2014 has seen a rush of companies looking to float on the London Stock Exchange. But while many recent initial public offers (IPOs) in London have looked overvalued, the flotation of luxury shoemaker Jimmy Choo (CHOO) looks a little different.
On the whole by the time the ‘little investor’ gets a chance to become involved, returns are normally skinny or end up losing money as many IPOs recently have soon traded below their initial offer price.
This month I will take a look at investing in India and give you a few specific Indian companies to look at as well as using Exchange Traded Funds to gain a broad exposure.
It’s now over three months since the Indians voted for Narendra Modi as prime minister and his Bharatiya Janata Party (BJP) will be in power for at least five years. After years of bureaucratic bottlenecks and stagflation India finally has a chance under reformist Modi to become more business friendly.
This month I will take a look at a beaten down stock which I believe has potential to bounce back: World Wrestling Entertainment, Inc. (NYSE:WWE).
The company is an integrated media and entertainment company engaged in the sports entertainment business worldwide. It operates in four segments: Live and Televised Entertainment, Consumer Products, Digital Media, and WWE Studios. The Live and Televised Entertainment segment produces live events and provides content for its television and other programming; designs, markets, and distributes various WWE-branded products, such as t-shirts, caps, and other novelty items; and offers pay-per-view programs.
With the Dow, S&P, NASDAQ, FTSE 100, DAX, FTSE 250 and RUSSELL 2000 sitting at either all-time highs or near multi-year highs it may feel like all the deals and bargains have gone. But determined stockpicking can still find undervalued gems.
This month I will take a look at a stock which I think still has tremendous value even after the recent bounce: Blackberry (NYSE:BBRY)
Whether you are a football fan or not it’s going to be hard to avoid the World Cup over the next month and forget about this being just a sports event, this is big business that can affect GDP, consumer confidence and retail figures.
Kick-off is 12th June, where the first game sees host nation Brazil plays Croatia, and ends with the final on the 13th July. You can download a pdf chart of the World Cup games here.
Those who have followed me for some years will know I am a fan of seasonality and as I have explained in previous updates, financial markets do not go up or down evenly throughout the year in a nice orderly straight line; that would be far too easy.
If we invested $10,000 in the Dow Jones on 1st November and and then taken our money out on April 30st from 1950 to date we would now have over $950,000. We would have been out of the market May until end of October each year missing a few crashes in the process.
It’s hard to believe that it is now just over 5 years since the US financial markets hit their crisis lows with the S&P500 hitting 662 and the Dow Jones 6450.
The S&P500 is up 174% with many stocks putting in gains of well over 1000% since those dark days; Las Vegas Sands (LVS) is up 3700% and Krispy Kreme Doughnuts (KKD) up 1500% to name a few.
Those who have followed me for some years know that I have been a fan of trading and investing in commodities for well over a decade and I have held numerous seminars with the commodities guru Jim Rogers.
Now unlike many I am happy to also go short or just step out of the area when I don’t see great opportunities. For the last few years I have really had less interest in commodities frankly the opportunities have been far better in stocks so why would I bother with commodities?
After last year was such a powerful year for market indices, I think 2014 will be different, with more of a pick-and-mix style of investing the best way to go.
2013 turned out to be a great a year for financial markets with the S&P500 recording a whopping gain of 30%, which was the best year since 1997. The Dow Jones Industrials closed up 26.5%, the best since 1995; and the NASDAQ was up the most, giving a 38.3% gain thanks to technology and biotech stocks having the best gains since 2009.
Regular readers will know whilst deep down I am a trend follower I will also take a contrarian view and also look for signs of beaten up stocks that are making a turnaround.
Two stocks both mentioned here before that have done extremely well for me and anyone brave enough to follow me are Citigroup (C) and AIG (AIG). Yes, both stocks would have gone broke had the US government not bailed them out, but that is the distant past and Uncle Sam is out of both and made money out of saving both companies.
Thu, 1st Jan - * German unemployment fell by 22,000 people in October to reach 2.887m, according to the Federal Labour Office.