Monthly Archives: September 2016

Nutmeg Performance Review – 2 year results 2

Almost two years ago to the day, I started my investing journey by opening up my first ever stocks and shares account with nutmeg. As a novice investor who knew nothing about the stock market, Nutmeg seemed to be the perfect choice. The platform creates professionally managed portfolios based on your risk profile all for the low cost of 0.95% of your assets under management. When I initially joined nutmeg, I was optimistic with expectations of receiving returns of about 7% per annum, the market average. Whilst the fee of 0.95% would certainly eat into my returns, I believed the professionals working at Nutmeg would be able to use Tactical […]

You Don’t Have As Much Retirement Savings As You Think!

Many people. especially those in the baby boom generation, have this perception that the world is awash with savings. Yes, the post-war generation is wealthier than any before it. But the ultimate value of any investment depends upon being able to convert it into cash, to be able to realise its purchasing power. According to a recent Global Wealth Report by Credit Suisse, the world’s accumulated wealth – around $250 trillion – is almost certainly incapable of realisation at its paper value. This headline number thus vastly overstates the supposed savings glut. Why are savings figures so vastly overstated? Most of the worlds savings are held in two forms: Real […]

Hikma Stock Purchase (LON: HIK) – Fast Growth and High ROIC

In a previous post, I mentioned that I have started to purchase stocks on a monthly basis using my brokers regular investment service. The rational behind this was that it is impossible to time the market and though stock prices may be highly inflated now, there is no knowing how long this will last or if this is the new normal. By investing on a regular basis, I will not miss out on any gain in the market. Also, there is always pockets of value to be found and by investing once a month, I force myself to look hard and find businesses that offer value. For my September stock […]

Debt Plans to Consider Instead of Bankruptcy

It seems that these days everyone is in debt. With credit readily available and interest rates at historic lows, people are digging themselves into a debt blackhole. Whether it be by credit cards, payday loans, store cards, overdrafts, graduate loans, business debts or personal loans, being in debt takes it toll mentally and financially and most people in this situation may consider filing for bankruptcy. Whilst bankruptcy may be good in some situations as you can get a fresh start, it has severe repercussions. Some drawbacks of debt include you may need to give up assets including your home & car, your bank accounts will be frozen, income in excess […]

Richard Branson’s letter to his younger 25 year old self!

One of Britains best loved entrepreneurs, Richard Branson, recently wrote a letter to his 25 year old self. As we have come to expect from Mr Branson, this is nothing short of brilliant. There are some real gems and words of widow in the letter. Relax and enjoy… Dear Richard, I’m writing to you from 40 years in the future. You’re now 65-years-old, and while you’ve lived a happy and healthy life with no regrets, I have some advice for you. Congratulations on launching Virgin. I know you’re still trying to find your feet and work out the ins and outs of business, but stick with it. I can guarantee […]

Use Return on Equity (ROE) to find great stocks like Warren Buffet !

One of Warrant Buffets best criteria for picking stocks is using the Return on Equity Formula. Just take a look at the annual report of Berkshire Hathaway – the company Mr Buffet Runs – for proof of this. Under acquisition criteria number three, it states that a company must generate a good return on equity (ROE) while employing little or no debt. So why is ROE such an important metric? The Return on Equity reflects the management’s ability to allocate capital efficiently and effectively. It measures how much return is generated for every dollar of shareholder equity. Companies with high ROEs – greater than 155 – have the ability to […]

The Number 1 Rule Wealthy People Live by

There are countless articles online that show what the wealthy do differently as compared to the rest of us. Most self made millionaires have similar characteristics with one another and this research has shown has allowed them to be successful and wealthy. Some of these traits include: setting goals, networking, avoiding procrastination, actively reading, never giving up and having a mentor. Whilst all these characteristics are important if you want to become wealthy, I believe that there is one thing in particular people need to do if they want to become rich – Live Within Your Means. Wealthy people have been able to build up their bank balances because they […]

Invest Money to Buy Your Freedom – Escape the Rat Race! 5

I know many people working in jobs they hate. They find the work that they do soul-crushing but they have to do it in order to put food on the table and pay their bills. For them, quitting their job is an almost impossible task as by leaving their work, it could take month to find a new job and the chances are extremely low that they will find a job that they like. So many stay at there same job till retirement. If you are in this position, retirement may seem a life time away. So if you are in a soul-crushing job that you absolutely dislike, it should […]

Make more money by doing this one thing

Everybody wants to make a quick buck. But the irony of life is that those who want to make money the fast and easy way almost always end up at the bottom of the wealth ladder. Many concepts or ideas that are advertised as making you quick easy money such as the lottery and gambling are only there to take your money whilst still keeping you with a lingering interest so that you can try that ‘one more time.’ The problems with things such as the lottery which promises you obscene amounts of money the quick and easy way is that the odds of you winning suck. Have you ever […]