Insider trading can be legal or illegal depending on if the information used is public. Insider trading means that someone buys or sells stock based on information that is not freely available to the public.…
When stock prices drop, bond prices increase. A portfolio that holds stocks and bonds plays better than the one that holds only stocks. Diversification means to spread the risk across different types of investments. The…
The main feature of this portfolio is the idea that most return is determined by the asset allocation of the portfolio, more than by asset selection. No Brainer portfolio is one of the “Lazy portfolios”.…
In some scenarios, bonds are riskier than stocks. The main problem is how to run your investments stable but not cutting the growth stocks have to give. Do you think the stocks are riskier than…
In contrast to Silicon Valley, European startup employees are not known for earning millions from the company’s stock. Stock options policies in Europe are a major barrier to the tech growth and that has to…
The CAPE ratio has some predictive ability so you can create your investment strategy based on the CAPE. The CAPE ratio is a variety of the P/E ratio. Just like the P/E ratio, the CAPE…
A lazy portfolio is a diversified portfolio that allows you to grow your wealth without stress or a lot of work. There is no active trading, no monitoring your stocks every day, and no paying…
The Israelsen 7Twelve is intended to protect the portfolio against losses. The portfolio has 7 different asset classes and 12 different funds. Each fund has the same weight of 8.3% or 1/12 of the overall…
The main difference between a microcap stock and other stocks is the amount of reliable publicly-available data about the company but potential growth can be great in the long run. The microcap stocks can be…
La Roche defrauded U.S. federal and state governments for $1.5 billion. The company was lying that its influenza drug Tamiflu was effective at preventing potential pandemics. Drug company La Roche (OTCMKTS: RHHBY) cheated U.S. federal…