Australian private investor, author and teacher, Colin Nicholson, is a man who’s been investing his own money for over 45 years will surely resonate with many of you.
An Active Approach
Colin Nicholson approaches investing actively, and looks to take advantage of trends running from several months to several years. He mostly concentrates on second rank industrial shares, because they appreciate more than blue chip stocks. He combines fundamental and technical analysis criteria and looks for seven things in a stock that will keep the investment and you safe:
1. Investment grade (safety)
2. Rising in price (performance)
3. Growing earnings and dividends (performance)
4. Moderate price earnings ratio (performance)
5. Relatively high franked dividend yield (performance)
6. Appropriately low debt to equity ratio (safety)
7. Return on Equity above cost of capital (performance)
Colin Nicholson Background and Credentials
Colin Nicholson has a bachelor’s degree in Economics from Sydney University and a Graduate Diploma in Applied Finance and Investment from the Financial Services Institute of Australasia FINSIA. Colin frequently teaches courses in both technical and fundamental analysis.
Colin has written six books including “Building Wealth in the Stock Market,” which teaches his personal investment plan, and “Think like the Great Investors,” in which he outlines the common cognitive errors and biases in decision-making based on behavioural finance and much more.
“Hot Stocks 2007” and “Hot Stocks 2008″ built on his investment plan by teaching how he assesses market risk and how he finds and analyses potential good investments.
→ Read more about Colin Nicholson’s investing strategy on meetinvest and see how a portfolio would have performed using his strategy.