Andrew Page

There’s no doubt that 2008 will go down in history as one of the worst years on financial markets.

Global economic crisis notwithstanding, it’s a safe bet that many Australians will devote a sizeable part of the family budget to buying gifts for friends and family.

It’s a fairly straightforward matter to justify the expectation that markets will recover, that the vast majority of companies will remain solvent and that the economy will pick up.

What is the true worth of a company? This is both a very difficult question and an easy one – depending on how you look at it.

Over the years I have been fortunate enough to meet many “mum and dad” investors from around the world.

The hot topic at the moment is of course whether or not the market has bottomed.

Share market movements can seem almost random, and it can often be difficult to rationalize the daily changes in value.

When it comes down to a choice between technicals and fundamentals, technicals usually win out.

The aggressive interest rate cuts from central banks this week will certainly be welcome news for borrowers, but is it really something to cheer about?

Another week, another major drop in the share market.