For years, the "selling short against the box" technique allowed you to lock-in capital gains you currently have, but report them in the subsequent year. It was a frequent practice in December up until the late 1990s when Congress wrote new tax laws to prevent this. But there are still ways to make this work. Download the report to get background on the old technique, learn the new tax rules, how to effectively use the technique today, and the risks involved.
In a down or flat market, it can be tough to invest or trade. One way to raise cash in a slow market, without selling positions, is to sell covered calls. If you are right about the overall market trend and the trend of your particular stocks, you can generate a modest return while waiting for overall conditions to recover. Download this report to learn the terminology, when to use the tactic, your choices and risks when you sell.
The Dogs of the Dow are the ten Dow Jones Industrial Average stocks with the highest dividend yield. These high-quality stocks could provide relative security during turbulent summers for the stock market. Risk-averse investors may want to consider these stocks for the intermediate term. Download the report to learn about this investment approach, its advantages, when they are defined, and their expected performance in various market conditions.
Chief Market Strategist Damon Southward has developed two distinct styles over the course of 18 years – one of the intraday trader, and the other as a yield-focused investor/speculator style. He considers trading “working hard” and yield investing “working smart.” Download this report for an introduction into “higher yield” investing, gain an understanding of how Damon goes about building a yield portfolio, and learn his cash management strategies.
Down or flat markets can be frustrating for most investors. Yet these difficult periods are an extraordinary opportunity for growth investors who know what to look for. The price action you see in individual stocks during a correction provides specific clues that allow you to identify who the new leaders will be once the downturn has run its course. Download this report to learn about Relative Strength, how build and maintain a watch list of quality growth stocks, and why timing is a crucial element.
There has been a notable, upward adjustment in market interest rates of late, both here and in Europe, and that has led to some erratic behavior in stock markets both here and in Europe. Notwithstanding the spike in rates, it would be remiss not to add that market rates are still quite low historically speaking. Download this report for insight on the key economic factors investors should monitor, what they need to be aware of, and which stocks and sectors could benefit from higher rates.
The secret to successful investing is learning your own style: meaning what works for you. There is no "correct" approach that everyone should learn. However, everyone needs to learn how much risk they can comfortably handle. It is the single most important investment issue for long term success in the market. Download this report to get a historical view and learn the proper definition of risk, how to avoid the concept of "house money," and see real examples.
When something seems like a sure thing, it is understandable that one might think it's simply wasting money paying for some form of insurance to guard against the thing that won't happen. Potential losses could be minimized, or even avoided, if one is hedged for the possibility of the inviolate position getting violated. Download this report and get history on some ideas that have a sure-thing aura about them and learn a number of approaches that can be used to hedge for downside risk.
Stop loss orders are some of the best techniques available to investors. Both are designed to sell your stock "automatically" when certain events occur. Download this report to understand these techniques and the difference between the two, because the circumstance under which the order is executed is different.
With a volatile market, a fear on everyone's mind is committing new money to the market. The worry is that what you invest today may lose 5% or 10% if the market declines. How can you avoid this, but still commit money to the stock market? One possible approach to limiting downside risk is to buy a put option at the same time you purchase your stock. Download this report to learn how it works, what you need to calculate before buying, and whether it’s cheaper to reduce or eliminate risk.
Margin is borrowing money from your brokerage house for the purpose of purchasing additional stock. Many people blame the collapse of the stock market in 1929 on the low margin requirements of only 10%. While the 50% and 33% margin requirements help keep the market orderly, they do nothing at all for limiting your personal loss. Download this report and learn the requirements, which stocks are marginable, how to calculate your margin capability, and the risks involved.