Archive for August, 2007

Understanding the P-E Ratio

Wednesday, August 29th, 2007

There are basically two ways to value stocks: (1) By the calculation of an intrinsic value (that is, a proper, fair, or correct price for the stock); and (2) valuation ratios.Intrinsic value calculations have been used at least since Benjamin Graham and David Dodds classic book, Security Analysis (1934). Nowadays, ...

IRA Accounts - Choosing the Right One for You

Wednesday, August 29th, 2007

After working hard for a long time, it is only natural that you would want to enjoy your retirement years. Of course, you can only retire gracefully if you have prepared for it. In the United States, individual retirement arrangement or IRA accounts are the preferred retirement plans. Instead of ...

Rising Interest Rates and Gold

Tuesday, August 28th, 2007

Its almost a cliche in the investment world: Rising interest rates and higher gold prices arent supposed to get along. The reasons are seemingly clear: As interest rates head higher, the widespread perception is that goldwhich doesnt pay any interestcant go along for the ride.And because it cant go along ...

Hedge Funds

Monday, August 27th, 2007

Hedge fund business really picked up in the 1990s, fueled mainly by new wealth generated during the 1990s equity bull market. Hedge funds typically issue securities in private offerings that are not registered with the SEC under the Securities Act of 1933. Hedge funds can, and do, employ a wide ...