Lauren Hua

September 18, 2017

What type of stocks to buy in a high inflation environment

The world has seen unprecedented levels of money printing since the depths of the GFC. Along with record low interest rates, many investors are concerned that this can only lead to one thing – inflation. If this is the case, then the value of some investments (such as cash) may be eroded. It is therefore important to recognise which asset
September 1, 2017

Finding Opportunities in a Low Growth Environment

Looking for investment opportunities in a low growth environment can be very challenging as Australian companies are not experiencing the same levels of growth as before. However, there are still opportunities around – you just have to look a little harder. Here we have outlined a starting point on where you need to look in order to discover trading opportunities
August 28, 2017

Tips to avoid losing money in the stock market

Investing in the stock market is more like a marathon than a sprint. It is not a get quick rich scheme so investors should not expect to earn money overnight. Success in the stock market comes from careful planning and education and the ability to stay emotion free when making decisions. See below some tips on how to avoid losing
August 23, 2017

What to Look Out For When Selecting Stocks

Looking at the fundamentals and technicals of a stock is important and there is more information on those topics in this blog on the following links: https://fairmontequities.com/effective-trading-video-series/ and https://fairmontequities.com/a-beginners-guide-to-financial-ratios/. You can also view how we can combine the two here: https://fairmontequities.com/how-we-work/ Alongside these ideas, there are other some other basic factors to look out for when selecting stocks: Ownership: When
August 15, 2017

Is now the time to be adding gold to your portfolio?

Gold is traditionally used as safe haven investment to hedge against a falling market. As the USD dollar market continues to fall, the popularity of gold will continue to rise. The markets have recently been experiencing some very turbulent times of late as tension grows between North Korea and the United States. These factors will encourage investors to invest in
August 7, 2017

How the High Australian Dollar Will Affect Each Sector

The Australian dollar has recently surpassed US$0.80. Once of the reasons is that after the latest speech by US Federal Reserve Chair Janet Yellen, investors believed the US will not hike rates as aggressively as first thought. The market therefore decided to invest in other higher yielding countries other than US. Also, investors are starting to believe the pro-growth ideas
August 1, 2017

What You Need to Know About Sector Rotation

The share price of a stock is driven by the earnings generated by a company. However, the state of the economy has a huge impact on the earnings of a company. Stocks in different sectors react differently to the various economic cycles. A profitable strategy is to purchase stocks which perform best in these different economic cycles. A strategy of
July 24, 2017

Will You Have Enough to Retire and How Shares Can Get You There

Statistics show that three in five Australians feel they do not have enough money to retire. This mortgage choice survey also identified that 54 per cent of Australians start planning for retirement when they are over 50 years old. These are alarming figures if you want to retire on a comfortable level. Below is a guideline set by the ASFA
July 19, 2017

How External Elements Can Impact Stock Prices

Just as internal factors such as management and earnings can play a part in how a stock price moves, external circumstances also play a major part. Identifying these events would be useful to investors to assist them in predicting stock price movements. Below is a beginner’s guide of external elements which can cause changes in stock prices. Interest Rates: Interest
July 7, 2017

Corporate Actions Simplified

A corporate action is an event which a publicly traded company has initiated which will impact shareholders. These corporate actions usually have a strong effect on the stock price and give investors a clearer view into the company’s financial position. Due to the possible effect on the company’s share price, it is important for investors to be familiar with different
July 5, 2017

Direct Shares Compared to Managed Funds

Managed Funds are a way to own shares without having to select the individual shares yourself. It is a way to pool all investors in a group and share the benefits together. You buy units in the fund from the fund manager and sell these units back in the future to this fund manager. This industry has exploded with many
June 29, 2017

Growing Sectors to Invest In

As mining investment continues to decline, investors are looking for industries which are expected to grow and inject extra billions into Australia’s economy. For investors taking a top down approach to investing, we have complied a list of sectors to start focusing on. The list below highlights these booming sectors for growth. These growth spots will enable Australia to remain
June 16, 2017

Strategies to Use in a Bear Market

Share markets have done very well in recent months. Are we reaching a top? Whatever your view, share markets will at some stage start to go down again. Most investors know the pain of seeing stock prices trend downward, whether the dotcom bust, the GFC, or any number of corrections that regularly occur each year. In hindsight, these same investors
June 7, 2017

Tax Time: What You Need to Know About Capital Gains Tax and Shares

With the end of financial year around the corner, it is worthwhile reviewing how your gains or losses are treated if you decide to sell your shares before 30 June. Most investors are aware of what to do with gains on shares that were held for only a brief period of time, but investors who have held shares for many
May 31, 2017

How a Housing Collapse Will Affect the Stock Market

There has been talk of a housing bubble for many years now. With households highly leveraged, a significant increase in interest rates or high unemployment may have dire consequences on borrowers’ ability to repay their mortgage. But if there was a housing crash, how would this affect our stock market? Firstly, we are not predicting a crash in house prices.