Share Market Investment

Capital markets in provide the resources to domestic economies that are required for them to advance. Companies turn to them to raise funds needed to finance the building of factories, office buildings, airplanes, trains, ships, telephone lines, and other assets; to conduct research and development; and to support a host of other essential corporate activities. Much of the money comes from such major institutions as pension funds, insurance companies, banks, foundations, and colleges and universities. Increasingly, it comes from individuals as well. As noted more than 40 percent of U.S. families owned common stock in the mid-1990s. The figure is upwards of 70 percent within Australia given the general affinity that Australians have with share ownership, ranking only second to South Korea in this regard.

INVESTING IN SHARES AND CONVERTIBLE INSTRUMENTS

AN INTRODUCTION TO SHARE INVESTMENT

THE STOCK EXCHANGES

NATIONS OF INVESTORS

HOW STOCK PRICES ARE DETERMINED

MARKET STRATEGIES

BUYING SHARES ON MARGIN

SELLING SHORT

OPTIONS

COMMODITIES AND OTHER FUTURES

THE REGULATORS

"BLACK MONDAY" AND THE LONG BULL MARKET

PRICING SHARE MARKET INSTRUMENTS

THE EFFICIENT MARKET HYPOTHESIS

WEAK FORM EFFICIENCY UNDER EMH THEORY

SEMI STRONG FORM EFFICIENCY UNDER EMH THEORY

STRONG FORM EFFICIENCY UNDER EMH THEORY

BEHAVIORAL FINANCE

PRICING ORDINARY EQUITY

DIVIDEND DISCOUNT MODEL

FUNDAMENTAL ANALYSIS

Ratio analysis

Current (or working capital) ratio

Number of days' sales in accounts receivable

Equity (stockholders' equity) ratio

Stockholders' equity to debt (debt to equity) ratio

TECHNICAL ANALYSIS

CHARTING TERMS AND INDICATORS

Concepts

Types of charts

Overlays

Breadth Indicators

Price-based indicators

Volume-based indicators

TIME SERIES FORECASTING AND ANALYSIS

Time series forecasting techniques

What is a time series?

What are a stock and flow series?

What are seasonal effects?

SEASONAL FORECASTING AND ANALYSIS

THE NEED FOR SEASONAL ADJUSTMENT

THE USE OF SEASONAL ADJUSTMENT TECHNIQUES

UNDERSTANDING SEASONALITY

Natural Conditions

Business and Administrative procedures

Social and Cultural behaviour

Trading Day Effects

Moving Holiday Effects

Identifying seasonality

What is an irregular/residual?

What is a trend?

Deconstructing the time series

Additive Decomposition

Multiplicative Decomposition

Pseudo-Additive Decomposition

Example: Shiskin Decomposition

Choosing a model

Season and irregular charts

FURTHER INVESTMENT ISSUES

MARKET INDICES

CONVERTIBLE SECURITIES