Brokers seek controls on high-risk investing: borrowing from a stockbroker to buy more shares carries risks - for broker and investor. As firms prepare to launch margin-trading services, their watchdog is being urged to bring more controls; but, so far, to no avail
Article Abstract:
Margin trading is a high risk way of investing which is soon to be offered by an increasing number of brokers. Their trade body, Apcims, wants the SFA watchdog to place tighter control on the market to prevent rogue operators overhyping it. Margin trading enables investors to gear up, increasing both potential returns and risks. Some parts of the service are regulated, including credit checks on clients and activities such as share tipping.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
Learning your weights and measures: advice from stockbrokers on which shares to buy and sell should be straightforward. But frequently brokes' suggestions sound incomprehensible
Article Abstract:
The price/earnings ratio or PE is the main way the stock market values shares and brokers often describe the PE as the rating. Shares are described as fully rated, fairly priced or expensive if the price fully reflects expectations for earnings growth. The dividend yield measures the dividend as a percentage of the share price and is often known as the gross yield.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
No stemming of cross-border flows
Article Abstract:
The level of investment in foreign equities has accelerated during recent years, with foreign equity holdings tripling during the last eight years. Foreign equities represent almost 10% of global equity portfolios, with one-third of funds going into emerging markets. The market is dominated by US investors, and UK equity holdings are valued at $315 billion.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Hit singles: There are a number of different strategies that investors can employ to utilize their single company Pep allowance depending on their attitude to risk and their tax bracket
- Abstracts: Share and share not alike for CGT. Getting better endowed: every week, thousands of investors receive 10,000 pounds sterling or more as their endowment policies mature. Insurers are keen for the proceeds to be reinvested with them. But many investors would be better off going elsewhere
- Abstracts: Life insurance windfalls. Eurpe tackles insurers over 'unfair' terms: changes can have a monstrous effect on the performance of life assurance and personal pension policies particularly. But next month sees new rules which should help to show investors what they are letting themselves in for
- Abstracts: Not so crazy about football shares. Manchester United tops the financial league. A game of two halves