While many investors are loth to invest in airline equities, by employing a pair trade, investors can mitigate some of the inherent risk associated with aviation companies. Like in any other sector, it’s always a good idea to be long a thriving company and short a struggling one when creating a pair trade.
The Bovespa Index is the flagship index of the Brazilian stock exchange, known by its acronym, BM&FBOVESPA. The index includes 68 of the 370 companies listed on the exchange, which represent roughly 70% of the exchange’s total capitalization and 80% of its trades. The Bovespa is calculated in reference to prices on February 1, 1968.
With the world catching Olympics fever during the current London Olympiad, it’s a reminder that savvy investments in companies set to boom in the build-up of hosting a major global event can be very lucrative.
Second quarter earnings season results in Brazil show weak data and a drop in companies’ earnings per share, according to a report from Santander bank.
Like the deep-in-the-money options we covered last week, employing a covered call strategy can be lucrative for both sophisticated and beginning investors alike. However, before jumping into this type of trade, you must understand the potential benefits and pitfalls of the covered call.
Emerging Money author Jonathan Yates made a number of compelling points as to why airlines from developed nations mostly make for terrible investments. However, investors and traders alike can find a lot to like about emerging market airlines.