Wells Fargo & Co (WFC), Evaluating bank stocks, The Intelligent Investor, Margin of safety, Free cash flow (FCF), Discounted Cash Flow (DCF) on December 11, 2008 | Leave a Comment »
We have finally reached the end of the info packed Bank Valuation series. Congratulations to all that have made it, I hope you were able to take away something useful. In this last article I will discuss calculating the intrinsic value of a bank. So far we covered the following::
– Net Interest Margin (NIM)
- [...]
