While the efficient market hypothesis suggests that one should not be able to beat the market consistently, fortunately for active investors this is not the case. In fact, a new, in-depth study has identified a number of investing styles that have demonstrated durable outperformance across a variety of market backdrops. For these six market-beating styles (including which one has proven to be the most effective), as well as some other important takeaways from the study for active investors, CLICK HERE.
Today’s article describes them as “offer[ing] investors a hassle-free way to purchase shares of international companies without having to deal with foreign markets or contend with hefty overseas banking fees.” We’re talking about American Depositary Receipts (ADRs), which can serve as an easy way to diversify a portfolio. How do ADRs work, and what do prospective investors need to understand about the different types of ADRs? CLICK HERE.
Facing declining sales in their own industries, and with the global legal cannabis market predicted to be worth $146.4 billion by 2025, tobacco and alcohol companies have been considering – and in some cases making – moves into the cannabis space. Today’s article previews that, this year, “Not only will we see big players entering the sector but there will also be a series of consolidations by large cannabis firms seeking to compete with new entrants” – and highlights one company in the fast-growing CBD sub-sector that may be a particularly tempting acquisition target after the passing of the Farm Bill. For more, CLICK HERE.
After a particularly rough fourth quarter in 2018, tech stocks have been staging an impressive recovery so far this year – but Morgan Stanley is warning that, due to bleak growth prospects, lofty valuations and various other potential challenges, tech stocks could be particularly vulnerable when the current market rally starts to peter out later this year. Still, the firm does see some opportunities in the sector. For more, CLICK HERE.
“Some will make millions in marijuana stocks, but many more will lose their shirts,” states the author of today’s article, which focuses on the recent run-up in marijuana stocks and how those already invested in marijuana stocks (and those thinking about becoming invested in marijuana stocks) may want to approach it. What does the author identify as the real reason behind the run-up, what do money flows from the “smart money” indicate, and what might various types of pot stock investors – and prospective pot stock investors – want to do now? CLICK HERE.
If you were sent back in time 40 years and had the option of either investing $100 in the S&P 500 every month for the next 40 years (dollar cost averaging) or saving $100 each month and, having the ability to know when the market was at an absolute bottom between two all-time highs, only invested when the S&P 500 was in a dip (buying the dip), which approach would you be better off choosing? The prevailing wisdom is that buying the dip is superior – but, according to a recent study, that prevailing wisdom is wrong. For more, CLICK HERE.
After its worst December since 1931, the S&P just posted its best January performance since 1987. The question now is whether there is more upside ahead (and thus now is a time to buy) or whether there is trouble ahead. One technical analyst in the “trouble ahead” camp is pointing to two specific developments that may be warning signs for stocks – one development related to small-cap stocks and one related to gold which he states “could be an isolated event, [or] could mean something more.” For more, CLICK HERE.
Which of the top cannabis stocks listed in the U.S. is the consensus favorite of Wall Street? Today’s article ranks the top “cannabis contenders” (including Canopy Growth, Aurora Cannabis, Tilray and Zynerba Pharmaceuticals) based on analyst ratings and upside potential – and while it comes down to a close race between two cannabis stocks, one stock is ultimately singled out as Wall Street’s favorite to buy. For more, CLICK HERE.
Much has been written and said about who is winning and who is losing – politically or otherwise – in the current partial federal government shutdown (now the longest such shutdown on record). For its part, today’s article highlights some ETFs that the authors believe are likely to be winners – and some which they believe are likely to be losers – as a result of the shutdown, the economic cost of which is poised to soon surpass the amount of funding for his border wall with Mexico that President Trump is demanding. For more, CLICK HERE.
“Asset allocation is typically the most important aspect of portfolio management so understanding how the various asset classes performed is instructive when trying to understand your results,” explains the author of today’s article before sharing his updated “asset allocation quilt” – which shows the returns (and respective rankings) for each asset class for each of the past 10 years – and some important takeaways from it. What insights can be gained from the inclusion of 2018’s returns in the quilt? CLICK HERE.