Tag: stocks

Why does Hargreaves Lansdown have some Swedish companies and not others

1. Exchange Access & Settlement

HL offers access to “major international exchanges” (like Stockholm, Paris, Frankfurt, NYSE, Nasdaq, etc.), but they don’t automatically make all companies on those exchanges available.

  • They rely on CREST and Euroclear (the settlement systems) and need to have a smooth process for custody and dividends.
  • Smaller or less liquid Swedish stocks sometimes aren’t supported because they’re harder/expensive to settle.

2. Liquidity & Demand

HL curates what’s listed for retail clients.

  • Large caps / well-known Swedish companies (think Volvo, Ericsson, Evolution Gaming) tend to be included because they’re liquid and there’s demand.
  • Small caps or niche companies may not be available unless enough HL clients request them — not worth the admin burden otherwise.

3. Corporate Actions & Complexity

Foreign shares often involve dividend tax, rights issues, and corporate actions. HL simplifies its offering to avoid the cost/complexity of handling lots of “long tail” small companies overseas.

4. Custody Costs

HL passes some overseas custody and settlement costs onto clients in its dealing fees.
If a stock would require unusually high back-office overhead, HL may simply choose not to offer it to retail clients.

5. Regulatory / Listing Requirements

Some companies, even though they’re on the Stockholm Exchange, might trade only in certain share classes (A vs B shares, for example). HL typically lists the more liquid share class (usually the B shares in Sweden). That’s why you’ll sometimes find “Rokob” but not “Rokoa.”

Levelsio Investment Portfolio Google Doc – ETFs and One off stock investments

Levelsio on X – has started to share a Google Doc with all his investments. Its a very interesting mix between ETFs and one off stocks.

Take a look here – levels.vc

It shows the power of VC investing over time. One third of all money he makes is from his investments.

Levels has risen to fame through the X platform where is creating a lot of content and been posting about technology, finance, startups, etc.

Nvidia Reports Earnings next week – where is this chart headed?

Nvidia earnings are reported next week. It will be very interesting to see how this chart continues to move over the coming quarters and years. I think it is all going higher, but I think we are starting to see a little bit of a slower growth, which hopefully will allow them some breathing space to stabilise a few things.

How does the current price of XIACF compare to its 52-week high and low

Based on the search results, I can provide the following comparison of XIACF’s current price to its 52-week high and low:

The 52-week range for XIACF (Xiaomi Corp Class B) stock is $1.40 – $2.64.

As of the most recent data available:

  1. The current price is $2.36.
  2. The 52-week high is $2.36, set on May 03, 2024.
  3. The 52-week low is $1.26, recorded in June 2023.

Comparing these figures:

  • The current price of $2.36 is at the 52-week high, just 0.00% below it.
  • The current price represents a 87.3% increase from the 52-week low of $1.26.

This indicates that XIACF is currently trading at its highest point over the past year, suggesting strong recent performance or positive market sentiment towards the stock.

Constellation Software Revenue by Segment – 2019 – 2024

I came across this amazing chart of the growth of Constellation Software and their revenue by Segment.

As you can see Constellation has been on an amazing growth story since the very beginning and it doesn’t look like it is going to slow down any time soon.

I just wish I could invest in them from the UK, but no broker is really offer an option to buy their stock! If they had this I’m sure it would go even higher faster!

What are the Benefits of Dividend Investing Over Capital Growth Returns?

Dividend investing can be considered better than standard long-term investing for capital growth returns due to several reasons:

  1. Regular Income: Dividend investing focuses on investing in companies that pay regular dividends to their shareholders. This provides investors with a consistent stream of income, which can be reinvested or used for other purposes.
  2. Compounding Effect: Dividends can be reinvested to purchase additional shares of the company’s stock. Over time, this reinvestment can lead to the compounding effect, where the dividend income grows exponentially.
  3. Stability and Consistency: Companies that pay dividends are often mature and stable, with a track record of generating consistent profits. This stability can provide a level of confidence to investors, especially those seeking reliable income.
  4. Lower Market Volatility: Dividend-paying stocks tend to be less volatile compared to growth stocks. This lower volatility can provide a smoother investment experience, particularly for those who prefer a more conservative approach.
  5. Inflation Hedge: Dividends have the potential to increase over time, which can help investors keep up with inflation and maintain purchasing power.

It’s important to note that the choice between dividend investing and standard long-term investing depends on individual preferences, risk tolerance, and investment goals. Both approaches have their advantages and drawbacks, and it’s essential to consider one’s specific financial situation before making investment decisions.

Value Investing for New Investors – The Warren Buffett Approach

Value investing is a timeless investment strategy that has been used by some of the most successful investors in history, including Warren Buffett. Value investors look for stocks that are trading below their intrinsic value, with the belief that these stocks will eventually revert to their fair market value and provide a profit for investors.

This ebook is designed to introduce new investors to the basics of value investing. It will cover the following topics:

  • What is value investing?
  • The history of value investing
  • The principles of value investing
  • How to identify undervalued stocks
  • How to construct a value investing portfolio
  • Common mistakes to avoid when value investing

What is Value Investing?

Value investing is an investment strategy that involves buying stocks that are trading below their intrinsic value. Intrinsic value is the true worth of a stock, based on its underlying fundamentals.

Value investors believe that the stock market is often irrational and that stock prices can fluctuate wildly, even when the underlying fundamentals of a company remain strong. This can create opportunities for value investors to buy stocks at a discount to their intrinsic value.

The History of Value Investing

The history of value investing can be traced back to Benjamin Graham, who is considered the father of value investing. Graham was a professor at Columbia University and a successful investor. He wrote a number of books on value investing, including The Intelligent Investor and Security Analysis.

Graham’s teachings were popularized by his student, Warren Buffett. Buffett is one of the most successful investors in history, and he has used value investing principles to generate billions of dollars in wealth for himself and his shareholders.

The Principles of Value Investing

The principles of value investing are simple, but they can be difficult to apply in practice. The following are some of the key principles of value investing:

  • Buy stocks that are trading below their intrinsic value. This is the core principle of value investing. Value investors believe that stocks that are trading below their intrinsic value will eventually revert to their fair market value and provide a profit for investors.
  • Invest for the long term. Value investing is a long-term investment strategy. It takes time for the market to recognize the true value of a stock. Value investors are willing to be patient and wait for the market to catch up.
  • Have a margin of safety. A margin of safety is the difference between the intrinsic value of a stock and its current market price. Value investors want to buy stocks with a large margin of safety to reduce their downside risk.

How to Identify Undervalued Stocks

There are a number of ways to identify undervalued stocks. One common method is to look at a company’s financial statements and valuation ratios.

Value investors typically look for stocks with strong financial statements and low valuation ratios. For example, value investors may look for stocks with a low price-to-earnings ratio (P/E ratio) or a high dividend yield.

How to Construct a Value Investing Portfolio

Once you have identified a number of undervalued stocks, you need to construct a value investing portfolio. This involves diversifying your investments across a variety of sectors and industries. It also involves managing your risk by investing in a variety of stocks with different valuation ratios.

Common Mistakes to Avoid When Value Investing

There are a number of common mistakes that investors make when value investing. Some of the most common mistakes include:

  • Buying stocks without understanding the underlying business. It is important to understand the business model and competitive landscape of any stock before investing.
  • Investing in stocks that are too risky. Value investors should focus on investing in stocks with a large margin of safety to reduce their downside risk.
  • Selling stocks too early. Value investing is a long-term investment strategy. Investors should be patient and wait for the market to recognize the true value of a stock.

Conclusion

Value investing is a time-tested investment strategy that has been used by some of the most successful investors in history. By following the principles of value investing, new investors can position themselves for long-term success.

Additional Resources

If you are interested in learning more about value investing, here are a few additional resources:

  • The Intelligent Investor by Benjamin Graham
  • Security Analysis by Benjamin Graham and David Dodd
  • The Essays of Warren Buffett by Lawrence Cunningham
  • The Little Book of Common Sense Investing by John C. Bogle
  • The Bogleheads’ Guide to Investing by Taylor Larimore, Mel Lindauer, and Michael LeBoeuf

What Do Analysts Think the One Year Price Target is for Nu Holdings (NU)

Analysts have a wide range of price targets for Nu Holdings in the next 12 months. The median price target is $7.85, with a high of $11.00 and a low of $4.00.

Here is a breakdown of the price targets from a few different analysts:

  • Morgan Stanley: $10.00
  • Barclays: $8.00
  • Credit Suisse: $7.50
  • Jefferies: $7.00
  • Evercore ISI: $6.50

These price targets reflect the analysts’ view of Nu Holdings’ growth prospects and valuation. The median price target of $7.85 suggests that analysts believe Nu Holdings is fairly valued at its current price. However, the high price target of $11.00 suggests that some analysts believe the company has the potential to grow significantly in the future.

Twitter Becoming More Innovative! $300 billion Market Cap inside 10 Years!

I have found myself Tweeting a lot more over the past couple of months and getting more engagements and interactions on the platform. There seems to be something in the water at Twitter at the moment – as they seem to be going through a big change in innovation and launching more and more product (Twitter Spaces is a great example of this).

I would love to see Twitter Space become its own standalone app (as currently it is quite hard to find who is talking, when and where). Twitter also recently acquire a Newsletter company, so it seems like they are now trying to make a conscious effort to push through monetization for creators in all shapes and forms.

Great moves overall… Im very bullish on Twitter over the next 10 years.

(at the time of writing this Twitter has a $48 billion market cap with $3.7 billion in revenues over the last 12 months). In 10 years I can easily see Twitter being a $300 billion market cap company.

Wayfair is up over 250% in the past Year and Growing Faster than ever in Home Improvements and Gardening

Wayfair has seen amazing growth over the past year to the point of growing over 250% in the past 12 months.

Why?

Coronavirus has caused a lot of people around the world to work from home and to remain at home. It seems people have been focusing on home improvements and gardening.

WMG – Warner Music Group Starts Selling Shares on the NASDAQ Today

Warner Music Group is going live on the NASDAQ today. Warner are offering 77 million class A shares at $25 a share. If Warner opens up at $25 per share that means they will have a $12.8 billion valuation.

It’s going to be very interesting to see if investors have an appetite for music companies again.

Underwriters for the new offering include Morgan Stanley, Credit Suisse, and Goldman Sachs. Ticker symbol will be WMG.

Warner Music Group has an amazing catalogue, but I’m very keen to learn more about their recent investments and what other industries they think they can enter, because doing the old record label model just isn’t going to gain enough growth over the next 20 years.

What is the Difference between Xiaomi XIACF and XIACY?

If you searched for Xiaomi ADRs, you’ve inevitably come across both XIACF and XIACY. What’s the difference? You cannot trade XIACF as a retail investor because it’s a “privately placed” ADR under SEC Rule 144A. This means that they’re for qualified institutional buyers (QIBs) only. QIBs want and contribute to the 25x higher average trading volume than XIACY. Volume ensures there are enough buyers and sellers to trade with you. Information and services are also limited to QIBs.