Browsing All Posts published on »February, 2011«

Euromoney Institutional Investor: Spewing Cash

February 28, 2011

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Euromoney Institutional Investor (ERM LN) is a business-to-business media group. From the company’s 2010 annual report, it describes itself as: “focused primarily on the international finance, metals and commodities sectors. It publishes more than 70 magazines, newsletters and journals, including Euromoney, Institutional Investor and Metal Bulletin. It also runs an extensive portfolio of conferences, seminars […]

Williams F1 – The Worst IPO?

February 23, 2011

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The Formula One team Williams is currently preparing to IPO on the Frankfurt Stock Exchange in early March, and the prospectus can be downloaded from the company’s website.  While some people might be excited about the prospect of investing in one of the most successful teams in one of the world’s most lucrative sports, I […]

The Case for Liberty Global

February 22, 2011

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Liberty Global (“LGI”) is a telecommunications network operator, providing television, telephone and broadband internet services to 17.7m households across 14 different countries. LGI’s key markets are Germany (17% of EBITDA), The Netherlands (15%) and Switzerland (15%), though the company operates across much of Europe and also owns assets in Australia (AUSTAR) and Chile (VTR), as […]

Leading Fund Managers Comment on the UK Equity Market

February 17, 2011

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Bloombery today published an article which contains a number of interviews with leading UK fund managers.  It is quite clear that there are some differing views on the market, particularly with regard to companies focused upon the UK consumer. Paul Spencer, manager of Rensburg Fund Management Ltd.’s U.K. Mid- Cap Growth fund: “Many U.K. stocks […]

When Will the Bank of England Raise Interest Rates?

February 16, 2011

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Where do you think the BoE will go with interest rates in Q2 2011? Is there really enough spending in the system to warrant raising them? This question was asked by anonymous reader via Formspring. The table above is taken from the Bank of England’s latest Inflation report and shows the latest market expectations for […]

How Not To Invest

February 15, 2011

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Because it can be quite a complex process to determine an investment strategy, the suitable asset allocation and to select individual investments, it is often therefore very challenging for a writer such as myself to make recommendations without properly understanding the personal circumstances and risk/return appetite of specific readers.  However, it is much easier to […]

Justifying Twitter’s Valuation

February 10, 2011

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The news that Twitter is currently in talks to do a deal that the would value the company at $8-10bn has got many commentators questioning whether or not we are witnessing another 1990’s-like silly-season as valuations once again reach bubble levels.  In my view, while the exact valuations are still debatable, the issue of whether […]

Scared of Shorting

February 9, 2011

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In my professional experience as both an equity and credit analyst I have never been involved in analysing any short positions – neither firm I worked for managed any funds which had the ability to bet against the shares and bonds of companies. However, I have recently opened a CFD (contract-for-difference) account which allows me […]

How To Retire A Millionaire In Three Easy Steps

February 8, 2011

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Don’t smoke.  In addition to being appalling for your health, smoking cigarettes also seriously harms your wealth.  At an average of 20 cigarettes per day and a pack costing roughly £6, this would set someone back £2,190 per annum. Save the proceeds into a pension scheme.  Under UK tax regulations, the government will add £1 […]

What Do Stock Buybacks Mean?

February 7, 2011

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Recent research by Jacob Oded, Azi Ben-Rephael, Avi Wohl of Tel-Aviv University considered the matter by looking at share-price performance following buy-backs, the findings of which were published in the paper “Do Firms Buy Their Stock at Bargain Prices? Evidence from Actual Stock Repurchase Disclosures.”   They learned the following: Smaller S&P 500 firms repurchase less frequently […]