Benjamin Graham | Enter after the market has gone down and keep booking profits after every significant rise. Well, the Graham strategy that I outlined does exactly that and helps you do the right thing from a long term perspective, says Rahul Shah, the Co-Head of Research at Equitymaster.
CAPE is Cyclically Adjusted PE Ratio, which along with using average earnings of the past also emphasizes using real earnings rather than nominal earnings
Checklist when price to book value becomes a trap: - When the stated value of assets in the books is higher than their realisable value - When a company’s balance sheet contains too many intangibles - When the company has huge contingent liabilities - When a large part of the liability is shifted to the future
The last few months have been a bargain hunters’ market with investors picking up stressed stocks. But many of these bargains could be traps.
Equities form an important part of any portfolio allocation. Although debt and fixed income might not fluctuate significantly on a day to day basis but the right amount of equity exposure in your portfolio can help you meet your long-term goals.