Pete Wargent blogspot

Co-founder & CEO of AllenWargent property advisory & buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place) - clients include hedge funds, resi funds, & private investors.

4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.

"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.

Invest in Sydney/Brisbane property markets, or for media/public speaking requests, email pete@allenwargent.com

Friday, 9 December 2011

Types of insurance

Driving to Margaret River this afternoon which has recently been tragically hit by bushfires.
Sadly, these fires were deliberately lit by the Government as a controlled burn-off that went wrong and lives were lost.  Worse, many families would not have been in insured.
There are so many different types of insurance that it is a vast topic and I won’t try to cover it all: mortgage insurance, house insurance, motor vehicle, income protection, life, landlord’s, contents….the list goes on and on. 
It can be intimidating.  If you are unsure check with a financial advisor; they can help you to decide what you need.
Investing in shares with insurance
Worth mentioning as I’m driving to the bush later today:  how about insuring your share portfolio?
Here are two easy ways you can do it:
·         put options (the right – but not the obligation - to sell options at a pre-determined price on or before a particular date)
·         sell-stops
Sell-stops are a very easy protection you can take.
It's possible to place an order online that automatically sells some or all of a parcel of shares should they fall below a certain price.
In fact, sell-stops can more sophisticated still if you so wish. 
One of the handiest tools if you are travelling like me is the trailing sell-stop that sells when a share has fallen a certain percentage from its peak – by say 10%, or whatever percentage you decide.
This means that if a share price moves from say $2.00 to $4.00 in price you can participate in all of that upside (while off snorkelling somewhere or whatever) but if the price fell to $3.60 then the sell stop would trigger locking in your profit.
Remember you should only move sell-stops in one direction, that being the direction of your trade!

If you are buying shares, that is up as the price rises (and if you are shorting shares, that is down as the price falls).