Stock Watch, 9 November 2009

The Share Centre’s top 5 buys from the last 7 days:

1. RBS – Investors still buying banks, why we are not sure.
2. Lloyds Banking Group – Buying ahead of the rights issue.
3. Barclays – Investors continue to buy, one of the only banks not taking Government help.
4. Tesco – Defensive attractions as markets become more volatile
5. Yell – Buying after re-structuring details announced.

 

The Share Centre’s top 5 shares to follow:

1. Tesco Lower Risk – Long term growth potential, plus buy ahead of Christmas.
2. Reckitt Benckiser Lower Risk – Good range of products help create defensive nature.
3. Shire Pharmaceuticals Medium Risk – Interesting alternative to big drug firms.
4. Man Group Medium Risk – Volatility in markets could produce the goods for Man.
5. Bglobal Higher Risk – Successful fund raising recently provides opportunity to grow quickly.
 

Ratio of buys to sells = 63:37%


Top 5 most searched for companies on www.share.com

 

1. Barclays
2. Standard Life
3. Royal Bank of Scotland
4. Legal and General
5. Debenhams
 

The Share Centre’s Share of the Week 9.11.09
 

Company: Man Group    Share price:    Sector: General Financial
Recommendation:    Buy
Risk category:    Medium
Investment class:    Growth
Opinion:
In theory, the appeal of hedge funds is that they can do well in falling markets too, but in practice falling markets mean falling returns for most broad-based funds. Moreover, in the face of inflation rate fears and worries about global credit, financials are likely to be worst hit by any market falls.

It is very pleasing when a company surprises itself and that is just the scenario that has occurred recently at Man. Profits came in 8% higher than what they had expected only one month ago.  Funds under management also improved.


Man is benefiting from these current fluctuating markets.  More money is coming in and with a better performance from its funds, the administration fees are rising.  We are still nowhere near last year’s levels, however we have confidence that Man will continue to surprise itself and provide a good return for investors. The yield is also correct; some may think that a yield of over 8% from a financial is too good to be true but it is the case, so one for income seekers also.


This data is provided by Nick Raynor investment adviser at The Share Centre. This is not intended to constitute an offer or agreement to buy or sell investments.

The Share Centre is authorised and regulated by the Financial Services Authority.

Moneyextra.com recommends you take independent financial advice before acting on any article

2009-11-11 11:31:44 © Moneyextra.com