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Market Comment - May 2015

May 2015

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

My guess? You like smaller company investing. You might even love it, because the returns can be fantastic at times. Yet, in practice, all investors (this writer is no exception) suffer from a variety of behavioural problems, which dull our actual investment gains.The issue affects not just our view of companies but sometimes a whole market. For instance, Japan’s Abenomics was launched to a sceptical audience in late 2012. But now wages are rising, employment trends improving and property prices increasing rapidly (after the 1989 peak they fell by 90% in Tokyo). Tourism is booming. Companies are financially strong. Capital investment is turning up. Dividends are increasing.  Their version of QE is about 3x greater than t ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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