Understanding Wall Street

Understanding Wall Street provides a good, practical education by combining investment fundamentals and many useful analytical techniques. It was written for two readers: first, the individual who knows little or nothing about the stock market but has always wanted to understand it; and second, the “experienced” investor who recognizes that there is much more to learn. This book offers more than just a colorful history of Wall Street or how to read the stock tables. It also describes, for example, the reinvestment rate, and the computation of current equity in a short seller’s margin account. In addition, new investments such as ETFs are included.

With the substantial presence of mutual funds, banks and other large institutional investors, it is widely believed today that the so-called “small investor” is at a disadvantage in the marketplace. To the contrary, many smaller investors have found it possible to prosper handsomely in this challenging environment, whether the market is going up or down. Armed with an equal degree of common sense, vast quantities of information from companies as well as the internet, and great portfolio flexibility, the average investor actually has the upper hand. After all, the basics and the psychology of investing, which are explained in this work, never change.

Over the years, the public has been encouraged to “Own a Share of America.” Yet, how many individuals have been prepared to invest wisely? The stock market is rarely taught in high school, and even on the college level, investment courses are typically selected only by students with specialized business interests. Moreover, investors have found it difficult to educate themselves, even with the flood of literature available to date. Free pamphlets and superficial guides have not provided substance, encyclopedic texts have been too intimidating, and the “get-rich-quick” books have deluded investors with false hopes of easy gains.

Contents:

• What is a Share of Stock?
• Wall Street – How it Works
• Analyzing Your Company
• Reading the Financial Pages
• Investing and Trading
• Growth Stocks
• Manias, Fads, and Panics
• Bonds, Preferred Stocks and the Money Market
• The Internet
• Worldwide Investing
• Gold & Silver
• The Principles of Technical Analysis
• Stock Options

Understanding Wall Street By Jeffrey B. Little, Lucien Rhodes pdf