How Following Stock Ratings Blindly Can Cost You Dearly

How Following Stock Ratings Blindly Can Cost You Dearly

Have you ever read any stock analyst’s recommendation reports that ends with stock ratings like this? “This stock has a fair value of $13. With a last done price of $10, we see an upside potential of 30% for this stock. We reiterate a conviction BUY on this stock”. When I was still working as a technical analyst in a stock research firm, I often see my fellow fundamental analyst colleagues publishing stock reports that ended with such favourable stock ratings. Very often, investment calls like these are all that is…

Should You Start Your First Business Full Time Or Part Time?

Should You Start Your First Business Full Time Or Part Time?

Once you’ve decided to become an entrepreneur, the burning question on everyone’s minds is:   How long should I keep my day job? Should I go all in and quit, or should I try part-time first (be it part-time entrepreneur or part-time day job)?   First things first: Finances   How long could your savings last you, if you quit your job today? Do you have personal medical and life insurance? What about any retirement plans? There is a culture around entrepreneurship that assumes you’ll end up bankrupt or ridiculously rich…

5 Investment Biases You Should Know

5 Investment Biases You Should Know

Investing is as much a psychological activity as it is a quantitative one. Human beings are not always rational, why? We are subjected to numerous biases which hamper our decision making, ultimately resulting in subpar decisions and performances. Here are some of the more common ones that every investor should know. Anchoring Anchoring occurs when individuals use an initial piece of information to make subsequent judgements. Once a reference point – or an anchor – is set, other judgements are made by adjusting away from that anchor. For example, shoppers…

Completing a successful transaction: Part 3 International Trade

Completing a successful transaction: Part 3 International Trade

Before you read this article, it is recommended to visit my previous articles so as to understand the logical flow of conducting international trade. (Please click Here to view my previous articles) For this article, I will touch on the payment and transportation aspects of international trade.  In order to complete an export or import transactions, these steps are needed: 1.) Financing 2.) Avoiding risks 3.) Physical distribution 4.) Documentation Financing For the importer, financing offers the ability to pay for the overseas manufacture and shipment of foreign goods destined for…

Enron Case Study: How Technical Analysis Would Have Saved Investors From A Fraud Company

Enron Case Study: How Technical Analysis Would Have Saved Investors From A Fraud Company

The Enron fraud shocked the world when it finally blew up in the year 2001. Many investors suffered huge losses when they dangerously executed the dollar cost averaging strategy in a company that looks absolutely great on the outside but was actually rotting from within. In fact, many of them could have gotten out way before the Enron fraud blew up if they have had knowledge about simple technical analysis. I believe that as a trader and investor, you must learn how to protect your hard earned capital first before…

Negotiating And Planning To Win: Part 2 International Trade

Negotiating And Planning To Win: Part 2 International Trade

Before you read this article, do read my previous articles so as to understand the logical flow in conducting international trade. For this article, I will touch on the planning and negotiating aspects of international trade.  Let’s say that you have a marketable and profitable product or service that will sell in sufficient volume, and you are now ready to commit your resources to the project. But before you do, ensure you do your due diligence to complete the following steps: 1.) Develop a market plan 2.) Prepare for negotiations 3.) Understand the…