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February 2021

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If you’re with Orca, you’re an investor, and as an investor, you’ll likely ask yourself two questions for the rest of your investing life. The first one is: what’s happening on the market? (Options: we’re soaring into a bubble; we’re plummeting into an abyss; we’re growing nicely like flowers in the field.) The second question is: how does my chosen stock compare to the market in general? (Options: my stock is lagging behind; my stock…

Advanced statistics Do you know what the Paasche Formula is? You don’t? Well then, we’ll just have to skip the Advanced Statistics course. Please proceed to Elementary Statistics. Elementary Statistics Let’s say we have a selection of public companies, each with a number of stocks on the market. If we multiply this number by the stock’s current share price, we get each company’s market capitalisation. The combined market capitalisation of all the companies makes up…

The term consolidation could be simply explained as gathering forces at the right moment. But how exactly does it work in investment? Consolidation happens in the stock market, too. If a public company wants to increase its share price, it goes for share consolidation. In a nutshell, instead of having 100 shares 5GBP each, it makes 50 shares 10GBP each. As you can see from this simple equation, the total value of shares in circulation…