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Financially dependant
26-11-2007, 11:57 AM
Hi All,

I am new to share investing so interested in your thoughts on the best place to subscribe to an independent regular news letter?

Hommel
26-11-2007, 12:26 PM
I subscribe to Market Analysis from James Cornell (www.stockmarket.co.nz). Like any newsletter there will be useful things in it for you but I just use it as one of my research tools. Intersuisse website has heaps of good free info and company analysis (www.intersuisse.com.au). If you use a full service broker they will give you free access to heaps of company research. There is so much free stuff on the internet nowadays if you search around. There are also several forums such as this one, but be very careful of what you assume to be fact in what people post. Good luck and good investing.

Hommel
26-11-2007, 12:28 PM
Another thing... be very careful of blindly following share brokers advice. They often have their own motives for wanting you to buy shares in a particular company. I have learned this the hard way....

dmdmdm
26-11-2007, 02:20 PM
i am also inexperianced at the sharemarket and have been blindly following my full service brokers advice, it all seems to have gone ok so far, but would you mind explaining what you mean by having there own motives.

Hommel
26-11-2007, 02:53 PM
When they are the broker for a new float on the market they will want to sell their clients as many of the shares as possible, even though it may be that the broker personally does not think they are a good investment at that time. I have found that most new floats over the last few years have been better buying later than they were at the time of issue.
Also they usually get paid by the number of transactions you make. Notice how most brokers will tell you to buy but hardly ever do they tell you to sell as they don't want to "upset" companies that have paid them alot of money to float their shares to the public.

dmdmdm
26-11-2007, 03:56 PM
Thanks for your advice and prompt reply. A couple of weeks back I was asked if I wanted to invest in Goodman property trust, which although I declined they said no brokerage would be charged.
As to the buy/sell recommendations, is it not in the brokers long term interest to see their clients portfolio grow and to build a relationship with them, or are you saying they are more interested in keeping in favour with the companies whose shares they trade. I realise this is still all rather new to me and appreciate that I am still naïve in these matters, but I have invested a considerable sum (to me) over the past year and have always looked at the broker as an independent advisor.
dm

Financially dependant
26-11-2007, 07:13 PM
Thanks for the links and advice Hommel!

zyreon
01-12-2007, 09:25 AM
Hi financially dependant and others
I've started putting out a free monthly newsletter through my website www.smallcaps.co.nz you can sign up via the website or email list@smallcaps.co.nz with 'join' as the subject.
Hope this is helpful - also check the links section for more useful websites to look at.

lakedaemonian
01-12-2007, 09:47 AM
In terms of investment advice.......I would invest your tmie and money the following way:

1.) Educate yourself....or pay to have others educate you in how to invest for yourself independantly or semi-independantly.

2.) Whenever buying any investment product using an intermediary make sure to ask for and receive exactly how and how much the intermediary is compensated for their role in the transaction....you would be surprised at how investor and investment advisor interests are often not well aligned.

Learn from the mistakes of others or expect to potentially pay big learning from your own mistakes

Personally, all this talk of regulating finance companies is reactionary BS.

Why not just require EVERYONE acting in the role of financial intermediary to disclose in writing, signed by client, exactly how they are compensated for their role?

zyreon
01-12-2007, 12:49 PM
finance company regulation should produce better results - the mandatory credit ratings should result in pricing that is better related to risk, and the pressures the new regulations will put on the industry should see consolidation resulting in larger and better managed institutions - and probably a few becoming banks.
I guess it comes down to making it simple for naive investors to be better aware of the risks so that they don't just get shunted into the investment with the highest commission rates.

Financially dependant
01-12-2007, 01:06 PM
Thanks guys, have signed up for monthly news letter.