Beat the stock market with the Stockopedia Research Team
Hargreaves Lansdown is one of the UKās biggest investment brokers - and like other platforms, one of its eye-catching pages is its "Top of the Stocks" feature.Ā You may have perused lists like this for interest or even made investment decisions off the back of them. But have you ever considered what lists like these really tell you…
Whenever I write about behavioural flaws, I usually get to rely on a legion of academic research papers to explain them. This time Iām starting with some first-hand experience.
Over the past several years (perhaps longer) Iāve been dealing with a pretty strange psychological flaw of my own. Itās probably one of many.
For the most part, Iām…
In his chairmanās letter to Berkshire Hathaway shareholders this year, the billionaire investor Warren Buffett described his groupās investment portfolio as being like a āforestā.
Berkshireās many and diverse businesses, he said, were its āeconomic treesā. Like any portfolio, it has an array of specimens (in Berkshireās case there are vast numbers of them). They range in…
The stock market sell-off late last year was a reminder of how quickly a spell of bearish sentiment can start feeling like a full blown rout. Go-go growth stocks were pegged back, fast momentum plays were pummelled and even high quality firms saw their prices tumble.
Seasoned investors rightly say that short term pain is the price you pay…
There was a good line in a post by the American blogger Ben Carlson back in February 2018. At the time the stock market was in ācorrection modeā, and he made the point that investors always need prepare for turbulence if theyāve got any chance of riding out the pain of falling prices. He wrote: āNo amount of…
Share prices have fallen across the board in October, and itās a reminder of just how quickly fear spreads when stocks start tumbling. My colleague Jack wrote this week about the sense of foreboding thatās hanging in the air at the moment. Thereās almost a sense of inevitability that some kind of correction is past due. Knowing how…
Kevfle recently posted an intriguing article called āCan we beat the professionals?ā In this he touched on some interesting questions around the investment industry, which provoked a flurry of responses from our fantastic community here at Stockopedia.
Kevfle seemed to have several questions on his mind, including:
Can we actually ever outperform the pros?
Am I wasting my time?
Is…
Kevfle recently posted an intriguing article called āCan we beat the professionals?ā In this he touched on some interesting questions around the investment industry, which provoked a flurry of responses from our fantastic community here at Stockopedia.
Kevfle seemed to have several questions on his mind, including:
First Officer: āCaptain - one of our engines is failing.ā
Captain:Ā āSet throttle to maximum thrust on the failing engine.ā
Even if you have never watched a sci-fi movie before, our captainās response may sound a little odd to you, and for good reason. Engineering systems are designed to reallocate resources away from failing components and towards working components to…
Thereās a line in Warren Buffettās 2000 letter to Berkshire Hathaway shareholders, where he says: āNothing sedates rationality like large doses of effortless money.ā *
At the time, of course, Buffett was reflecting on two years of āirrational exuberanceā that had swept through the U.S. market - propelling the prices of tech stocks (which were then starting to crash…
Itās long been known that bad investment decisions can be caused by our susceptibility to emotions and cognitive errors. But to really understand these behavioural risks and how to avoid them, it helps to see how they work in different ways. The analyst James Montier once used some research about goalkeepers to do just this, and this is how he…
There are many ways to reach success in the stock market⦠but just like in politics, other peopleās methods are often disregarded at best, and attacked at worst. Traders think Investors are boring old stiffs while Investors think Traders are mindless morons. You often see different classes of investors mocking each otherās blogs - technical analysis articles attracting the wrath…
ISA season and the new tax year are as good a time as any for a spot of portfolio spring cleaning. But in making the decisions to add new positions and cut back others, there are potential pitfalls to be aware of. Billions of years of evolution have wired humans to think and act in certain ways - but theyāre…
If you are anything like me, when you started investing in the stock market you read furiously to generate ideas. I subscribed to every newsletter I could get hold of. I hunted high and low for stocks that had the capacity to change the world. I searched the web for proof that other investors were buying them. This led me…
I genuinely do sympathise with anyone who started investing in stock markets for the first time in January 2016. It's not been an easy environment - but letās get one thing straight itās not exactly been bad. If you've invested through 2000 and/or 2008 you'll know what bad really is and itās much, much worse than it is now. The…
Hereās a quick test...
Letās say I offer you this sequence of numbers - 2-4-6 - and ask you to figure out the rule that I used to create it. All you need to do is suggest some more number sequences to see if they fit my rule. Iāll tell you if they do or they donāt.
What…
The study of how human instinct impacts on investment decisions is hotly debated and sometimes controversial. But even Ben Graham, the father of value investing, was aware of the potential for investors to err. He famously warned that āthe investor's chief problem - and even his worst enemy - is likely to be himself.ā
One of the best known behavioural trap-doors…