In traditional value investing and Forex VPS Hosting, often only simple valuation ratios are considered and stocks are valued by P/E or CBV. However, such valuation metrics are often inadequate estimates of the market price to intrinsic value relationship, so that a well-founded determination of the value appears reasonable. However, this requires valuation methods that are not based on the hypothesis of the CAPM, since the underlying assumptions would anyway lead to P/W = 1.
The excess return of undervalued companies (with P/W <1) can be approximately explained by the following aspects: reduction of undervaluation over time, above-average performance over time due to the strength of the company, this can be simplified by the ignorance of growth, above-average dividend yield and a low probability of bankruptcy.
If the lever that could be applied to CFDs was equal to 400 (the potential profits of an operation could be multiplied by 400), it has now been reduced according to the type of investment.
