Investing

Share to Twitter Share to Linkedin Key takeaways As recession fears mount and interest rates rise, investors are increasingly worried about how a downturn could hit their portfolios One of the worst moves investors can make during a recession is to bail on your portfolio Instead, consider recession-proof products to buoy your portfolio – and even catch the upside as the economy recovers By now, you’re probably tired of hearing about the impending future recession . (And you certainly wouldn’t be alone.) Still, it’s important to prepare yourself emotionally and financially for the possibility. After all, one of the worst moves investors can make is letting a recession catch them unawares and bailing on their portfolios in response. Fortunately, you can circumvent that risk by reviewing your portfolio early and understanding what you risk in a recession. Then, consider whether these recession-proof investments could help stave off the … [Read more...] about Recession-Proof Investments To Buff Your Portfolio

Share to Twitter Share to Linkedin Jason R. Escamilla, founder and CIO of ImpactAdvisor LLC in San Francisco, has seen it all before. It was nearly 30 years ago when he initially tried Socially Responsible Investing (“SRI”), the predecessor of ESG. And he was cool with it. Until everything changed. “ESG/SRI used to be about selectivity and choice,” says Escamilla. “I first got involved with SRI/ESG investing in the 90s. For decades, it was about selectivity and choice or preferences—primarily among institutional investors/clients. Funny thing happened on the way to going mainstream. ESG became the bully. The divestment movements ushered in powerful attention and support from the ‘non-investment class’ only a few years ago: students. Large pools of investment capital: university endowments adopted the cause. I still remember three years ago when CNBC’s Jim Cramer recommended permanently disinvesting from fossil fuels based on this force.” As a professional … [Read more...] about The Curious Dilemma Of ESG Investing And Your Retirement

MANILA — The Philippine Economic Zone Authority (Peza) on Wednesday said its approved investments in the first quarter surged by 54 percent, bouncing back from a 68-percent plunge during the same period last year, during which Russia invaded Ukraine and roiled global markets. The Peza said investments reached P12.53 billion from January to March, or a 53.99-percent increase from P8.141 billion recorded in the same period in 2022. Peza Director General Tereso Panga said 42 new and expansion projects were approved in the first quarter, which are expected to generate $616.585 million  in export receipts  and 5,236 direct jobs. “We have achieved positive investments for this year’s first quarter and we can sustain this momentum in the coming months as we expect more inbound delegations of foreign investors,” Panga said in a statement. “The best is yet to come as we further open up the economy and manage the external headwinds,” he added. The Peza chief also mentioned recent … [Read more...] about Peza investments surged 54% to P12.53B in Q1

Share to Twitter Share to Linkedin It’s probably impossible to know for sure if these bank stocks are worth seriously examining as investments but they do seem to qualify as cheap and as dividend-paying. By cheap, I mean they’re trading below their book values and at much lower price-earnings ratios than the market taken as whole. The crisis in regional banking has taken a toll, but is this an opportunity? That they’re cheap doesn’t mean they can’t get cheaper, of course, but for those willing to investigate further, here’s a decent list with which to begin: Cadence Bank CADE (NYSE: CADE), with headquarters in Houston and in Tupelo, Mississippi, has 400 branch locations throughout the South and in Texas. It’s trading at a 4% discount to its book value with a price-earnings ratio of 8.56. Cadence pays a 4.46% dividend. Here’s the weekly price chart for Cadence Bank : The stock traded at $32 at the beginning of 2022 and now goes for … [Read more...] about Bank Stocks: Below Book Value And Dividend Paying

Share to Twitter Share to Linkedin At O’Neil Global Advisors, in addition to fundamental research on companies, a substantial part of our process of analyzing ideas is looking at those breaking into new highs, and conversely, breaking down below key support levels. In terms of breakouts, we have talked about the need for the count to rise substantially to gain confidence in a sustained stock market uptrend (see article from February 2023 ). Since August 2022, there have been several short-term surges in the breakout totals. Still, a bigger surge has been present in past cycles to mark the “all clear” signal for the market. For instance, in July 2016, about five months after recent market lows, the weekly total jumped to over 300 breakouts and then followed through consistently throughout 2017. In June 2019, about six months after the market lows, the total jumped to over 300, and led to a very strong market for the next 6-8 months. In August 2020, five months … [Read more...] about How To Use Breakdowns In The O’Neil Methodology

Share to Twitter Share to Linkedin Sometimes, it takes a monumental event in an unfamiliar sector to open our eyes to how complex and important things are, and how much the general public doesn’t understand. The recent banking crisis has been such an event. Despite the fact that private market investing and venture capital (VC) are critical factors in our nation’s position as a global innovation leader, it’s relatively unfamiliar to many people. In an effort to create some clarity and understanding, this VC primer explains how VC works and why it’s so important to founders seeking capital and to investors seeking to diversify their portfolios. The Fundamentals of Venture Capital Put most simply, VC is a category of private market investment and financing. A VC firm raises capital (i.e., money) from investors, often referred to as Limited Partners (LPs). The firm uses that capital to fund promising startups they have determined as likely to have high … [Read more...] about Venture Capital Fundamentals: Why VC Is A Driving Force Of Innovation

Share to Twitter Share to Linkedin There’s a “delayed reaction” dividend play (for tax-free 5% yields) waiting for us in municipal bonds right now—and it’s not going to last. I know, I know. “Munis” don’t exactly get most folks’ hearts racing. But the fact that this corner of the market tends to lag behind stocks, bonds and the rest is exactly what’s behind our opportunity here. Plus, we get to buy cheap and get our dividends monthly when we buy our munis through a closed-end fund (CEF). That’s because most muni CEFs pay monthly—including a 5.3% payer called the Nuveen Municipal High Income Opportunity Fund (NMZ), the particulars of which we’ll delve into below. First, though, let’s talk about why this opportunity is available now. The Latest “Bond Bounce” Hasn’t Hit Munis—Yet Over the last few weeks here on Contrarian Outlook, I’ve been talking a lot about the “4% ceiling.” It’s the tendency for the yield on the 10-year Treasury to … [Read more...] about Your Shot At Tax-Free 5% Dividends Is Vanishing

Daqo New Energy Corp., a maker of silicon and polysilicon products used primarily in solar energy applications, tops the list of stocks offering the best value in the tech sector heading into April. In the growth category, 3D printing firm Nano Dimension Ltd. leads the way, while chip testing provider Aehr Test Systems is the tech stock with the most momentum. In March, the U.S. Federal Reserve raised interest rates for the ninth time in a year. The latest increase comes in the midst of a banking crisis triggered by the collapse of tech-friendly Silicon Valley Bank and Signature Bank. Since tech companies are sensitive to higher interest rates, stocks in the sector have struggled throughout the Fed's anti-inflation campaign. Tech stocks, represented by the Technology Select Sector SPDR Fund ( XLK ), lost a tenth of their value in the past year, compared with a 14% drop in the Russell 1000 Index. Despite the challenging environment, the companies listed here are leading the … [Read more...] about Top Tech Stocks for April 2023

The market value of CEO Elon Musk's electric vehicle (EV) company Tesla Inc. ( TSLA ) has rebounded by almost 92% and $29 billion from its 52-week low on June 3, 2019, on forecasts of rising profits and market share. Moreover, the outlook for Tesla in China, the world's largest vehicle market, may be brightening as would-be competitors face obstacles. To reduce air pollution, China plans to become a world leader in electric vehicles. As a result, dozens of Chinese EV startups have raised over $18 billion, but this may represent a speculative bubble, Bloomberg   reports. Key Takeaways China plans to be a major player in electric vehicles (EVs). Billionaire Chinese tycoons are spending billions in the EV market. However, becoming profitable is an uphill climb. Meanwhile, Tesla has opened its first plant in China. Significance For Investors Among the billionaire Chinese business tycoons who spending big money to become big players in the Chinese EV market … [Read more...] about Why Tesla Is Rebounding as China’s Electric Car Market Faces Shakeout

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, March 28, 2023. REUTERS/Staff/File photo European shares rose on Wednesday, echoing an upbeat mood in Asian markets following Chinese tech giant Alibaba’s break-up plans, while strong outlook from chipmaker Infineon and a CEO change at Swiss bank UBS further aided the mood. The benchmark STOXX 600 index rose 0.7 percent, largely in line with gains in Asian equities. UBS Group AG gained 1.7 percent after the lender announced that Sergio Ermotti will take the helm to steer its takeover of smaller peer Credit Suisse. Credit Suisse climbed 1.4 percent, while financial services and banking indexes rose between 0.8 percent and 1 percent. “I can see why the market has stabilized and it’s true that there are some slightly comforting factors. The Fed (bets) have been repriced down quite aggressively in the past few weeks and investor positioning is very defensive,” said Vincent Chaigneau, … [Read more...] about European stocks get tech lift, UBS climbs on naming Ermotti as CEO