Tag Archives: stock

Debt Wipeout: The Great $4.45 Trillion Experiment

Imagine this scenario. Bankers and Mortgage Brokers have gone berserk writing mortgages for people who could not afford to pay them off. Some customers didn’t even make the first payment. Some signatures were forged to get approval. It was an era of pure “greed.” Now, imagine this fictitious conservation between two bankers: “Tom, you know we have a lot of junk here with some of these mortgages.” “Yes, says Bill. Why don’t we just package them together and resell them to hedge funds and pension funds? We’ll use a fancy name like Collateralized Debt Obligations. That way no one will know exactly what we are selling them.” This scheme goes along for a while until a few “sane” investors start thinking: “I don’t think we should buy this stuff.” There are no bids and the market freezes up. Panic sets in and the markets are in freefall. The bankers run to the politicians and beg, hat in hand, for a bailout from Congress. The politicians dream up a fancy name like TARP and give the bankers $787 billion of taxpayer money. However, this is just a drop in the bucket. A whopping $7 trillion of household debt has been wiped out.
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Ebola Stocks-Should You Invest Now?

The dreaded disease, Ebola, has captured the imagination and attention of traders and speculators. It has erupted in Africa and has spread quickly, causing 1,000 deaths, and 2,000 new infected cases. There is a dire race to find a cure. To date, no cure is available. This has prompted a search for biotech companies that have started to do research on Ebola.Continue Reading

The Twitter IPO-What We Know and What We Don’t Know

The Twitter IPO is coming soon, very soon. The IPO detectives found a clause in the company’s prospectus that states that employees can begin selling their stock on February 15, 2014. IPO’s have a “lock up” period of 90 days from the date of first issue. By backing this date up 90 days we have November 15, 2013. The company’s prospectus states that employees will be given the opportunity to purchase shares in the IPO.Continue Reading

Investing in Entertainment Stocks

The changes in the entertainment industry are dynamic and happening at warp speed. Total US commercial and media spending hit $1.189 trillion in 2012 and is expected to rise to $1.455 trillion by 2016. Here are some sub-group numbers within this total:Continue Reading

Ways to Search for Great Stocks

Today we want to look at ways to search for great stocks. For some investors this can be a daunting task. The three major exchanges, New York Stock Exchange, Nasdaq and Amex list 5,400 stocks. The three major “over the counter” exchanges list another 4,030. These are stocks that do not have a large enough market cap to qualify for listing on the three big exchanges. Add to this another 5,904 stocks that are listed in the “Pink Sheets.” Here we find mostly penny stocks that do not qualify for listings on any exchanges. Notice that this list is even larger than the three major exchanges put together. All toll we have 15,334 stocks to choose from. Now you can see why searching stocks is so difficult. Most brokerage houses have whole departments devoted to finding the best buys. Mutual funds also employ a cadre of stock pickers.Continue Reading