Waltham, MA -- (SBWIRE) -- 12/03/2014 -- Why Stocks Go Up and Down is a book that teaches the fundamentals of stock and bond investing, going into far more depth than most introductory books. The prior editions of the book were used by the Boston Security Analysts Society in its introductory course for people new to the investment business; that is, people who really had to know. The new edition includes several important updates as well as substantial new material.
Choosing stock and bond investments can be time-consuming, arduous, and risky; therefore, it is essential for individuals to have an in-depth understanding of the fundamentals. While the book would benefit new and experienced investors alike, it was written with new investors in mind. Assuming no prior knowledge of investing, Why Stocks Go Up and Down explains the fundaments of investing in more depth than other, competing books. Rather than just defining commonly used terms, the authors go beyond and provide examples so the reader can better understand, and more importantly, apply the concepts covered throughout the book.
Readers of Why Stocks Go Up and Down will develop an appreciation for long-term, value-oriented investing. They will also develop a toolkit needed to analyze a company's fundamentals and translate those fundamentals into an estimate of fair value that can be used in evaluating investment alternatives. In this way, the book provides investors with a strong foundation needed for successful investing.
Why Stocks Go Up and Down is comprised of four parts. The first part begins with the basic financial accounting necessary to understand income statements and balance sheets. It then explains the use of stock in business ownership and how stocks and bonds can be used to finance a company's growth. The authors describe the process of going public and what it means for the company as well as the shareholders. The second part is an in-depth introduction to bonds and different kinds of preferred stock, again, going well beyond other introductory investment books. The third part goes into more depth on the process used by stock and bond investors to analyze a company's financial statements. Finally, the fourth part begins with a discussion of valuation techniques that investors use to determine if a stock is undervalued, fairly valued, or overvalued. And to be sure that investors can apply these concepts in the real-world, an analysis of a publicly-traded company is included as the final chapter of part four. This should be a big help for investors who want to improve their investment analysis skills. With the insight and the knowledge provided by the book, individuals can easily begin to evaluate stocks and other investments in a short period of time. To find the table of contents, reviews, and an excerpt from the book, individuals should visit whystocksgoupanddown.com at the earliest convenience.
The book's website, WhyStocksGoUpandDown.com, provides more information about the authors and contents of this highly regarded and well-known book that is now in its fourth edition. Explaining investment fundamentals such as financial statement analysis, stock price valuation, cash flow generation and much more is our specialty.
For more information:Authors:
William H. Pike, CFA
Patrick C. Gregory, CFA
Boston, Massachusetts, USA