How Pipeline Infrastructure Creates Value

personal finance

Throughout this year, the political implications of building new pipeline infrastructure throughout North America will have some serious consequences on market movements. Between the Keystone XL pipeline running from Canada across the USA, and the ever growing demand from developing … [Read more...]

Applying Value Analysis to Expenses

personal finance

Having looked at incomes in the last post, I’d like to take this opportunity to dig into the profitability ratios we discussed. Specifically, it’s important to understand how these ratios are impacted by operations, and how it is that an apparent weakness in a given ratio, can … [Read more...]

Inside a Mutual Fund Understanding BPRAX

personal finance

In an effort to help personal investors better understand what kind of risks and opportunities they are exposed to within their portfolio, I’m going to start dedicating an entire post every week to understanding specific mutual funds. In these posts, I’ll summarize all of the … [Read more...]

Investment Risk, and Understanding when to Sell or Hold

personal finance

When we sell a security, we are doing so with the understanding that we can re-invest the proceeds in a way that will maintain our nominal returns. The logic behind this is fairly simple, in that we wouldn’t sell the security if we didn’t feel as though there was a long-term benefit … [Read more...]

Is that Really a Mutual Fund or Just Diluted Equity Position?

personal finance

Having looked through a batch of tech Funds in preparation for an upcoming post, I came across a startling trend for overexposing a fund towards a very specific security. Funds that claim to act as an index of the tech industry have holding more than 14% of their holdings in companies … [Read more...]

Applying Technical Indicators to Value Investment

personal finance

In the last article, I described what momentum investing is, and how it can be broadly applied to a personal investment portfolio. By acting as an indicator of when to buy into an opportunity that has already been established as having a strong value proposition, a momentum indicator … [Read more...]

How Video Game Companies Make Money

personal finance

One of the quietest growth stories over the last few years has come from what is possibly the loudest consumer industry in existence (besides rock and roll I guess). The video game industry has been exploding over the last decade, and investors are starting to see serious returns from … [Read more...]

How a Gold Exit Might Impact Your Real Estate Portfolio

personal finance

When looking at how it is that a gold liquidation would impact a personal investing portfolio, we need to remember how it is that Gold will generally act as a store of value against uncertainty, inflation, and general macroeconomic risk. However, the only real reason why it is that … [Read more...]

Long Call Market Neutral Positioning

personal finance

In the last article, I discussed a simple strategy for hedging out macroeconomic risks in a particularly turbulent market. However, the market neutral equity strategy described has a very serious risk implication on its own. Specifically, a market neutral equity strategy requires a … [Read more...]

‘FTC Negotiates Access to Consumers’ Bank Accounts with Payday Loan Lenders

All states in the US are taking strict actions against payday lenders after receiving numerous complaints from the consumers about these companies over the years. The consumer groups and civil rights activists have pulled in the support of the federal bank regulators i.e. the Federal … [Read more...]

Are You Being Charged Twice at the ATM?

personal finance

We’ve all seen the message before: “An additional service fee of $2 will be charged in order to process this transaction. Do you still want to continue with your withdraw?” It’s annoying, but who cares about a measly $2 when the machine is so convenient! If only that were the case, I … [Read more...]

Part 3 Practical Mutual Funds: Finding Equity Value

personal finance

Over first and second articles discussing how to implement Mutual Funds, we’ve gone into detail about the obvious rewards, and lesser-known risks associated with fund investment. With these valuable tools under control, I’m now going to share with you some professional tips on how to … [Read more...]

Bad Guru Strategies to Make you Millions

personal finance

As of recent, I’ve been reading up pretty heavily on options strategies. That being said, I think I should take a minute to clarify what I mean by that. I’m not going out to options-trading-mastery.info (not a real site), trying to learn some sort of hidden-guru-secret that will make … [Read more...]

The Complexity and Risks of Covered Cap Funds

personal finance

In the final portion of this week’s marathon discussion of the use of options in a personal portfolio, I’m going to describe the risks associated with using covered cap funds in your portfolio to generate yield. Specific to a Covered Cap ETF is the risk of unexpected appreciation. … [Read more...]

2012 Investing Trends: Changing Real Estate Rental Dynamics

personal finance

With the New Year, investors are scurrying to cover their tax losses, and figure out what will be relevant in 2012. Having done the math on a number of option pieces from around the web, I’ve put together a list of my favourite investing trends for 2012. Each day I’ll go into … [Read more...]

How a Gold Exit Might Impact Your Currencies Portfolio

personal finance

One of the most wildly successful asset-based investments for the last few years has been gold. While it’s hard to describe what it is that actually creates value for gold investors, the returns speak for themselves. Investors speak with their dollars, and the price gold has shot … [Read more...]

How Search Engines Make Money & How You Can Too

personal finance

Google has revolutionized the stock market as much as it has the internet. Starting with its application of its legendary real-time auction model to its initial public offering, Google has continued to exceed expectations for its bottom line as an investment opportunity. From it, … [Read more...]

Understanding Market Neutral Positions

personal finance

Volatility can be a tough pill to swallow, especially when it can have such a large daily impact on your personal savings portfolio. However managing volatility as a personal investor can sometimes be overwhelming, in that there are so many confusing strategies available to choose … [Read more...]

Mitigating Equity Dilution as a Value Investor

personal finance

In the last article, I went through a couple of scenarios that could result in an investor’s position being diluted out by further equity issuances by the company itself. While these situations don’t really have a major impact on the value of the investment itself (increasing the … [Read more...]

Inside a Mutual Fund Evaluating BPRAX

personal finance

Now that we understand the basics of this fund which I discussed here (BPRAX), let’s take a moment to understand why it is that we would want to consider it as an investment opportunity. I’m going to discuss this fund under the following assumptions: The near-term inflationary … [Read more...]