Introduction: From P/E to the PEG Ratio – Beyond Growth In the dynamic world of stock investing, the P/E (Price/Earnings ratio) is a fundamental indicator we’ve already thoroughly explored. It taught us how the market values a company’s earnings. However, as we’ve seen, a high P/E doesn’t always mean a stock is “expensive”; instead, an…
Introduction: Navigating the Market with Awareness In the vast and dynamic world of stock investments, fundamental analysis is your guiding compass. It allows you to look beyond simple price fluctuations and understand a company’s true value. For this reason, learning to understand the P/E ratio is the fundamental indicator for evaluating stocks and investing with…
In the world of investments, making informed decisions is crucial for your financial stability. Therefore, understanding how to read a company’s financial statement is the foundation for evaluating a company’s “true value,” going beyond simple market fluctuations. The financial statement is, in fact, a company’s financial “ID card,” an essential document for anyone looking to…
Introduction When you decide to invest your money, whether it’s in stocks, bonds, or other assets, making informed choices is crucial. To navigate the complex financial markets effectively, understanding different analytical approaches is key. This is where investment analysis comes in, with its two main disciplines: technical and fundamental analysis. Essentially, investment analysis is the…
We often hear about growth, recession, inflation, or interest rates in the news. These concepts belong to macroeconomics, the study of the economy at national and global levels. Understanding macroeconomics might seem complicated at first glance. However, it’s fundamental because it directly influences our daily lives. This influence ranges from the price of bread to…
After understanding what ETFs are and the main differences between ETFs and mutual funds, you might be thinking about including them in your investment strategy. However, just knowing what they are isn’t enough to invest wisely. Facing the vast offer of ETFs available, the real therefore becomes: how to choose an ETF among so many?…
Introduction At first glance, Mutual Funds and ETFs (Exchange Traded Funds) might seem quite similar, as both allow you to invest in a diversified ‘basket’ of securities by pooling money from many investors. However, to understand which instrument is the most suitable for you, it’s essential to ask: What are the differences between ETFs and…
Welcome back to Il Chiaro Finanziario!As we mentioned in previous posts, diversification in investments is a fundamental way to limit the intrinsic risks in every investment. A key strategy for financial safety is Investment Diversification. To better understand why it’s so important, imagine investing all your money in buying a single business or company. If…
Welcome back to Il Chiaro Finanziario! If along our path we’ve learned why and how to invest in stocks and bonds, perhaps you’re asking yourself: “Do I necessarily have to choose every single company or every single ‘loan’ myself? Isn’t there a simpler way to put my money in many different places all at once?”….
Hello everyone and welcome back (or welcome for those arriving here for the first time)! We saw on the welcome page that Il Chiaro Finanziario is the right place if you are looking for simple answers about finance and how to make your money work better for you. But what are the basic investment concepts…