Investment Academy Archive April 2009

In the long-term the stock market always wins...

Spread trading can be fun, fast paced and a great way to boost your profits. But it can also be dangerous for the unwary trader. For novices, the jargon can seem baffling at first. But don’t let that put you off! Here’s how to get yourself spread trading...

The recent trade union worker SATAWU strike caused sheer panic for motorists wanting to get away for the Easter weekend. Why? Because petrol stations in Durban (and other major cities) were concerned about running into fuel delivery problems. This left many holiday-goers at the mercy of erratic petrol supplies at their nearest service stations. And it got me thinking about ways you could make buying, owning and, even, running your car that much cheaper.

It's what the experts do.Rand cost averaging is used by large unit trust funds and institutions that have hefty portfolios already, or individuals - like my friend above - who save and invest with small, consistent amounts. In short, everyone can use this timeless strategy.If you ran a unit trust fund or large institutional asset pool, you invariably would have to buy stocks in bigger quantities.

South Africa's future has been getting some bad press lately. With the pending election, people are less than excited about Zuma's rise to power. But are we looking at a barren future in an economic wasteland?

We’re a week into our new website and already our faithful IT department is planning tweaks! Sometimes it feels like the world’s just moving too fast. Do you know, in only two days, tomorrow will be yesterday! With the huge amount we’ve seen wiped off asset prices in the last year, cash was most certainly king. Nevertheless, time moves on. We’ve seen governments around the world respond to the financial crisis with, in the words of Cortex Securities analyst, Viv Govender, “the largest bout of expansionary fiscal policy in history”.

It’s official! Scientists have proved that men are better shoppers than women. Yes, you read that right! When it comes to shopping efficiency, men win hands down.

We talked about the magic of compounding in last Wednesday's issue and one of our readers wrote in with a question. After seeing the massive profit difference between a simple interest investment at 11% and an investment compounded at 22%, she wanted to know where she could get her hands on an investment that'll show 22% these days.

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