The history of diversification

Diversification is a key building block of successful long-term investing and has been called “the only free lunch in finance.”¹ While its origins can be traced back millennia, it has developed dramatically in recent years as markets have grown and new instruments emerged. But now with both equity and bond valuations very high, the diversificationContinue reading “The history of diversification”

Learn from those in the know with automatic copy trading

Lockdown turned record numbers of people into self-directed investors, but copy trading could be the key to investment success. The world’s largest online investment platforms added 11 million customers in 2020, with eToro at the top having added 5 million users, according to Trading Platforms[1]. Giving more individuals the chance to have greater control overContinue reading “Learn from those in the know with automatic copy trading”

Oil Roundup: First half of 2021

At the onset of the Covid-19 pandemic, specifically between February thru April 2020, oil plummeted to less than $20 per barrel. The black gold, which had been trading above $60 just two months prior, was now feeling the brunt of the lockdowns imposed throughout the world. With air travel significantly reduced, cars being used less,Continue reading “Oil Roundup: First half of 2021”

French National Day: from the Revolution to autonomy

This Wednesday, 14th July, is the National Day of France. This is a very important date in the history of the country, as it was on 14 July 1789 that the fortress of the Bastille was stormed by the people, marking the end of the hegemony of the French monarchy and the start of theContinue reading “French National Day: from the Revolution to autonomy”

Top stocks for Q3 2021

The second quarter of 2021 has generally been a very good period for stock market investors with major indexes such as the S&P 500, the STOXX Europe 600, and the FTSE 100 delivering solid gains. While some areas of the market, such as high-growth technology stocks, have underperformed on the back of inflation concerns, stocks in cyclical sectors such asContinue reading “Top stocks for Q3 2021”

US Independence Day, 2021: the American economy still leads the world

On July 4th, the United States will celebrate its 245th Independence Day. Despite being the strongest economy in the world, the US has gone through economic slumps from time to time. However, it has remained resilient, and a manifestation of that is that the dollar remains the world’s preferred currency. From meagre beginnings to economicContinue reading “US Independence Day, 2021: the American economy still leads the world”

How higher inflation relates to diversification

The importance of diversifying your portfolio cannot be emphasised enough. Diversification is a risk management strategy in which you invest in a variety of different financial assets, and which, in the event of significant market volatility, may reduce your chances of incurring major losses. The importance of diversification can be illustrated in the high inflation period happeningContinue reading “How higher inflation relates to diversification”

What you need to know about investing in value ETFs

ETF is the acronym for Exchange Traded Fund. To put it simply, it’s a fund that is traded on an exchange.  The fund can be composed of stocks, bonds, commodities or anything else aggregated into one basket of securities. The fund can be a variety of stocks crossing many fields, it can be based onContinue reading “What you need to know about investing in value ETFs”

Risk Reward Ratio

A major topic when investing is your own expectations and in this context, the question, “what am I willing to invest and risk for this expectation?” One of the indicators that can be used here is the so-called risk/reward ratio (CRV). Contrary to what you might believe, CRV has nothing to do with the probabilityContinue reading “Risk Reward Ratio”

Inflation: The cash-eating parasite we forget about

Let’s begin with the complex reality of investing and money: the latter doesn’t grow on trees and everybody wants a piece of yours. There are parties (or parasites) that chip away at your hard-earned cash: some brokers charging ridiculous fees, fund managers doing the same, or the government collecting taxes. However, there is one “charge”Continue reading “Inflation: The cash-eating parasite we forget about”

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