options

Equities

Buying undervalued stocks is traditionally the way investors seek to deliver returns over the long term. At Vega Capital, we utilise a differentiated way of looking at the markets in the United States and discuss it in today’s blog. There are two overarching algorithms we utilise, the first uses macroeconomic... Show More

As Peter Lynch once famously said “You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets”. Today I’m going to discuss some ways in which investors can protect their portfolios from downside risk. Show More

Alex Shevelev

Many investors wouldn’t have touched Whitehaven Coal with a hazmat suit on. It was January 2016 and thermal coal had just hit US$47/ton. Under the weight of $925m of net debt, Whitehaven’s market capitalisation had fallen by almost 90%. Forager’s investment case at the time made the downside clear –... Show More

Expert Insights

Drawdowns are an inevitable part of investing; even Berkshire Hathaway fell by more than 50% during the GFC. As growth investors, Nick Griffin from Munro Partners, says that it’s important to protect yourself both against stock specific risks, and market risks. Here, he explains their approach. “Most equities don’t outperform... Show More

James Gerrish

We use derivatives across the majority of our portfolios to improve performance and / or to reduce portfolio volatility. They help us consistently beat the market over time and improve the overall flexibility within our portfolios. We are almost entirely ‘sellers’ of options, and the bulk of our transactions are... Show More

Fred Woollard

Implied volatility is now trading at record lows across a variety of asset classes, especially in US equities. This means that option markets are priced in the belief that the economic and political outlook in America and the world is as stable as it has been for more than 25... Show More

Chad Slater

There was an excellent article on Livewire last week looking at some Listed Investment Companies (LIC) trading at a discount that offer good chances to profit for investors. Today, I offer another way that investors may not always consider: IPO investors to offer liquidity on the stock exchange. Show More