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• Finding Stocks with Continuous Improvement (Part 2) - Editor, 5 October 2007 - No Comments yet

Bulwarks against Fluctuations in Values of Stocks

Involved investing is an optimal approach to protecting the value of stocks in your portfolio. It is a sound management policy to ask the right questions in order to foster team development (Ross, 2006). This kind of thinking is followed by top venture capitalists when they maintain close interaction with the entrepreneurs whose ideas they have funded. A retail investor need not be any different. Euphoria when stocks rise sharply, despondency when they crash, and negative questioning (Ross, 2006) of executives and advisors, are common pitfalls which destroy portfolio values. Constructive dialog improves both understanding and performance. It also builds a rational platform on which trading decisions can be made daily, rather than reacting blindly and in panic to macro trends.

• Are Stocks from India Worth Your While? (Part 1) - Editor, 4 October 2007 - No Comments yet

Relative freedoms from bureaucratic and political interference are greater achievements of reform in India than the exceptionally high rates of economic growth (Harriss-White, 2003). The business potential of such a populous democracy, with abundant natural resources, could never have been in doubt, but actual developments left investors perplexed for decades.

• Are Stocks from India Worth Your While? (Part 2) - Editor, 4 October 2007 - No Comments yet

Are Stocks from India Worth Your While? (Part 1)

Fiscal arrangements between the federal (called ‘central’ in India) government, and State administrations, remain matters of contention (Shah, and Thomas, 2003). Stocks of all companies, which have large dealings with government bodies, as well as of entities, which continue to be owned in part by government, tend to show abrupt movements that cannot be explained in rational terms.

• Survival Strategies for Stocks During A Recession (Part 1) - Editor, 3 October 2007 - No Comments yet

Since recession belongs so much to the domain of academic macro-economists, private investors are often in quandary about what to do with their portfolios of stocks. Should we sell and move monies in to gold? Perhaps there is something to be gained from studies of past recessions, and how they were caused (Dow, 1998). It is likely that future recessions of a global world are less cataclysmic than the Great Depression of the last century in the United States. All sectors are unlikely to behave in tandem, and it is probable that some blue-chip stocks will continue to do well though indices prepared in the past, may stand still, if not head south.

• Survival Strategies for Stocks During A Recession (Part 2) - Editor, 3 October 2007 - No Comments yet

Survival Strategies for Stocks During A Recession (Part 1)

As always, there is a catch! Experts study trends and linkages in the economy for 4 decades and over some 8 cycles of bullish and bearish phases, before discerning clear patterns (Ellis, 2005). Investors can shorten this duration for goods and services which they know intimately, but casual observations about new or unfamiliar economic sectors may be entirely misleading. This reinforces the widely-held notion that long term investments in stocks of businesses which one does not know, is always fraught with large risks. Such behavior is not appropriate when a possible recession lurks around the corner.

• Secret Ways of Buying Stocks (Part 1) - Editor, 2 October 2007 - No Comments yet

Rampant discrimination prevails in the fascinating world of investing in stocks. While the laity is persuaded to acquire stocks through precious savings, solely for dividends and appreciation (often notional), financial institutions and powerful individuals are able to seize control of entire organizations (Baker, and Smith, 1998). The situation can be especially galling when a relatively new or unknown entity acquires controlling stocks of an enterprise you have helped start and grow. Acquirers may offer incentives to some groups of employees in attempts to secure operational control of corporations (Baker, and Smith, 1998). Small investors and blue collar workers tend to resign themselves to sudden buyouts of stocks without questioning how funds for such transactions were acquired, but the most amazing financial terms can lurk behind many of these deals (Thornton, 2007). Some transactions may be so highly leveraged that a smart operator may put up no more than 5% of the cash required for acquisition of stocks (Reed, and Lajoux, 1998).

• Secret Ways of Buying Stocks (Part 2) - Editor, 2 October 2007 - No Comments yet

Secret Ways of Buying Stocks (Part 1)

Inequalities and Oddities in Battles for Stocks

Relationships with ambitious and powerful bankers have to be built up over time. It is not as though anyone can walk in to one of their plush offices and expect a pile of cash to buy stocks, without the right introductions and backgrounds. One also needs to develop a sense of timing, understanding cyclical moves between times of capital stringency, and others when financial institutions are hard pressed to find takers for their loans (Mintz, and Schwartz, 1985).

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