Friday night fire and brimstone
I found the El Oro and Exploration Company’s (ELX) annual report under a rock. Not literally, though it might as well have been for all the interest it seems to have generated in the press. It’s a shame because the chairman’s statement is glorious.
If you dug your bunker five years ago, the spam is rancid, […]
Fooled by swans
CXO Blog finds that rare outlier trading days - the best and worst days in the stockmarket - have:
…A massive impact on long-term stock returns, and attempting to forecast which days is a fool’s errand.
Black swans are rare events of enormous magnitude - major moves in stock market terms - that are difficult to predict. […]
The lessons of subprime turmoil
In the first of four essays exploring the subprime turmoil Professor Stephen Cecchetti, former director of research at the Federal Reserve Bank of New York, says financial crises are not going away.
It’s human nature to push the boundaries of regulation in search of profit - which is why bankers seek to reduce the amount of […]
A hiding to (Con)naught
A cursory look at Connaught (CNT) last week was enough to write it off as a momentum play. Its chart resembles the trajectory of a rocket approaching escape velocity and it’s a fair bet, that it might continue for err… some time.
Not being a momentum investor, I can’t offer an informed view on how long […]
The wisdom of crowds of gurus
Over at CXO Advisory Blog Steve LeCompte is determinedly trying to make sense of market pundits. He finds that on average they are right 49% of the time, which means they are wrong 51% of the time.
As a group, then, they’re useless (my interpretation, not his ). But by weighting their medium-term outlooks so […]
10/10 for Rogue Analyst
I’ve been following Rogue Analyst for a while now. He’s a blogging investor who talks about his own share holdings.
It’s a brave thing to do, honestly. For one thing, no investor has a 100% track-record. For another, there must be a temptation to put a positive gloss on events when they go against you.
Here’s Rogue […]
Never listen to an investor
Evidence, if any were needed, that buying shares in undervalued companies doesn’t protect the investor from losing money in a bear market. Between 1929 and 1932 funds run by Benjamin Graham, the father of value investing, lost 70% of their value:
“We were convinced,” Graham explains, “that all of our long securities were intrinsically worth their […]
UK plc is fit and healthy…
If the annual reports of Connaught, Group NBT, and Associated British Foods are anything to go by UK plc is fit and healthy. But we should reserve judgement.
Continuing my evangelism for the annual report, and the role it can play in discovering good companies I have a few more for you this week, though it’s […]
Car crash companies set for recovery
According to Dr Keith Anderson’s Naked PE ratio, the cheapest six companies listed on the stockmarket include two companies in the auto industry. All six look like they’ve been in a crash.
Every three months I bring you the cheapest six stocks on the market fresh from the spreadsheets of Dr Keith Anderson, a lecturer at […]
Money moves markets
An economist/blogger thinks last week’s dip might be a buying opportunity.
Here’s an irony for you. I found about Money Moves Markets from a press release. Why the irony? Money Moves Markets is a blog, and blogging is supposed to be the subversive new medium that cuts out all the middlemen, notably public relations people and […]
