FXCM Research Team

What Is A Robo-Advisor? A robo-advisor is an automated, online platform that creates investment portfolios and financial plans for individuals. Roboadvisors compete with traditional human financial advisors but provide their services at a far lower cost with much lower minimum investment requirements and greater convenience. Robo-advisors have been around since 2008, but they have attracted a growing number of clients and share of assets under management. Indeed, several large traditional…

Headquartered at 1 Exchange Square in Johannesburg, South Africa, the Johannesburg Stock Exchange (JSE) is a premier destination for individuals seeking exposure to the African continent. Whether targeting derivative, debt, or equity products, investors frequently engage the JSE with the goal of capitalising upon the growth potential of broader Africa. Licensed and governed by the Financial Markets Act of 2012, the JSE provides an avenue by which corporations can raise…

What Is A Hedge Fund? A hedge fund is a private pool of money managed by professional managers whose main goal is to maximize returns for investors as quickly as possible in both up and down markets. Hedge funds are similar to mutual funds but have some very different characteristics. For example, hedge funds are generally open only to large institutions or to "accredited" investors who must meet certain high…

What Are Small-Cap Stocks? Small-capitalisation, or small-cap, stocks are generally considered to be those with a market value of between US$300 million and US$2 billion. Market capitalisation is the price of the company's stock multiplied by the number of shares outstanding. Small-caps should not be confused with start-ups. Small-caps have generally "graduated" from the start-up phase and have established themselves enough to sell their shares to the public. Many are…

What Are Private Equity Funds? Private equity (PE) funds are alternative investment vehicles that use a pool of money from investors to make direct investments in companies, usually with the goal of making improvements to sell them later at a much higher price. Although PE funds have some similarities with hedge funds, they are quite different in the way they use their money, their risk levels, and their investment time…

What Is ESG Investing? ESG (environmental, social and governance) investing is a process that takes nonfinancial factors into an investment decision, rather than simply an asset's estimated financial return. ESG is also sometimes known as socially responsible, sustainable and mission-related investing, although they are not identical. Rather than simply avoiding or boycotting companies for moral or ethical reasons, such as shunning companies that make or sell tobacco, alcohol, firearms or…

What Are Capital Expenditures? Capital expenditures (CapEx) are long-term investments that a company makes to expand or improve its business. Investors and analysts generally view an increase in CapEx as a positive sign because it indicates that a company's business is growing. Similarly, rising CapEx for the entire economy is a positive macroeconomic indicator and generally a bullish signal for stocks. Capital expenditures include such things as the addition or…

The stock market offers investors the potential for significant returns, but it also comes with substantial risk. Historically, stocks have provided compelling gains by outperforming many other asset classes. However, they have also fallen into harsh bear markets and suffered notable losses. But what exactly is the stock market and how does it work? Let's explore these topics and others in this article. History Of Strong Returns Stocks are known…

Stock investing can be a great way to generate strong returns and achieve one's investment objectives. However, it can also be a way for an investor to lose all their money. With all the resources out there, it can prove helpful to have good, basic information on the subject. This article will lay out some straightforward points that anyone can follow. Assess Your Investment Objectives What are you goals? What…

The Johannesburg Stock Exchange (JSE) is the largest stock exchange in Africa and ranks among the world's top 20 largest exchanges by market capitalisation. The exchange's mission is to help local and international investors and companies gain exposure to capital markets in Africa. In 2003, the JSE launched AltX, an alternative exchange for small and mid-sized listings, also known as the Growth Board. In July 2013, it adopted the Millennium…

Achieving success in the foreign exchange (forex) marketplace can be challenging. Nonetheless, traders from around the globe, both experienced and novice, attempt to do exactly that on a daily basis. Given the above-average failure rate of new entrants to the market, one has to wonder how long-run profitability may be attained via forex trading. Among the many ways that forex participants approach the market is through the application of technical…