1 / 18

GATHERING INVESTMENT INFORMATION

GATHERING INVESTMENT INFORMATION. CHAPTER TWELVE. Practical Investment Management Robert A. Strong. Outline. Research Philosophy Know Thyself Screening Resources at the Library Standard & Poor’s Publications Mergent / Moody’s Publications Company Information Annual Reports

gerek
Download Presentation

GATHERING INVESTMENT INFORMATION

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. GATHERINGINVESTMENT INFORMATION CHAPTER TWELVE Practical Investment Management Robert A. Strong

  2. Outline • Research Philosophy • Know Thyself • Screening • Resources at the Library • Standard & Poor’s Publications • Mergent / Moody’s Publications • Company Information • Annual Reports • SEC Filings • The Prospectus

  3. Outline • Investment Letters • Advisory Letters • The Popular Press • Computer / Internet Services • Screening Services • Investment Seminars • Brokerage Firms • Bank Trust Departments • Employee Relation Programs • Exchange Seminars

  4. Research Philosophy • Before conducting any research, decide what kind of information will be useful. • Know thyself : Knowing their own attitudes toward various issues can be a big help in allowing investors to make productive use of their research time. E.g. fundamental analysis, technical analysis, the experts’ approach. • Screening is the process of sorting through the list of potential investments.

  5. Categories of Investment Information Insert Figure 12-1 here.

  6. Standard & Poor’s and Mergent / Moody’s publish easy-to-use reference material that can be found in most public libraries. Resources at the Library

  7. Resources at the Library • Standard & Poor’s Publications - monthly stock guide - quarterly company stock report - bond guide - weekly Outlook (with highlights, summary opinions and statistics) - stock market guide (S&P 500 stock reports) - earnings forecaster (compilation of estimates) - annual corporation records with daily updates

  8. Resources at the Library • Mergent / Moody’s Publications - detailed manuals - weekly dividend record - bond record - quarterly handbook of common stock

  9. Numerous audited publications are required for publicly traded firms. Company Information • Annual reports contain corporate statements about the results of the previous year as well as the prospects for the future.

  10. SEC filings - 10-K report (annual report) - 10-Q report (quarterly report) - Schedule 14A (proxy statement) - Form 144 (insider’s “intent to sell” document) Company Information • The prospectus outlines the terms of the intended transaction, e.g. issue of new debt securities

  11. Investment Letters Investors often consider publications that make investment recommendations or forecasts. • Advisory letters offer specific investment recommendations. - Value Line Investment Survey (with timeliness and safety rankings) - Institutional Brokers Estimate System (I/B/E/S) and First Call - Zack’s Investment Research - research information from brokerage firms

  12. Value Line Investment Survey Insert Figure 12-9 here.

  13. The popular press offer more general information, although recommended investor behavior may still be suggested. Investment Letters - The Wall Street Journal - Barron’s (weekly) - Investors Business Daily - Forbes (twice monthly) - Smart Money - other magazines

  14. Computer / Internet Services • One group of computer services is static databases with periodic updates, used primarily for security screening. • Another group is dynamic with continuous updates, used for augmenting the results of other security selection activities. • Many databases and the home pages of many listed companies and investment-related firms and organizations can be found on the Internet.

  15. Screening services use static databases with periodic updates. Screening Services - Value Line Investment Survey for Windows - Compustat - CRSP tapes - Academic Search Premier - Info Trac - Disclosure

  16. Investment Seminars • Local brokerage firms often hold educational seminars for their current and prospective customers. • Bank trust departments also hold seminars. • Some employee relation programs provide investment information to boost employee morale. • The securities exchanges offer educational sessions too.

  17. Review • Research Philosophy • Know Thyself • Screening • Resources at the Library • Standard & Poor’s Publications • Mergent / Moody’s Publications • Company Information • Annual Reports • SEC Filings • The Prospectus

  18. Review • Investment Letters • Advisory Letters • The Popular Press • Computer / Internet Services • Screening Services • Investment Seminars • Brokerage Firms • Bank Trust Departments • Employee Relation Programs • Exchange Seminars

More Related