Weekly Review
Can the Government Take Your Bitcoins?
Reading the words can be chilling for Americans. On April 5, 1933, the government confiscated the gold of American citizens. It didn’t even require an extensive debate or an act of Congress. This action was taken under an executive order, President Franklin Roosevelt’s infamous Executive Order 6102.
The purpose of the order was clear from its name, “Requiring Gold Coin, Gold Bullion and Gold Certificates to Be Delivered to the Government.”
If the government can take your gold, can they also take your Bitcoin? Continue reading here.
Beyond P/E Ratios: A Better Way to Evaluate Companies
The core of the value investing process is to apply a valuation tool to stocks in order to identify whether the stock if overvalued or undervalued. These metrics often combine a stock’s price with a piece of information found in the financial statements.
One example of a valuation metric is the price to earnings (P/E) ratio. To find the P/E ratio, analysts divide the price of one share of stock by the company’s earnings per share (EPS). In general, low P/E ratios generally define a stock that is undervalued and high P/E ratios are associated with overvaluation.
In this article, we discuss other effective valuation methods. Continue reading here.
Watch For Mergers and Acquisitions, and Big Gains, In This Sector
Mergers and acquisitions (M&A) are among the events that move markets. But, M&A activity tends to be unpredictable. The recent acquisition of Dr Pepper Snapple Group, Inc. (NYSE: DPS) shows both the unpredictability and the potential rewards.
The announcement of the deal was a surprise. However, it was a pleasant surprise to share holders of DPS who saw the stock price rise by more than 32% on the morning the deal was announced.
Continue reading about this pleasant surprise and more, here.
Real Estate Income Without Owning Real Estate
Investors often understand the value of a real estate investment. Property values tend to rise over time and can deliver steady income as they appreciate. Of course, real estate prices can fall, and they have fallen in the past, but investors can diversify to reduce the risk of price declines.
You can enjoy real estate income without actually owning real estate. Continue reading here.