Product Description
Here is a chapter fromĀ  The Professional Risk Managers’ Guide to the Energy Market, a comprehensive reference for financial professionals affected by energy prices. Twenty experts from around the world discuss every aspect of energy trading and the risks associated with specific investment vehicles and energy sectors. It explores specific energy risk management tools including coverage of the use of technical analysis in energy markets, creation and transfer of pri… More >>

The Professional Risk Managers’ Guide to the Energy Market, Chapter 12: Risk Management in Energy-Focused Commodity Futures Investing

What was the best investment gain you had on a single stock buy buying and holding for over 2-3 years? (% wise, or net gain even)

Why did you pick it in the first place, and why did it do so well?
Under what conditions would you sell it if at all?
Thanx!
I meant to say…2 or more years….any long term time frame really..thanx
Mine was: MO…in at 32/share…now at 78/share.
I almost did the same with CG…but sold too soon.

With the advent of internet investment newsletters and websites, it has become increasingly difficult to locate objective investment research. Even those who don’t make a habit of reading investment research have no doubt been the recipients of e-mail spam research reports. While many research reports are clearly untrustworthy, others may take a little more skill to dismiss as biased stock advice.

The first sign that something might be wrong with a research report is the lack of an author. If no one is willing to sign his or her name to the stock advice, assume the worst. Reliable and objective analysts are always named in their reports, along with any credentials they may have. Lack of credentials doesn’t necessarily mean that a report is unreliable, but the presence of credentials can be a good sign when everything else seems reliable.

Beyond the author, reliable research reports generally take on a consistent tone. Instead of relying on used car lot sensationalism, they are calm and logical. Investment newsletters and websites that encourage large immediate investments in random unknown companies should not be trusted. Instead, look for standard recommendations like “buy”, “sell”, and “hold”, along with detailed reasoning for the suggestion. Stock advice should demonstrate historical knowledge of the company and show a firm grasp of the overall market and competition.

Along the same lines, most good reports contain reasonable numerical predictions of future performance. While untrustworthy investment newsletters often contain predictions that a stock will double or triple in a short time period, objective reports state assumptions and offer corresponding earnings forecasts. Reports that don’t explore these details are generally not to be trusted.

One of the most heavily researched subjects in investment analysis objectivity is the nature of the relationship between the company and its analysts. While some researchers believe that affiliated analysts have good reasons to overstate values, others suggest that unaffiliated companies have just as much reason to exaggerate. Because certain types of services (like investment banking services) can be very profitable, many researchers believe that unaffiliated companies may provide unrealistically favorable coverage in hopes of earning a corporation’s business in the future.

While it’s impossible to understand the reasoning behind every piece of stock advice, it is possible to determine the relationship between an analyst and the company in question. All reputable research will contain some kind of disclosure about the relationship between the two. If a company stands to gain in any way from the coverage that is provided, it may be necessary to view the report with an especially critical eye.

Because anyone with a computer can create and distribute stock advice, it is especially important for investors to examine research reports carefully before acting. While some investment newsletters can be wonderful and thoughtful sources of investment advice, others can be little more than sensationalistic hearsay, designed to increase share prices or generate higher trading volume for a company. Because the consequences of acting on stock advice are borne only by the investor himself, it’s important to consider the source before you accept it as truth.

  • ISBN13: 9780470270431
  • Condition: NEW
  • Notes: Brand New from Publisher. No Remainder Mark.

Product Description
There is a seasonal bias to the stock market, and by paying attention to the seasonal market tendencies you can gain an edge in the stock market over the long haul. Seasonality offers a practical approach to investing and trading. What better way to learn how to employ seasonal systems than learning from Jay Kaeppel, a master in the analysis of seasonal trends? Kaeppel walks you through this phenomenon that continues to work consistently, providing you with his ulti… More >>

Seasonal Stock Market Trends: The Definitive Guide to Calendar-Based Stock Market Trading

Brazil: A chip in every cow
The giant South American nation is trying to use its large cattle population to create a market for a homegrown semiconductor industry.

Read more on CNET

Huge 75% Commission($26.79) On This Brand New Product Which Teaches A Complete System For How To Generate Massive Passive Income From Property Investing – No Money Down.
Massive Passive Income From Property Investing – No Money Down.

Finance and Banking
In this issue, we discuss the new disclosure document to be introduced in the EEA, called the Key Information Document, and also CESR’s technical advice to the European Commission in relation to the implementing measures.

Read more on Mondaq

Olympus makes strategic investment of $12M in SBi Series E Preferred Stock
Small Bone Innovations, Inc., a leading privately-held orthopedic company focused exclusively on technologies and treatments for the small bones & joints, announced that Olympus Corporation, Tokyo, Japan has made a strategic investment of $12 million in SBi Series E Preferred Stock.

Read more on News-Medical-Net

THE DISTILLERY: Rage turns to reason
One newspaper finally digs up a minerals economist to explain why the ‘resource rent tax’ is, in reality, something else altogether. 14 May 2010 9:31 AM

Read more on Business Spectator