Chart of the Day Archives - Page 19 of 20

Interest Rates Down, Stocks Up and Vice Versa

By Andrew Stotz | March 9, 2017 |

Chart of the Day: Since 1987 short-term rate fell 91% to 0.5%. Long-term rate fell 62% to 3.0%. Falling interest rates, stocks up 745%.

Ultra-low US Rates and Very High Gov’t Debt

By Andrew Stotz | March 8, 2017 |

Chart of the Day: Normal rate of 2.7% would mean massive 5x increase in interest burden. The interest cost burden of a normal interest rate is now massive.

Normalizing after 7 Years of Extreme Stimulus?

By Andrew Stotz | March 7, 2017 |

Chart of the Day: Short-term rate of zero for seven years following the global financial crisis in 2008. Normal rate of 2.7% would mean massive 5x increase in short-term rates.

Stop Loss Truncates Downside & Increases Upside

By Become a Better Investor | February 27, 2017 |

Chart of the Day: We ran 1,000 simulations of a randomly selected 10-stock portfolio from a global universe. Stop loss truncates the downside and increases the upside.

Philippines & Indonesia Had a High ‘Dream Factor’

By Become a Better Investor | February 24, 2017 |

Chart of the Day: We consider five components of stock market return: Inflation, dividend yield, real book-value growth, share dilution and the “Dream Factor”.

10 Stocks Reduces Risk by 80% in Asia

By Become a Better Investor | February 23, 2017 |

Chart of the Day: At 10 stocks you have reduced risk by 80%. Adding more than 30 stocks to your portfolio gives limited additional benefits though.

Diversification Is a Balancing Act

By Become a Better Investor | February 22, 2017 |

Chart of the Day: Diversification is necessary to reduce risk, but too much diversification reduces chances of outperformance. It is a balance between risk and return.

Revenue Has Grown, Net Profit Has Not

By Become a Better Investor | February 16, 2017 |

Chart of the Day: Over the past five years in Asia, each sector has seen a positive compound annual growth rate (CAGR) in revenue. During the same time, only four sectors have seen a positive CAGR in net profit.

Profit Margin in Asia Almost at 2008 Bottom

By Become a Better Investor | February 15, 2017 |

Chart of the Day: As of 2015, revenue among Asian companies had grown by 115% since 2006, while net profit merely grew by 60% during the same period of time.

Not a Market-Timing Wizard? Stay Invested

By Become a Better Investor | February 14, 2017 |

Chart of the Day: If you can perfectly time the market on best or worst days, well, great – do it! Unfortunately, that’s a darn hard thing to do. For the average investor, it makes sense to stay invested.