Company reports: it pays to go looking for trouble

You've probably never considered reading a set of accounts backwards. But it's the points tucked away at the end that can be particularly revealing.

Ever considered reading a set of accounts backwards? If not, perhaps you should. Faced with digesting a document that can run to hundreds of pages (HSBC's last set came in at 458), many investors concentrate on the profit and loss account, balance sheet and cash flow statement. But these bits, while a good starting point, tend to paint the picture the firm wants you to see. Anything they would rather no one noticed will be tucked out of harm's way at the back. Here are a few things to look out for.

1. Hidden debt

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Tim graduated with a history degree from Cambridge University in 1989 and, after a year of travelling, joined the financial services firm Ernst and Young in 1990, qualifying as a chartered accountant in 1994.

He then moved into financial markets training, designing and running a variety of courses at graduate level and beyond for a range of organisations including the Securities and Investment Institute and UBS. He joined MoneyWeek in 2007.