Financial Theory Articles

  1. The Getty Oil Takeover Fiasco

    It was the largest takeover in history and one of the most dramatic. Learn all about the fate of Getty Oil.
  2. Why The Dow Matters

    Although the DJIA only includes 30 stocks, it can tell you a lot about the market as a whole.
  3. Top 5 Bull And Bear Arguments

    Are you a bull or a bear? Here are the top five arguments for each side.
  4. 5 Reasons To Avoid Index Funds

    Indexes are a hands-off way for investors to access the markets, but in some cases, nothing beats active investing.
  5. Is Buy & Hold Investing Dead?

    In an economy rocked by the latest recession, is buy and hold investing still the best strategy?
  6. Why Low Oil Prices Are Bad For The Economy

    You may be paying less at the pump, but how are lower oil prices affecting other parts of the economy?
  7. The Unsung Pioneers Of Finance

    We all know names like Rockefeller, but there are other influential pioneers of finance in America's history.
  8. "Great" 8? 8 Failures Say Otherwise

    The G8 has a history of big promises and no action, and it doesn't look like much has changed in 2009.
  9. Financial Physics: "Natural" Market Laws

    Physics uses math to define the laws of the universe; here, we look at what laws explain the financial universe.
  10. The Best CEOs Listen To The Street

    Studies show that transparency and listening to the market are a winning combination for CEOs and the companies they run.
  11. 5 Earnings Season Investing Tips

    These essential tips will get you through the earnings season.
  12. Top 4 Things That Determine A Home's Value

    Your house depreciates over time, while the land beneath it is likely to do the opposite.
  13. So You Wanna Be A Millionaire: How Long Will It Take?

    There are many ways to hit the million-dollar mark, but the faster you try to get there, the harder it becomes.
  14. 5 Tales Of Out-Of-Control Inflation

    Hyperinflation can make a $1,000 bill look like chump change.
  15. What Would Full Disclosure Mean For The Market?

    In the wake accounting scandals, more people are calling for full disclosure. But what would that even help?
  16. On This Day In Finance: June 29 - Apple iPhone

    The iPhone becomes a reality.
  17. Financial "News": When Opinion Becomes Fact

    News agencies and financial journalists aren't actually analysts, so don't believe everything you read.
  18. From Nest Egg To Omelet: How Common Wisdom Failed Investors

    Don't put all your eggs in one basket" is still a sound piece of investment advice - if you understand what it means.
  19. Your Retirement Saviour: Entertainment

    Put down those brokerage statements and pick up a Nintendo Wii handset.
  20. The Government And Risk: A Love-Hate Relationship

    Though the U.S. government can help its citizens by subsidizing risky loans, the costs always come back to the taxpayers.
  21. The Giants Of Finance: Andrew Carnegie

    Though not as well-remembered as some of his contemporaries, Andrew Carnegie's legacy is strong and moralistic.
  22. SEC Seeks To (Ad)Dress Naked Shorts

    Though naked short selling is illegal, it's barely enforced, but that might be changing.
  23. On This Day In Finance: June 16 - 76th Anniversary Of The FDIC

    The Glass-Steagall Act of 1933 would reform the banking indusry, and attempt to protect the average investor.
  24. Biggest Millionaire Flops

    The next time portfolio losses have you down, just be glad that you can blame some of your woes on the market, rather than your own poor judgment.
  25. Stimulus Spending: When It Fails And Why

    The downgrade in debt rating might be a good way to keep countries' spending in check.
  26. On This Day In Finance: June 11 - CFA Day

    On this day in 1947, the association of investment professionals was formed.
  27. Your Personality Is Your Investment Strategy

    It's hard to keep your emotions in check while you play the stock market, but it will help you make better decisions in the long run.
  28. Is Biofuel A Bad Idea?

    Though it may be a renewable resource, there are some downsides to ethanol.
  29. On This Day In Finance: June 8 - New Deal Again

    Troubled economic times, loss of trust in financial institutions, high unemployment, and the need to stimulate the economy, sound familiar?
  30. Free Markets: What's The Cost?

    Some argue that when the free market fails to protect consumers, government regulation is required.
  31. How To Feel Satisfied With Your Economic Situation

    By making these small changes in your life, you can feel better about your financial situation no matter what the economy does.
  32. Can Business Evolve In A Green World?

    Learn how global warming is starting to heat up America's corporate climate.
  33. How’s Your Mood?

    Your mood, and the mood of each of the participants in the economy, has a huge impact on the market. See how consumer sentiment plays a huge role in the strength of the economy.
  34. Game Theory: Beyond The Basics

    Take your game theory knowledge to the next level by learning about simultaneous games and the Nash Equilibrium.
  35. Working With Islamic Finance

    There is no division between the spiritual and the secular in this type of socially responsible investing.
  36. The Uptick Rule Debate

    This rule was deemed ineffective and repealed in 2007, but critics argue it protects the market from bear raids.
  37. Peer-To-Peer Lending Breaks Down Financial Borders

    Banks are no longer the only option for a loan - the P2P lending system operates without them.
  38. Investment Misselling A Global Problem

    When banks and advisors focus on fees and commissions, it is investors and the market that take the hit.
  39. The Uptick Rule: Does It Keep Bear Markets Ticking?

    This rule prevents traders from driving stocks down, but its effect on market volatility is debatable.
  40. Moral Hazards: A Bump In The Contract Road

    Learn how this phenomenon can cause a party in an agreement to behave differently than expected.
  41. What Makes An M&A Deal Work?

    Do you know why companies merge? Here we'll take a look at three successful company acquisitions and why they succeeded.
  42. A Nightmare On Wall Street

    These tales of banking terror sent shivers down the spines of even the most steadfast bankers.
  43. Introduction To Stationary And Non-Stationary Processes

    What to know about stationary and non-stationary processes before you try to model or forecast.
  44. Biggest Merger and Acquisition Disasters

    Find out which companies collapsed after merging.
  45. Monte Carlo Simulation With GBM

    Learn to predict future events through a series of random trials.
  46. For Companies, Green Is The New Black

    Sustainability and reducing environmental impact are hot corporate objectives. Find out why.
  47. Rate Cuts Don't Guarantee Great Returns

    Pundits often advise buying after the Fed cuts interest rates, but this advice could cost you.
  48. Warren Buffett: The Road To Riches

    Find out how he went from selling soft drinks to buying up companies and making billions of dollars.
  49. The Basics Of Game Theory

    Break down and examine the potential consequences of economic/financial scenarios.
  50. The Globalization Of Financial Services

    The key to survival for many financial institutions will be to efficiently serve a global customer base.
  51. The Green Marketing Machine

    Don't let corporations greenwash their dirty laundry. Learn how to spot a phony.
  52. Dialing In On The Credit Crisis

    Would a similar crisis have occurred if iPhone investors were offered the same loan options as homeowners?
  53. Eliot Spitzer - Man Of A Thousand Scandals

    Learn about the Wall Street scandals Eliot Spitzer prosecuted before perpetrating his own.
  54. Multivariate Models: The Monte Carlo Analysis

    This decision-making tool integrates the idea that every decision has an impact on overall risk.
  55. Exploring The Exponentially Weighted Moving Average

    Learn how to calculate a metric that improves on simple variance.
  56. Mark-To-Market Mayhem

    Did this accounting convention contribute to the credit crisis of 2008? Find out here.
  57. How Basel 1 Affected Banks

    This 1988 agreement sought to decrease the potential for bankruptcy among major international banks.
  58. Dissecting The Bear Stearns Hedge Fund Collapse

    Learn how a deadly mix of greed and leverage cost investors millions.
  59. Oil As An Asset: Hotelling's Theory On Price

    Not sure where oil prices are headed? This theory provides some insight.
  60. From Beads To Binary: The History Of Computing

    Investing today couldn't happen without the inventions of yesterday. Learn more here.
  61. A Deeper Look At Alpha

    The Jensen index helps investors compare realized returns to what should've been achieved.
  62. Benchmark To Show Winning Returns

    You can't win if you don't keep score. Read on to learn how to measure your returns.
  63. Mad Money ... Mad Market?

    Jim Cramer's spirited recommendations are a case study in irrational market behavior.
  64. From The Printing Press To The Internet

    Find out how this invention contributed to the development and evolution of the U.S. economy.
  65. Basel II Accord To Guard Against Financial Shocks

    Problems with the original accord became evident during the subprime crisis in 2007.
  66. Trading Systems: Run With The Herd Or Be A Lone Wolf?

    Find out if taking the path less traveled will work in your favor - or against it.
  67. Value Investing + Relative Strength = Higher Returns

    Buying value stocks that are moving higher helps investors steer clear of value traps.
  68. Lobbying: K Street's Influence On Wall Street

    Corporate lobbyists have the power, influence and political backing to affect your portfolio. Find out how.
  69. The History Of Information Machines

    Discover how technology changed the way we exchange information when trading.
  70. Scenario Analysis Provides Glimpse Of Portfolio Potential

    This statistical method estimates how far a stock might fall in a worst-case scenario.
  71. The Chinese Wall Protects Against Conflicts Of Interest

    After the crash of 1929, this barrier helped define ethical limits, but it did little to prevent fraud.
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