"There is nothing more frightening than ignorance in action!"
Johann Wolfgang von Goethe (1749 - 1832)
I do not really know how cars actually work. Not really! I know how to drive them, but if you asked me how they work, I would not really know how to explain certain.
That little technical limitation on my part not stop me know if XYZ Autos is a quality company or not. I do not understand the cars they make, but I understand XYZ Autos. Furthermore, this insight is essential for making a decision about the value of their stock.
There are many good and objective ways to value stocks and improve your finances. This involves looking at various financial ratios. However, one of my simplest rules of investing is that you should always understand what you are buying!
This is not original with me. It is a fundamental part of fundamental analysis!
How deep should you study to understand before you invest in is a rather personal decision for a company
Some investors feel fine with just a general concept, while others want to know everything there is to know about the company. I think somewhere in between is perfect.
But you should know what makes a company different from others, and whether that difference adds no real value or not.
Sometimes different is not good ...
Buy what you understand for a reasonable price and you will be well on your way to successful investing!
Copyright © 2005 I.E.C. Haramis
Ioannis - Evangelos (Akis) C. Haramis was born in Athens, Greece in 1951. Studied Business Administration, Marketing and Economics in Athens, Greece, in Chicago, ILL and in Boulder, CO (USA), as well as in Leuven, Belgium. He has been active in the equity markets since 1972 as an investor, broker and consultant for individual investors and various funds. He is Managing Director of New Business Development at a leading Investment Bank and publisher of
Sunday 30 March 2014
Saturday 15 March 2014
Angel Investors: Who They Are & When Are They Appropriate
Angel investors are individuals who invest in emerging business ventures. Angels in the supply line both capital and know-how to companies in either their start-up or development phase. The increased risk of investing in such companies reflect angels seek a higher return versus traditional public stock investments.
Angel investors fulfill the financing need that exists between provided by friends and family and capital provided by venture capitalists capital. Individual angel investors often write checks from $ 25,000 to $ 100,000. Recently, angel investing more and more organized, and angel groups often invest from $ 250,000 to $ 500,000 at a time to deserving ventures.
Angel investors often have similar financing criteria as venture capitalists. They want to own intellectual property, large market size, management team members with expertise and experience, and a current valuation that allows for a good return on investment to see.
In identifying and attracting an angel investor, companies are looking angel groups in their region. For example, the Tech Coast Angels have funded more than 85 Southern California-based companies since 1997. When seeking individual angel investors, it is essential to network, to create a personal connection between you and the angel create. Also, ideally the individual has experience in your field, so he / she can contact industry and provide operational expertise in addition to capital.
Since its inception, Business Plan developed over 200 business plans. Growthink clients have collectively produced more than 750 million dollars in increased funding, launched numerous new product and service lines and gained competitive advantage and market share. Growthink has become the firm of choice for venture capital firms, angel investors, companies and entrepreneurs informed. For more information please visit
Angel investors fulfill the financing need that exists between provided by friends and family and capital provided by venture capitalists capital. Individual angel investors often write checks from $ 25,000 to $ 100,000. Recently, angel investing more and more organized, and angel groups often invest from $ 250,000 to $ 500,000 at a time to deserving ventures.
Angel investors often have similar financing criteria as venture capitalists. They want to own intellectual property, large market size, management team members with expertise and experience, and a current valuation that allows for a good return on investment to see.
In identifying and attracting an angel investor, companies are looking angel groups in their region. For example, the Tech Coast Angels have funded more than 85 Southern California-based companies since 1997. When seeking individual angel investors, it is essential to network, to create a personal connection between you and the angel create. Also, ideally the individual has experience in your field, so he / she can contact industry and provide operational expertise in addition to capital.
Since its inception, Business Plan developed over 200 business plans. Growthink clients have collectively produced more than 750 million dollars in increased funding, launched numerous new product and service lines and gained competitive advantage and market share. Growthink has become the firm of choice for venture capital firms, angel investors, companies and entrepreneurs informed. For more information please visit
Subscribe to:
Posts (Atom)