There are 2 basic risk categories: systematic risk and unsystematic risk. Systematic risk is usually a general event or phenomenon which can affect many of your portfolio’s investments. An important political happening can affect the whole market including several of your assets. The individual investor cannot do anything to protect himself against this kind of… Continue Reading
After determining how much risk you can take according to your time horizon and your available bank roll, you can employ the risk pyramid method of allocating your money between various investments. The risk pyramid works by dividing the pyramid into three horizontal levels. The bottom level of the pyramid is the foundation and the… Continue Reading
Each person has his own risk tolerance level and there is no magical risk tolerance formula that works for everyone. However, there are 2 important considerations to consider: one’s time horizon and one’s bankroll. Time Horizon Before investing, one should consider his time horizon, the amount of time that he can keep his money invested.… Continue Reading
The other day, an investor friend of mine was telling me about risk management. He said that many people lose lots of money because they don’t employ risk management. I understood him because I have lost my own money and at the time I didn’t really understand why! Therefore, in upcoming articles I would like… Continue Reading
During the 2008 World Summit and Exposition of the Dairy Industry the Zaragoza Agro-Industrial Group introduced two new product lines into the marketplace, called Levia and Muuu. The Exposition was held at the Centro Banamex in Mexico City. Both brands are the first yogurts in Mexico which include dietary fiber, antioxidants, and Omega-3. These nutrients… Continue Reading
Financial Select Sector SPDR (XLF) is an investment fund which copies the Financial Select Sector index. At least 95% of of XLF’s investments are in the same companies that the index i9nvests in. The index is industry specific and invests in insurance, capital markets, commercial banks, diversified financial services, real estate investment funds, thrifts and… Continue Reading
MF Global Holdings Ltd. has filed for bankruptcy due to its overextension of European debt which will not be repaid. MF Global was a giant investment company with over 2000 employees worldwide. Deutsche Bank and JPMorgan Chase are the company’s largest creditors. MF Global owes Deutsche Bank more than $one billion and owes JPMorgan over… Continue Reading
Limited Brands Inc (LTD) retails women’s apparel, personal care and beauty products, and accessories in Canada and the U.S. It has seven brands including Victoria’s Secret, Henry Bendel, Pink, The White Barn Candle Company, La Senza, C.O. Bigelow and Bath & Body Works. Limited Brands markets its goods through specialty retail stores, catalogues and websites.… Continue Reading
Acme United Corp. (ACU) develops measuring, cutting and safety products and sells them in the United States, Europe, Canada and Asia. Acme sells to the home, school, office, industrial and hardware markets. Acme’s cutting products include several types of knives, garden cutting tools, medical cutting instruments, etc. The measuring products include rulers, tape measures, compasses,… Continue Reading
McKesson Corporation (MCK) offers a wide range of services to the health market. They have a Distribution Solutions segment which distributes drugs, medical equipment, supplies and provides outsourcing and consultancy services to Medical organizations throughout North America. McKesson also has a Technical Solutions segment which provides software solutions to many types of health providers in… Continue Reading