Introduction to Finance Part 4 (Final)

The fourth part of the introduction to finance essay series discusses fundamental and technical analysis, portfolio and strategy, dividends, and resource recommendations.

⚠️Disclaimer⚠️

I am not an expert on this topic. This is NOT a financial advice. Please do your own research. Know yourself and your risk appetite so your money won’t spoil your health and finances. Take it easy, do not rush, do not enter more money you are okay to lose it all. Back up your decisions with solid grounds so that you are investing, not gambling.

Fundamental and Technical Analysis

In financial investing, technicians and fundamentalists do not get along. Technicians compare the changing prices of investments over the course of a day to some forms. Although technical analysis may appear to be fortune-telling, it is actually sophisticated linear regression and the theory that history repeats itself.

Fundamental analysis, on the other hand, is more complicated and is based on actual data. The fundamental analysis begins with an examination of the global and national economic situations. Then, the sector of interest is examined. Companies in the sector and their market shares, investment and profitability problems, and sales potential are all investigated. Finally, we investigate the sales, market share, investments, and profitability of the company in which we wish to invest. A research method that progresses from general to specialized is used to conduct fundamental analysis. Fundamental analysis is essential for learning about the company and the industry.

Fundamental and technical analysis are complementary. We can make safer investments by considering short-term technical analysis and long-term fundamental analysis.

What is technical analysis?

It is a sort of analysis that provides forecasts based on past financial asset prices. Predictions in technical analysis are produced using trends, formations, graphs, and indicators.

What is support and resistance?

Resistance is the point at which the price of an investment instrument cannot exceed its upward trajectory. The point beyond which the price cannot fall is referred to as support.

How do candlestick charts work?

It is a sort of chart that displays an investment instrument’s highest, lowest, closing, and beginning prices. Candlestick charts can be made for a variety of time frames. The half instrument’s price fluctuations can be tracked on a daily, weekly, monthly, and annual basis. The candle’s size varies according to the gap between the opening and closing prices.

What does Doji mean?

It frequently happens when the market is looking for direction the half is undecided, and the opening and closing prices of a half instrument are the same.

What are head and shoulders formation and reverse head and shoulders formation?

In technical analysis, the head and shoulders formation is commonly used. Trading volume is a key aspect of this formation, which has three stages in the form of a left shoulder head and a right shoulder. The trading volume on the left shoulder is more than the volume on the right shoulder. It is not necessary to align the shoulders. The upside-down variation of the head and shoulders formation is the reverse shoulder formation. The trade volume on the right shoulder is higher than on the left shoulder in the reverse head and shoulders formation, and it continues to rise after the formation is finished.

What is the triangle formation?

Triangle formations are classified into three types: ascending triangles, decreasing triangles, and symmetrical triangles.

What does double bottom formation mean?

The reversal development of a double bottom implies that the downward trend has finished. At the first bottom level, prices are at their lowest. Prices that rise again as a result of reaction purchases eventually bottom out. Prices begin to rise significantly after the second bottom. These two bottoms do not have to be the same; in most cases, the second bottom is higher than the first.

What is a double-top formation?

It employs the inverse logic of the double-top configuration. After the first price peak, investors desire to realize their profits, and prices decline. Prices that rise again in an optimistic environment produce the second peak, which is not as high as the first peak. Investors who expect prices to decline sell when the double-top formation is finished.

What is a bottom or bowl formation?

Prices move horizontally for a period of time when the price of an investment instrument approaches the bottom. When the formation is completed, the share price rises. This pattern is most common in stocks with low prices and trading activity.

What is V formation?

It’s a technical analysis formation that happens when prices fall abruptly and then climb sharply again. A V formation is generally caused by shocking news.

What does a bar chart mean?

One of the most commonly used chart types in technical analysis is the bar chart, which displays the opening and closing values of an investment instrument as well as its lowest and highest prices. There is a purchasing demand if the closing price of the investment instrument is near to the lowest price and the selling pressure is close to the highest price. The price volatility lasts longer when the bar is longer. For traders, this position presents both an opportunity and a risk.

What are Fibonacci price relationships?

Fibonacci numbers, which are significant in mathematics, appear in nature as the golden ratio. These figures are also employed in the relationship of agricultural instrument pricing. The Fibonacci number series goes from 0 to infinity, with the following number being the sum of the two numbers before it.
The golden ratio is 1.618 when the greater of two successive numbers is divided by the smaller.

What is Fibonacci retracement or retracement?

The correction ratios are 0.618 and 0.382. If asset prices are rising, Fibonacci's theory predicts that if they fall 38.2% below the trend, they will rise again, and if the decline continues, they will fall to 61.8%.

What kind of method is moving average?

It is a technical indicator that helps predict future price movements by analyzing past price movements. It is feasible to estimate a time period for which an average is sought.

What is momentum?

It is a price change indicator that measures the rate at which prices change. If the momentum is less than 100, it indicates a buy signal; if it is greater than 100, it indicates a sell signal. In general, an area above the 120 level is overbought, and an area above the 80 level is oversold.

What is the Relative Strength Index (RSI)?

It is a measure calculated by comparing closing prices. The RSI scale ranges from 0 to 100. It is oversold below 30, and overbought beyond 70.

What does Moving Average Convergence Divergence (MACD) mean?

MACD, a popular technical analysis indicator, attempts to forecast price direction by measuring the proximity and distance to the moving average. The 26-day moving average is subtracted from the 12-day moving average to arrive at this figure. If the average determined is negative, the market is oversold; if it is positive, the market is overbought.

What is fundamental analysis?

By conducting a fundamental study of a publicly traded company, an investor hopes to answer the questions of whether to invest in that firm, whether it is inexpensive, and whether it has a medium and long-term future. In some ways, the true value of the corporation is investigated here. Fundamental analysis, which may be defined as a full report of the long-term investment strategy, is divided into four stages, from broad to specialized.

Since no country is immune to the general course of the global economy, it is required to evaluate the global economy, followed by macroeconomic data relevant to the country’s economy, and begin the investigation by identifying specific global hazards. A danger that impacts the entire world can flip even a solid company upside down, therefore fundamental research should be seen through such a broad lens. The structure of the company or companies in the area in which you are interested should therefore be well known.

Each industry has its own set of dynamics. Without these, it is impossible to examine the company. The study is completed in the last stage by completing a financial analysis utilizing all of the company’s information. As a result of the basic analysis, forecasts about the economy’s future are formed by examining the sector’s and the company’s risks and opportunities.

How should sector selection be?

Sector research is one of the most significant aspects of stock investing. Depending on the industry, it is required to have broad information by looking at several elements such as the sector’s profit margin, its exposure to economic crises, import-export balance, government incentives, and tax status.

So, if you buy airline stock, you should keep up with airline news. Some industries, on the other hand, are the first to respond to crises. People first reduced their purchases in the construction, automotive, and durable goods categories, followed by clothing, food, and other necessities. Sector sales, for example, are down. However, these sectors’ profit margins are often smaller than those of construction and automotive.

While a company’s investment may be optimistic for the investor, the long-term danger will increase due to debt. If the company in which you intend to invest has a holding structure, the investor will have a more favorable view.

Individual small investors may not have the time or skills to conduct these studies, therefore they profit from the reports issued by brokerage firms on a regular basis.

What do financial statements tell?

Investors in the stock market theoretically invest with the goal of becoming a partner in the company. Being a partner in the company does not imply receiving even a fraction of the earnings. Since you have become a partner, you must be familiar with the company’s basic financial statistics, such as sales, profit, capital, sales cost, debt, liquidity, stock, and receivables status.

Without your information, you cannot make an investment by believing what another decision-maker tells you. Investing is a sensible business.

What do the balance sheet and income statement mean?

Financial management is impossible without understanding the form of the balance sheet and income statement, which are regarded as the most significant of the business’s financial statements. These two fundamental tables provide an x-ray of the business.

Balance

The balance sheet is a basic financial statement that covers the company’s resources and assets and can be used to determine debt and liquidity ratios. A balance sheet contains both active and passive assets.
Current assets and fixed assets are examples of active assets. Cash assets, marketable securities, trade receivables, other receivables, and stocks are examples of current assets.

Trade receivables, financial fixed assets, tangible assets, and intangible assets are all examples of fixed assets. Short-term foreign resources, long-term foreign resources, and equity are examples of passive assets.

Foreign short-term resources, financial loans, and commercial debts Financial and commercial debts are long-term foreign resources.
Paid-in capital, profit reserves, and net profit for the period are all included in shareholders’ equity. The accounts on the balance sheet that encompass all liquid and non-liquid assets of the business are known as assets. Current assets are the part of the business’s assets that are liquid. This account includes cash money, time and demand accounts in banks, equities, and receivables.

Fixed assets are the business’s illiquid assets. This category includes business computers, automobiles, and real estate. This computation in the balance sheet helps sources identify whether the total assets of the business are supported by debt or capital. Long-term foreign resources comprise financial and commercial loans that must be paid over a longer period of time than a year. The account that comprises the capital of the firm founders, business profit, and reserves is known as equity.

Income statement

The income statement is a fundamental financial statement that calculates revenues and expenses as well as operating profitability ratios. The income statement’s most regularly utilized items are summarized below: gross sales, sales discounts, net sales, cost of sales, operational expenditures, operating profit and loss, and financing expenses.

Gross sales, often known as turnover, are products from which no internal expenses or costs have been removed. Gross sales profit is calculated by deducting the cost of sales after returns and discounts. After deducting the business’s sales expenditures, financing costs, and taxes, the net profit is calculated.

What does ratio analysis do?

Ratio analysis is like a business blood test. The relative relationships of the quantities in the financial statements are analyzed in ratio analysis, and information about the business’s financial status is obtained. Many ratios can be calculated using financial statements. What matters here is the interpretation of the calculated ratio. Financial ratios are meaningless on their own. As a result, conducting an analysis based on previous years of business or comparing it to competing organizations’ rates makes the analysis meaningful.

By what ratio is the liquidity of the business measured?

Liquidity ratios are used to assess a company’s capacity to pay its short-term loans and evaluate whether it has enough working capital.
The current ratio, assist ratio, and cash ratio are the three basic liquidity ratios.

A company’s financial strength is reflected in its current ratio. Current liabilities can be reduced to increase the company’s current assets. A current ratio of 2 is deemed adequate. Short-term foreign resources are predicted to quadruple the company’s overall current assets.

The current ratio alone cannot be used to make a decision regarding the business’s financial status. Saying that the current ratio is favorable if it is 3 suggests that we are simply evaluating the cash condition; nevertheless, we cannot grasp the business’s stock and receivables state with this ratio.

Current ratio = Total current assets / Total short-term foreign resources

The acid test ratio compares a company’s most liquid assets to its current liabilities. This ratio determines whether a company can meet its obligations even in the face of adversity. In general, an acid test ratio of one is optimal. However, in a crisis, this condition may alter.

Acid-test ratio = Total current assets — Inventories- Other current assets / Total short-term liabilities

The cash ratio determines how much of a company’s liquid assets can be used to cover its short-term debts. The ideal cash rate is 0.20. If this value is high, it implies that the company’s cash values are being wasted. This is referred to as a potential loss of earnings for the company.

Cash ratio = Liquid assets (cash + banks and cash equivalents) / Short-term foreign resources

By what ratios is the indebtedness of the business measured?

Financial structure ratios are used to assess how a company’s resources are distributed and the structure of its long-term obligations. The business’s debt-equity distribution may vary depending on the industry in which it operates, its age, and its investments. As a result, each company’s resource allocation should be understood in light of its unique circumstances. Borrowing is typical for businesses; what matters is the balance of debt and private capital. This balance may shift based on the industry, macroeconomic environment, and investment period.

The financial leverage ratio indicates what percentage of the company’s assets are made up of foreign resources, i.e. debt. A high ratio shows that there is an excessive amount of debt. A high financial profitability ratio is suitable for businesses with high profitability:

Financial leverage ratio = Total foreign resources / Total assets

The equity capital to total assets ratio indicates how much of the company’s total assets are made up of equity capital. This is one of the basic rates that banks look at when giving loans:

Private resources / total assets

The ratio of short-term foreign resources to total resources, or the percentage of assets financed by short-term foreign resources:

Short-term foreign resources / Total resources (total liabilities)

Businesses either divide their profits to shareholders or keep them within the company and use them for new agriculture. The greater this number, the better:

Profit reserves — accumulated losses / Paid-in capital

The fixed asset to permanent capital ratio defines which source and to what extent the corporation funds its fixed assets. Calculating this ratio is critical, especially in organizations where equity capital does not cover all fixed assets.

Fixed assets / permanent capital (equity + long-term foreign resources)

The ratio of tangible assets to equity can be used to calculate what percentage of an enterprise’s tangible assets are covered by equity capital. If this ratio is equal to or less than one, it signifies that all of the company’s tangible assets are funded by equity capital; if it is larger than one, it means that foreign resources other than equity capital are used to finance the company’s tangible assets.

Tangible net assets / Equity

By what ratios is the operational efficiency of the business measured?

Activity ratios are used to determine whether a company’s assets are being used efficiently. Some examples include inventory turnover ratio, receivables turnover ratio, net working capital turnover ratio, debt turnover ratio, operating cycle, current assets turnover ratio, fixed assets turnover ratio, total assets turnover ratio, and equity turnover ratio.

By what ratios is the profitability of the business measured?

Although profitability is no longer the only need for business sustainability, it is still one of the most crucial. As a result, firms desire to track profitability. Sales, equity, and assets can all be used to calculate profitability. Some of these are profit-to-sales ratios, financial profitability ratios, economic profitability ratios, and interest coverage ratios.

What do consolidated and solo data mean?

Consolidated is a synonym for merged. A consolidated activity report is a financial report that combines the financial information of the parent firm and all of its subsidiaries and affiliates. Unconsolidated, or a solo activity report, is a report that contains solely the company’s financial information.

Where to follow company news?

It is a legal and public disclosure portal where you can find all sorts of information and news regarding publicly traded corporations. The following information and news are available:

Financial reports, all types of special situation disclosures that may affect the value of the share and investors’ investment decisions, information from company management, changes in this information, general assembly, capital increase, dividend payments, debt instrument transactions, right to exit, right to sell, removal from partnership, merger, and division. The takeover, share acquisition via a takeover bid, and registered capital ceiling transactions are all examples of registered capital ceiling transactions.

When are the companies’ balance sheet disclosure periods?

Companies registered with BIST are required by law to submit quarterly and annual activity reports. Annual reports must be delivered within 60–70 days, and quarterly reports must be delivered within 30–50 days.

“Even the intelligent investor is likely to need considerable willpower to keep from following the crowd.” — Benjamin Graham.

Portfolio and Strategies

What should you pay attention to when choosing shares?

Stock markets have produced many indices. These indices often include the most actively traded stocks. We may say that the most traded stocks are also the ones that investors want the most, i.e. the ones in which they have the most faith. enterprises in the BIST-100 index, for example, are generally good enterprises. Those in the BIST-30 index are the best as well. To feel more comfortable, investors tend to gravitate toward stocks with strong brands.

Some stocks have been left behind. There could be an erroneous transaction or piece of news circulating regarding the stock. First, consider the share’s profitability, investment prospects, sales, or partnership status. If it’s in a bad circumstance, it’s most likely been twisted. So someone is tampering with shares, which is illegal. For investors who are unaware of this, after a while, they buy the stock, and it begins to collapse rapidly, which is referred to as a “crash shake” in the market.

What is the risk-return relationship?

There is too much risk if your earning anticipation is really great in a short period of time. You make an investment with the hope of a return, and you accept risk in exchange. Finance and economic definitions are theoretical and never fully match actual life.

How are investors divided into groups according to their risk approach?

Investors are classified into three types: risk-neutral, risk-loving, and risk-averse. Their levels of risk may differ.

What is the real return?

The real return is the return after adjusting for inflation. The return on investment should be measured in actual terms, especially in an inflationary economy.

How to understand whether a stock is cheap or expensive?

The most common ratios are the P/E and PV/DD ratios. Investing in a firm solely based on these parameters may not produce very beneficial results. It is, however, a method for determining whether the stock is cheap or expensive.

P/E = Price/Earnings = Price of Share/Earnings per share

The P/E ratio represents the investor’s assessment of the company’s worth. If an investor believes that the company’s future is good, the P/E ratio rises. However, it should be noted that this is not always the case. In general, the P/E ratio is recommended to grasp the status of similar companies relative to one another; otherwise, a loss-making company’s P/E ratio may be high.

MV/BV = Market Value / Book Value = Number of shares * Share price / Equity

If the MV/BV ratio is one, the share’s market and book values are equal. A company’s P/E ratio is normally assumed to be one or near one, and if it is greater than one, the stock is deemed overvalued.

In both circumstances, it would be beneficial to assess the position of the companies under consideration in relation to their sectoral environment in order to make a more informed investment decision. Comparing an automotive company to a retail company, for example, is analogous to comparing apples and pears. As a result, it is vital to examine automotive businesses’ P/E and EV/V ratios.

Stocks with low P/E and EV/V ratios are often preferred in the stock market. However, it is risky to plan investments based on these rates without first understanding the company’s structure, investment prospects, and growth objectives. The valuations of unvalued shares, shares proclaimed concordat and shares with partner difficulties are tiny, but shares in this scenario should be avoided.

What does it mean that expectations are priced in the market?

The market is governed by expectations rather than actual events. Positions are typically chosen and priced before developments occur.
Volatility is caused by the mixture of many distinct expectations, which makes financial markets more difficult to predict and intimidates investors.

What is the cost-averaging strategy?

It is a portfolio management method that focuses on when the investor’s preferred investment vehicle should be purchased. Portfolios that make recurring purchases at regular times are used for long-term investments. An investor who purchases shares on a monthly basis will do so at various price levels.

Although the decline in prices signals that the investor is losing money in the near term, it is more beneficial in terms of costs because the portfolio will expand in the number of shares over time. A good fundamental study of the stock of interest, as well as patience, are essential for this technique. It is a good method, especially for small investors, and it is typically noticed that selecting a well-established industrial company yields a successful result.

What is a stop-loss strategy?

The investor may be exposed to fast price swings in the investment, especially if he intends to make a profit by buying and selling in a short time. As a result, a stop-loss point must be established. For example, someone who purchases a stock at $8 may declare that if it goes below $5, he will sell it, accept the loss, and no longer own it. Developing a strategy to combat declines can help to reduce losses.

What is hedging?

When managing their portfolios, investors face risks such as foreign exchange, interest, liquidity, and non-repayment. These dangers cannot be avoided, but they can be mitigated. Hedging is a risk management technique. Futures contracts can be used to control risk, particularly against exchange rate and interest rate risk.

What is a hedge fund?

It is a private hedge fund for those who invest more than a specific amount and are considered qualified investors. Hedge funds typically invest in equities and futures contracts. These funds, which offer safety, are fraught with danger.

What is volatile?

The change in the pricing of financial assets is referred to as volatility. The VIX index, sometimes known as the fear index, is an index that monitors volatility in worldwide markets. While this indicator is deemed low if it is less than 20, it is considered high if it is greater than 30 and measures fear in international markets.

What is a portfolio and why is portfolio diversification done?

A portfolio is a collection of several financial instruments. Putting together a portfolio of risky products with varying return rates can help you lower your overall risk. While it is logical to build a portfolio with diverse instruments, Markowitz believes that extending it too much lowers traceability.

What are the indifference curve, efficient portfolio, efficient frontier, and optimal portfolio?

Indifference curves are curves that indicate the relationship between investors’ risk and return preferences. These curves depict how much return investors can expect at various levels of risk. The curve consisting of portfolios with the highest return at a specific risk level and the lowest risk at a certain return level is the efficient portfolio of portfolios with the best risk-return relationship. The optimal portfolio is defined as the point at which the uncertain frontier intersects the indifference curve.

What do portfolio management companies do?

Portfolio management businesses authorized by the CMB are firms that manage investment funds and pension funds using specific strategies. Professional knowledge is required to manage funds in which multiple risk levels and investment instruments are combined to achieve an asset distribution. Investment funds that offer a convenient savings procedure, particularly for small investors in terms of time and knowledge, may be beneficial in the long run, depending on the risk and return situation.

What is investment consultancy and who can do it?

The activity of offering written or spoken comments and recommendations to investors regarding financial instruments and related guidance is known as investment consultation. These consultants must develop an investment strategy by assessing the aims, risk preferences, financial needs, and data situations of those who would invest. They must make their analyses credible and backed up by data and reports. Investment consulting services can only be supplied to brokerage firms, portfolio management businesses, and banks that do not take CMB-authorized deposits. Nobody else can offer investment consulting services.

What do algorithmic transactions mean in the stock market? What is an algo?

These are transactions that reflect automatic purchasing and selling. The advantage is that you can trade without worrying about investor psychology. At the same time, folks with limited time can benefit from this. On the negative side, as more transactions are completed, the commission value may rise. For investments with a low transaction volume, algorithmic procedures may not produce accurate outcomes. You might search up Kvanç zbilgiç, a highly important name in this regard in Turkey.

“Rule #1 Don’t Lose Money, Rule #2 Don’t forget the rule #1.” -Warren Buffer

Dividend

What is a dividend?

Dividends are profit distributions. There are two types of returns from owning shares: the return from purchasing and selling the shares, and the profit share from being a partner in the invested company. Dividends are not well known in Turkey because the majority of companies listed on BIST do not pay regular dividends and investors do not wish to retain shares for an extended period of time. In Turkey, the average length of time an investor keeps a share is 13 days; in the United States, it is 13 months.

What is dividend retirement?

It is the holding of a portfolio of stocks until retirement, generating passive income from dividends. This approach does not involve regular trading. Of course, if an acquired stock continues to degrade, it cannot remain in the portfolio.

Should businesses distribute profits?

Profit distribution is not possible if the company has lost money. If the profit is distributed in cash, the current assets part of the balance sheet will be reduced. Profit distribution may not only be made in cash; there are other methods, the first of which is to distribute free shares; thus, capital increase is achieved by adding the profit item to the capital and the common share can be supplied for both the shareholders and the firm with no cash outflow.

Companies in a growth phase that require capital do not pay dividends. The fact that a corporation pays dividends does not guarantee that it will continue to do so. The most relevant indicator is the BIST dividend index.

What is the difference between paid and free capital?

Companies listed on the stock exchange can raise their capital in two ways: paid and free. In free capital, the company’s resource distribution changes, whereas in certain capital, the company’s total assets expand. The value of a company’s shares increases as its paid-in capital is increased.

What is the dividend payout ratio?

A stock investor might expect two kinds of returns. Capital gains and dividend yield are examples of this. The dividend yield ratio indicates how much dividend a unit of stock pays to the investor. Profits are distributed to shareholders or used to make new investments by businesses. Profits are often devoted to fresh investments in enterprises that are in the development stage.

Dividend payout ratio = (Cash dividend amount per share/share market value) * 100

“Learn every day, but especially from the experiences of others. It’s cheaper!”— John C. Bogle

Resource Suggestions

What are the books you should read to improve yourself in the stock market?

To begin, you must grasp economics and money. Economics cannot be grasped just by watching the news or listening to experts. Here is a list of stock market books that you can read without getting mired down in technical jargon:

• Easy Economy by Mahfi Eğilmez
• Money Movements by Yaşar Erdinç
• Don’t Let It Go to Waste by Orhan Erdem
• Irrational But Predictable by Dan Ariely
• The Logic of the Irrational by Dan Ariely
• Rich Dad Poor Dad by Robert Kiyosaki
• The Invisible Economist by Tim Harford
• Economic Conversations with My Daughter by Yanis Varoufakis
• Invisible Heart by Russell D. Roberts
• Finance for Everyone by Aysel Gündoğdu
• Write Money, Ali Yaz by Ali Yaz
• The Richest Man in Babylon by George Clason
• Guide to Smart Investor with Questions by Aysel Gündoğdu
• Economics Book by James Meadway
• 23 Things You Didn’t Know About Capitalism by Ha-Joon Chang
• Economics Guide by Ha-Joon Chang
• Memoirs of a Stock Speculator by Edwin Lefevre
• Animal Spirits by Robert J. Shiller
• The Black Swan by Nassim Nicholas Taleb
• Decision Moment by Richard Lewis Peterson
• Investors and Technical Analysis Under Scrutiny by Yaşar Erdinç
• Against the Gods by Peter L. Bernstein
• Hedgehogs by Barton Biggs
• The Four Pillars of Investment by William Bernstein
• Managing the Waves by Howard Marks
• Alone in the Stock Market by Peter Lynch
• Fishing for Carp by George A. Akerlof
• Warren Buffett and the Interpretation of Financial Statements by Mary Buffett
• A Small Book for Valuation by Aswath Damodaran
• Visual Investor: Technical Analysis in the Stock Market by John J. Murphy
• Applied Fundamental Analysis and Valuation by Aysel Gündoğdu

Stock Market Movies Suggestions

• Wall Street (1987)
• Rogue Trader (1999)
• Boiler Room (2000)
• The Bank (2001)
• The Corporation (2003)
• Enron: The Smartest Guy in the Room (2003)
• Zeitgeist: Moving Forward (2007)
• Capitalism: A Love Story (2009)
• Inside Job (2010)
• Wall Street: Money Never Sleeps (2010)
• The Company Men (2010)
• Too Big to Fail (2011)
• Margin Call (2011)
• The Wolf of Wall Street (2013)
• The Big Short (2015)
• Money Monster (2016)

Technical analysis apps: TradingView and Investing.

Fundamental analysis applications: F-ray, Queenstock, Fastweb.

10 Popular Tips for Investors

1. Don’t keep your investments physically at home. Money should not rest; but work.
2. Don’t borrow using foreign currency or gold.
3. Don’t rush into every investment you hear about.
4. Protect your money against inflation.
5. Allocate some part of your money for savings first, then spend.
6. If you can’t increase your income, cut your expenses.
7. Make a plan for your retirement.
8. Embrace the long-term in your investments.
9. Don’t try to have everything at once.
10. Know yourself and test your risk appetite.

Resources

[1] Investopedia.com, (2023), Investopedia:

[https://www.investopedia.com/]

[2] Fool.com, (2023), Motley Fool:

[https://www.fool.com/]