Education

Below are all our articles under the above category.

rule of 72

Rule of 72: Here’s how investors can use it to their advantage

Here’s why The Rule of 72 might be useful to consider when investing in Stocks Investing in stocks can be…

cooking the books

Cooking the Books: Here are 4 manipulative ways for your stocks to be manipulated

Have you heard of the term cooking the books? Cooking the books is a term used to describe the illegal act…

stock market indices

How are stock market indices like the ASX 200 determined?

Stock market indices like the ASX 200 and S&P 500 are used as barometers for the performance and overall health…

signs to buy a stock

Pay attention to these 5 signs to buy a stock

What are the most important signs to buy a stock on the ASX or any other stock exchange? In this…

best months to buy stocks

Here are the 3 best months to buy stocks

What are the best months to buy stocks? It is difficult to answer this question because there will always be…

stocks burying bad news

Stocks burying bad news: Here are 4 types of bad announcements that companies try to slip past you by releasing after 4.10pm

Stocks burying bad news is something that all investors will encounter at some stage in their investing journey. But some…

asx query

Why do companies get an ASX query? These are the 3 most common reasons

In this article, we look at why your company might get an ASX query? Specifically, the 3 most common reasons.…

gross margins

Here’s why you need to watch gross margins as much as net margins

When looking at margins, gross margins are not typically considered by retail investors. But by considering them, you might gain…

investing in stocks for retirement

Investing in stocks for retirement: Here’s why you should give it serious thought

Investing in stocks for retirement is an excellent option to consider. Investing in stocks can help you build a substantial nest…

best books about share trading

Here are the 5 best books about share trading

Books about share trading are a great way for beginners to get started and for more experienced investors to gain…

consensus estimates

Consensus estimates: How accurate are they and why is it such bad news if companies miss them?

If you’ve read some of our articles before, you might hear us talk a lot about consensus estimates. You may…

Stage 3 tax cuts

Stage 3 tax cuts start in July: Which ASX stocks will benefit and which ones could lose?

Starting on July 1, the so-called stage 3 tax cuts will come into effect in Australia. These tax cuts, especially…

How to make money in the stock market

How to make money in the stock market? Here are the 2 most reliable ways

How to make money in the stock market? Simply put, it is to buy a stock, whether on the ASX…

top investing mistakes

Here are the 5 Top investing mistakes and how to avoid them

Sometimes, losing money in the stock market can occur due to bad luck, but other times it is due to…

valuing stocks

Valuing stocks: Here are the 4 best methods used by investors

Valuing stocks can be an intimidating prospect for many investors, especially those just starting out. However, there are several well-established methods…

directors sell shares

4 of the strangest reasons directors sell shares in their company

What does it take for directors to sell shares in their company? Given it can be perceived as a sign…

anti woke ETFs

Anti Woke ETFs: Are they for real and do they practice what they preach?

Have you ever heard of so-called ‘Anti Woke ETFs’? If you’re sick of companies that are big on ESG, this…

why was Charlie Munger so famous

Why was Charlie Munger so famous?

In light of his recent passing, you might be wondering why was Charlie Munger so famous? If you’re reading this…

standard deviation

Here’s why looking at a stock’s standard deviation is critical for investors

A stock’s standard deviation is not something that many investors tend to look, even some professional investors. It is slightly…

substantial shareholders selling

5 ASX Stocks that have seen substantial shareholders selling recently

When you see substantial shareholders selling their shares in their company on the ASX, whether all of them or just…

NZX companies on the ASX

NZX companies on the ASX: Here are 4 peculiar ASX stocks you probably didn’t know were NZX listed too

There are roughly 60 NZX companies on the ASX, equating to more than a third of the total number of…

remuneration report strike

6 companies that suffered a remuneration report strike this AGM season

Each AGM season, there are always a handful of ASX companies that endure a remuneration report strike. All companies have…

the ASX is shrinking

The ASX is shrinking for the first time in 18 years – will this disturbing trend reverse in 2024?

“The ASX is shrinking for the first time in 18 years” – say the headlines in much of the media.…

bad ASX IPOs

5 bad ASX IPOs that we think will bounce back…eventually

Yesterday we looked at bad ASX IPOs (and some foreign ones too) that bounced back. The lesson we hoped investors…

santa rally

Here is what a Santa rally is and whether or not long suffering investors can expect one in 2023

There is a stock market phenomenon known as a Santa rally. We thought we’d take a look at what this…

IPO prospectus

When looking at an IPO prospectus, here are the top 5 things to look out for

When companies list, they will commonly put out an IPO prospectus – a formal document that provides detailed information about…

the alpha of a stock

The Alpha of a stock: Here’s why it is important for investors to know

The Alpha of a stock is another important investing metric that stock investors need to know about. In this article,…

contrarian stock ideas on the ASX

Here are our top 4 contrarian stock ideas on the ASX

Many investors are looking for contrarian stock ideas on the ASX. After all, Warren Buffett said to be greedy when…

activist investors

Activist investors: Here’s what you need to know about them and 4 famous activists to watch out for

Hear the term ‘Activist investors’ and you might think GetUp, the progressive activist group that forced Woolworths to hold an…

beta

Why a stock’s beta is important for investors to know about

In this article we look at the concept of Beta in relation to stocks. Beta (sometimes represented by the figure β)…

government bonds

Government bonds: Why are they so important in financial markets and why are they so high now?

Most investors will have heard of government bonds and know that they are important to financial markets. But not all investors…

lehman brothers collapse

Here’s why the Lehman Brothers collapse was such a watershed moment

The Lehman Brothers collapse in September 2008 was one of the major triggers for the global financial crisis. This event…

remuneration strike

Here’s how to get a remuneration strike at an AGM

This AGM season, like any other, a remuneration strike is one of few notable things that may happen at a…

SGX

The ASX & SGX: Imagine if the proposed $8.4bn merger had actually gone ahead

Remember when the Singapore Exchange (SGX) made a A$8.4bn bid for the ASX? It was over a decade now, but we…

Aussie dollar

Why has the Aussie dollar been weak in 2023 and is this good or bad for shares?

Just over a decade ago, the Aussie dollar was on parity with the US dollar, meaning you could buy a…

catch a falling knife

‘Don’t Catch a Falling Knife’: Here’s what this saying means and 3 ways to avoid it

Don’t Catch a Falling Knife: Have you ever heard that phase? If you haven’t, this article is for you because…

After hours trading

After hours trading: Here’s how it works on the ASX & internationally

The ASX may be ‘officially’ open for only 6 hours a day, but after hours trading extends it significantly. In this…

AGM season

It is AGM Season! Here’s why investors should care and go to their company’s meeting

It is officially AGM Season! This is because most companies hold their AGMs (Annual General Meetings) in the next couple…

raise capital at a discount

Why do cash burning ASX companies raise capital at a discount?

Why do ASX companies raise capital at a discount? This is a question many investors ask when they are diluted…

sovereign wealth funds

Sovereign Wealth Funds: How do they work and how does Australia’s stack up?

In this article, we look at Sovereign Wealth Funds. They are worth knowing about because they have a bigger role…

ASX stocks

What do these 9 ASX stocks and the Simpsons have in common?

We thought we’d have a bit of fun with our ASX stocks focus for a change. We’ve watched some companies closer…

metal exchanges

Should I invest in metal exchanges rather than in resources stocks?

If investing in resources stocks (particularly junior explorers) is too risky, another option is investing in metal exchanges. But is…

trading platform with the lowest fees

What is the trading platform with the lowest fees?

Investors wanting a good return on their assets would be looking for the trading platform with the lowest fees. We can’t…

performance rights

Performance rights: They can be handed out like a blank cheque, but here’s what investors need to know

Many investors will have heard of the term ‘performance rights’, but may not know what they are. Although these are intangible…

liquidation value

Here’s why its crucial to know the liquidation value of your stock

We don’t think many investors think about a company’s liquidation value. Unless they invest in distressed companies. But we think…

history of the asx

Here is the rich history of the ASX, all the way back to the 19th century!

The history of the ASX began in 1987 when half a dozen state-based stock exchanges amalgamated into one via an…

recapitalised

Why do ASX small caps get recapitalised? And do existing shareholders have hope of coming out ahead?

Every now and then, ASX companies get recapitalised for varying reasons. Typically, the company is in a poor state being…

issuing shares to directors

When your company proposes issuing shares to directors, here are 3 questions you need to ask

Companies issuing shares to directors inevitably leave shareholders with mixed feelings. On the one hand, directors are getting something essentially for…

ASX is demutualised

The ASX is demutualised: Here is why that is a good thing

The ASX is demutualised and it has been since 1998. At the time, it was the first in the world…

should i trade cfds

Should I trade CFDs? Only if you’re comfortable with the extreme risk

Should I trade CFDs? CFDs (contracts for difference) are a powerful trading tool that allow retail investors to speculate on…

ASX V US Stocks

ASX v US stocks: 5 things we’d like to see the ASX learn from Wall Street

The ASX v US stocks debate is a common one among Australian investors – which exchange will generate better returns?…

shareholder dilution

What is shareholder dilution and when is it a good thing?

With the ASX hosting more small-cap companies than large ones, the concept of shareholder dilution is one that investors should…

investor relations

Many stocks have investor relations personnel. How can you judge their success or failure?

Many listed companies will have people dedicated to investor relations – either in-house staff or outside personnel from dedicated firms.…

demergers

Demergers … The 5 most famous break ups!

Demergers are a common organisational restructuring tactic listed companies undertake. In this article we look at why companies undertake them…

blackout period

Most ASX companies are in a blackout period right now – here’s what it means

ASX companies that use either the calendar year or July 1-June 30 year as their financial year are currently in…

rebuild your wealth after a divorce

How to rebuild your wealth after a divorce? Here are 5 key steps

How to rebuild your wealth after a divorce? It can be a daunting and overwhelming task. However, it doesn’t have to…

capitalise expenses

Why do some companies capitalise expenses such as R&D? Should investors even care?

There’s plenty of accounting plays companies can make and one of them is to capitalise expenses. To capitalise expenses (particularly…

clinical trial stages

Clinical trial stages: Here are the 4 big hurdles that biotechs need to overcome

A biotech wanting to bring a drug or product to market has to clear various Clinical trial stages. In this…

chinese tourists in Australia

Chinese tourists in Australia: Will they ever return in their pre-COVID 19 numbers or will tourist operators be left distraught?

Chinese tourists in Australia were important to Australia’s economy pre-pandemic. Spending peaked at $12.4bn annually. Six months since China re-opened,…

how do interest rates affect stocks

How do interest rates affect stocks? Here are the 3 big ways

How do interest rates affect stocks? That’s a question that is particularly pertinent with interest rates being hiked at the…

ASX corporate collapses

Here are 4 of the most famous ASX corporate collapses in history and what you can learn from them

ASX corporate collapses – they can and do happen. No stock is immortal. Some survive longer than others – but…

tax loss selling

Tax loss selling: Should you do it before the end of FY23?

It’s that time of the year when investors engage in tax loss selling. If you clicked on this article, you’re probably…

shares in escrow

So your stock will release shares in escrow? What’s going to happen to the share price?

Just what are shares in escrow? And what happens when they are released? Essentially, escrow arrangements ensure that existing investors who…

impairment

What is an asset impairment? And is it really that bad a kick in the guts as some investors think?

You may have heard companies announce an impairment of particular assets. This is typically perceived by investors as bad news,…

FIRB

The FIRB … Who is the Foreign Investment Review Board and why do they kill great deals?

Investors may or may not know the Foreign Investment Review Board (FIRB), but those who do might know it for…

ASIC

The Humm saga showed ASIC has significant powers

At the end of last month, ASIC dropped a bombshell on Humm (ASX:HUM) and its investors. For roughly 24 hours, the…

Voluntary administration

So you stock went into voluntary administration … Is it all over now or will you get any of your money back?

Voluntary administration – these are the two words that no investor wants to hear. What will happen next and will…

confession season

It is Confession Season: Here is why investors need to be particularly alert in FY23

It is Confession Season in the Australian share market. Companies will commonly provide guidance towards their annual results and it…

should you buy qantas shares?

Should you buy Qantas shares? Here are 5 reasons why the company thinks you should

Should you buy Qantas shares? On one hand, there’s the common mantra that investors should never buy airlines, not to mention…

will crypto recover

Will crypto recover in 2023? And if so, is now the right time for investors to get in?

Will crypto recover? Investors have asked this question for several months. Some have been wanting to get in, but have been…

trade international stocks

So you want to trade international stocks? Here’s 4 things to consider

Modern technology allows Australian investors to trade international stocks just like local shares. Stocks Down Under Concierge, recognising this, has…

expensive share price

Is $100 or more an expensive share price? Here’s why it’s not

With few ASX companies with share prices over $100, you’d be forgiven for thinking it is an expensive share price. Overseas,…

worst ASX IPOs

5 of the worst ASX IPOs in the last decade!

Earlier this week, we wrote about the best ASX IPOs and now we’re writing about the worst ASX IPOs in…

profit margin

What is a company’s profit margin and why is it crucial in 2023’s high-inflation environment?

In the high inflationary environment we’re in, investors will hear companies talk about margins. What are companies talking about? Why are…

Investing in ASX international companies  

Is investing in ASX international companies more challenging than domestic companies in 2023?

Investing in ASX international companies  is eerily similar to investing in domestic companies. After all, you buy and sell shares…

sell in May

Should you really ‘Sell in May and go away’? Here’s why we think that theory is nonsense

Have you ever heard of the saying ‘sell in May and go away’? It is probably better if you haven’t.…

find undervalued stocks

How to find undervalued stocks? Here are 3 useful tools to help start your search

How can investors find undervalued stocks? It is a fine art, but it’s not impossible. In this article, we recap…

ROIC

ROIC: How useful is this metric and which 3 sectors generate the highest returns?

ROIC, or Return on Invested Capital, is a financial metric used to measure a company’s efficiency in generating profits using…

Baltic Dry Index

The Baltic Dry Index: What does it track and why has it dropped >30% in 12 months?

The Baltic Dry Index (BDI) is an index you may not have heard of, but you should have. In this article,…

best asx shares for dividend investing

What are the best ASX shares for dividend investing? They all belong to these 4 sectors

What are the best ASX shares for dividend investing? It is difficult to pick individual stocks because dividends can fluctuate…

R&D

R&D: Which companies spend the most on it and how do they set their budgets right?

R&D (Research and Development) is an important activity undertaken by companies. But how do companies decided how much to spend…

most successful investors

Who are the most successful investors of all time? Here is our top 4

Who are the most successful investors of all time? This is a question up for debate although here are our…

how to invest your super

How to invest your super in 2023

How to invest your super (short for superannuation) is a question that all Australians will need to answer. Everyone will…

CFO

What does a CFO (Chief Financial Officer) do and how important are they?

Every ASX company has a Chief Financial Officer (CFO) in their C-suite. They are among the most important people in…

Annual Recurring Revenue

Annual Recurring Revenue: Is it a useful metric or lipstick on a pig?

Annual Recurring Revenue (ARR), sometimes called Annualised Recurring Revenue, is a metric you’ll hear some ASX small caps use. What…

management

Is your company’s management good or bad? Here are 3 ways to judge

Management makes or breaks a company, especially a listed one. It is easy to look at a company’s past and…

food delivery stocks

Why have food delivery stocks been dud investments despite brutal consumer demand during COVID-19?

During the height of the COVID pandemic, we couldn’t dine out so we turned to food delivery companies – including…

monitoring a portfolio

Here are 4 factors that determine how much time spent monitoring a portfolio is ideal to generate top returns

Monitoring a portfolio is an important task for any investor, but just how much time is appropriate? Certainly, whatever your…

West Texas Intermediate

The 4 key differences between West Texas Intermediate and Brent oil

Brent and West Texas Intermediate are two of the world’s most popular benchmarks for crude oil pricing. But what are…

investment strategies

Here are 6 investment strategies. Which one is right for you?

Investment strategies are important for any investor, regardless of the size of their portfolio. But what are some of the…

Cash ETFs

Why buying Australian Cash ETFs makes sense for investors

What are Exchange Traded Funds (ETFs)? ETFs are funds that track the performance of specific indexes or assets and seek…

Investment books

The Top-5 books on investing you should read to boost your returns in 2021

1 January 2021   Some months ago the team at Stocks Down Under were looking for a Staff Writer for…

Contrarian investing

How to be a good contrarian investor

Tuesday 22 December 2020   Yesterday we looked at the recent track record of the team at Stocks Down Under…

Directors buying

Directors’ share trades – a great indicator for the rest of us

Thursday 17 December 2020   Listed companies these days are complicated things. The technology, the products, the markets and even…

Women are better investors than men

Men are from BHP, Women are from Afterpay

16 December 2020   There’s an interesting story near the end of Rocket Boys, Homer Hickam’s 1998 memoir of his…

Investing during the Corona crisis

24 March 2020 We don’t have to tell you that for most people right now the world seems to be…

Market trouble spots to avoid in 2020

15 January 2020 Everyone likes a good bull market, and in Australia you could say that for over a decade…

Investing in the Year of the Rat

Investing in the Year of the Rat

12 January 2020 The new Lunar Year 2020 is the Year of the Rat. In this article we look at…

Stocks Down Under: 2020, the Golden Year

2020, the Golden Year

12 January 2020 As we all know, when there’s trouble in the world, the price of gold naturally spikes. So,…