Spot Financial Shenanigans: Easy Steps To Fraud Detection For Individual Investors

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About Spot Financial Shenanigans: Easy Steps To Fraud

SPOT Financial ShenanigansThis Book Is Designed For Novice Individual Investors Who want invest successfully in public companies but want to learn to mitigate risks If you, as individual investors, want to preserve your wealth you need to separate junk companies from solid ones. You need to look at a company as a whole, and not concentrate only on one of its aspects. You cannot expect to make an informed judgment while looking one aspect of a company. Some of you will concentrate on analyzing the financial numbers disregarding pertinent company’s press releases that can influence these numbers, or statements that are in the financial reports. Some of you will decide that PE (Share Price to Earning) and income are the only numbers you need to decide if a company is a good investment. What many of you miss, professional investors look at a prospective investment from very angle to ensure that they don’t get blind spotted. They look at the numbers you look at, but also at anything that may contradict the number, insignificant it may be. They know accounting is far from being a science like Math or Physics, but a field where subjective judgments play a role on how the numbers are calculated or presented. In fact, some factors like accounting practices, press releases, CEO statements and actions, lawsuits, and the number of clients can have a considerable influence on the company bottom line. While you as individual investors cannot replicate some due diligences performed by professional investors, such as going to companies directly and checking their investment, you can mitigate 95% of the risk of investing in a company that uses financial shenanigans to lure you like a lamb. What You Will Learn In This Book? Spotting Financial Shenanigans requires mostly knowing how to read between the lines. Press Releases, and news contains the smoke, while Financial Reports