Researching & Analyzing Opportunities
Not sure how to choose your investments?
Research is key when it comes to choosing investments. Here’s a little look at the methods investors use to analyze their investment opportunities.
Analyzing Investment Opportunities
The two most common methods that investors use to analyze the benefits and risks associated with investment decisions are fundamental analysis and technical analysis.
What is fundamental analysis?
The fundamental approach attempts to measure a security’s fair value by examining several factors including the quality of the company’s management and their strategic initiatives. It also looks at the company’s historical performance, the industry expected prospects and trends, microeconomic indicators, and consumer behavior. After this, an investor would estimate the target price for the company.
What is technical analysis?
The technical analysis approach attempts to study historical performance, such as price and volumes, to forecast the direction of the security’s future performance. It involves analyzing trends using different statistical methodologies over a certain period of time. The target price is then estimated according to these trends.
One of the key assumptions in technical analysis is that history tends to repeat itself. When a set of factors that have manifested in the past tends to repeat itself in the future, similar outcomes would occur.
Sounds like a lot of homework to do, right?
The best part is, we’ve done the homework for you. We’ve partnered with a leading analytics and data provider to provide you with the fair value (target price) that licensed analysts estimate in their research reports “Analyst Consensus” (exclusive to The Analyst and The Racer plans). These analysts work in leading investment banks (i.e. Morgan Stanley, HSBC, Citi Bank, CI Capital and EFG Hermes) and get insights by sitting with the company’s top management. So, you can find out the target price (fair value) of the securities you’re looking at that was set by these experts right on the Thndr app—Just go to the fundamentals section of your research tab.
We’ve also hired top-tier certified technical experts to run those statistical methodologies for you. They use the latest advanced charting tools and their experience to do their analyses and deliver the results in a simplified manner to you. It’s as simple as just viewing the Technical section of your research tab.