Investing - All Content

  1. New Tech Capitals Emerging In Various U.S. States

    While Silicon Valley has long been recognized as the home of tech giants, an increasing number of cities around the country ...
  2. What are some examples of Cash Flow from Financing (CFF)?

    Learn about examples of cash flow from financing, such as how companies fund their operations and how it is reflected in ...
  3. Why is there a negative correlation between quantity demanded and price?

    Learn what the law of demand is, the basic assumption of the law of demand and why there is a negative correlation between ...
  4. What are the different capitalization ratios?

    Learn about capitalization ratios, three different ratios that measure debt in relation to capital structure and how to calculate ...
  5. How do I implement a forex strategy when spotting a Upside Gap Two Crows Pattern?

    Learn about the upside gap two crows chart pattern and how to use this bearish reversal signal to create profitable trade ...
  6. What are the best technical indicators to complement the Triple Exponential Moving ...

    Learn about some of the best technical indicators that can be used to complement trading with the triple exponential moving ...
  7. What is a common strategy traders implement when using the Vortex Indicator (VI)?

    Take a look at some basic trading strategies that can be implemented with the vortex indicator, a technical tool used to ...
  8. What are the differences between a treasury bond and a treasury note and a treasury ...

    Understand what types of securities the government issues, and learn the difference between Treasury notes, Treasury bonds ...
  9. What are the primary assumptions of Efficient Market Hypothesis?

    Find out about the key assumptions behind the efficient market hypothesis (EMH), its implications for investing and whether ...
  10. What is the difference between comparative advantage and absolute advantage?

    Understand the difference between absolute and comparative advantage and how these concepts shape international trade by ...
  11. Why are private equity investments usually reserved for rich people?

    Learn what investors without a high net worth can do to invest in private equity investments, and discover the benefits and ...
  12. What can cause an asset to trade above its market value?

    Learn some of the factors that can affect the price of an investment asset and the major reasons why an asset might trade ...
  13. What is the difference between portfolio management and financial planning?

    Understand the difference between financial planning and portfolio management, and learn which financial professionals can ...
  14. What skills do I need to become a Portfolio Analyst?

    Learn what a portfolio analyst does and some examples of skills and knowledge one must possess to become a successful portfolio ...
  15. What questions are commonly asked during a portfolio management job interview?

    Learn what a portfolio manager does, how to prepare for interview questions for a job as a portfolio manager and common questions ...
  16. What is the difference between present value and net present value?

    Understand the difference between the present value and net present value calculations and how these formulas are used in ...
  17. What is the difference between rebalancing and diversifying a portfolio?

    Understand the difference between rebalancing and diversifying, and learn why each is an important factor in maintaining ...
  18. Which countries run the largest budget deficits?

    Discover the countries with the largest budget deficits and what it means. Deficits are influenced by the economy and also ...
  19. How To Invest Outside Your Comfort Zone?

    Sometimes, when it comes to investing, we have to step outside of our comfort zone and use investment tools to express a ...
  20. How Do Millennial Women Invest?

    The theme for Women’s History Month is “Make it Happen”, and that is exactly what millennial women are doing when it comes ...
  21. Why is the disparity index indicator important to contrarian investors?

    Learn more about the disparity index, a technical momentum indicator that uses the relationship between current prices and ...
  22. What transactions are included in a country's balance of payments?

    Learn about the many types of transactions that are recorded in a country's balance of payments, including the current, capital ...
  23. What kinds of securities are influenced most by systematic risk?

    Learn what systematic risk is, how investors can measure it with beta and how securities with a beta greater than 1 are most ...
  24. How does the risk of investing in the automotive sector compare to the broader market?

    Learn how investing in the automotive sector compares in risk to investing in the broader market and how diversification ...
  25. Can retail investors buy commercial paper?

    Find out whether retail investors buy commercial paper, and learn about the restrictions that often prevent individual investors ...
  26. Is the airline sector commonly included in the portfolio of a growth investor?

    Learn why the airline sector is almost never the focal point of a growth investor's portfolio but is sometimes used as a ...
  27. Why is Average Collection Period important to a company?

    Discover why the average collection period can be a particularly important accounting ratio for a company that relies heavily ...
  28. What are some common examples of marketable securities?

    Learn about marketable securities and the most common types of both debt and equity securities, including common stock, bonds ...
  29. How exactly does buying on margin work and why is it controversial?

    Learn how purchasing stock on margin works, and understand the risk associated with margin accounts that make the strategy ...
  30. What is the purpose of drawing up a cash flow statement?

    Understand the reasons behind why a company draws up a cash flow statement. Learn how it is used to understand the trends ...
  31. Which financial ratio best reflects capital structure?

    Learn about the debt-to-equity ratio and why this metric is widely considered the most useful reflection of a company's capital ...
  32. What are the SEC regulations regarding stock splits?

    Learn what SEC regulations govern stock splits and reverse stock splits, and understand what type of notice must be given ...
  33. What is considered to be a good fixed asset turnover ratio?

    Learn what the fixed asset turnover ratio is, how the ratio is calculated and how the fixed asset turnover ratio can be used ...
  34. What are the different types of preference shares?

    Learn about the difference between the four types of preference shares – callable, cumulative, convertible and participatory ...
  35. How do investors calculate the present value of a future investment?

    Learn what present value is, how to calculate the present value of a future investment, and what formula investors use to ...
  36. What is a common strategy traders implement when using the Trade Volume Index (TVI)?

    Learn what the trade volume index indicates, how to identify accumulation or distribution using it, and how traders use it ...
  37. What happened to Nathan Rothschild's estate after his death?

    Learn more about the Rothschild fortune and the business operations that brought this family substantial success in finance ...
  38. What is the best way to diversify an investment portfolio?

    Learn which methods investors use to diversify their portfolios and how risk tolerance plays a big role in determining the ...
  39. What is the difference between the Five Cs of Credit and credit rating?

    Learn the difference between the five C's of credit and credit rating and how they are used together by banks and finance ...
  40. What was Nathan Rothschild's interest in funding the Napoleonic Wars?

    Learn how Nathanial Rothschild outsmarted national governments to bring wealth and influence to his family, who controlled ...
  41. How much debt is too much when calculating capital budgeting?

    Learn how companies determine how much debt is acceptable when funding a new project by using the net present value to estimate ...
  42. What's the difference between an index fund and an ETF?

    Learn about the difference between an index fund and an exchange-traded fund and how index fund investing compares to value ...
  43. Is it possible for a country to have a comparative advantage in everything?

    Learn whether one country can have a comparative advantage in everything and what the difference between comparative advantage ...
  44. What role does ratio analysis play in valuing a company?

    Learn about the role of ratio analysis in determining company value, including some of the most common ratios used by modern ...
  45. What's the difference between economic value added (EVA) and total revenue?

    Understand the difference between economic value added and total revenue. Learn what each type measures and how it indicates ...
  46. What economic measures can be taken to encourage free enterprise?

    Learn about the types of economic policies that support free market capitalism, as espoused by thinkers in the classical ...
  47. What are the risks of using CI (competitive intelligence) for espionage?

    Learn about the primary risks involved in performing corporate espionage and how to differentiate between espionage and competitive ...
  48. Are capital gains taxed differently in different countries?

    Learn about capital gains taxes in the Unites States as well as those of other countries, where these tax rates vary significantly.
  49. What is the average price-to-earnings ratio in the drugs sector?

    Learn what the average price-to-earnings ratio is for companies operating in the drugs sector and why this metric is important ...
  50. What is the formula for calculating free cash flow?

    Read about some of the formulas for free cash flow, why investors perform cash flow analysis and what a high or rising cash ...
  51. How can an investor use the Z-Score to compare investment options?

    Learn about the Altman Z-score, how it is calculated for public and private companies and how investors can use the measure ...
  52. Does investing in small cap stocks have advantages over investing in big cap stocks?

    Learn about the advantages of investing in small-cap stocks, and find out why some investors buy shares in small-cap rather ...
  53. What sorts of factors increase cash flow from operating activities?

    Find out what factors lead to an increase in cash flows from operations. Learn about sources of cash, uses of cash and how ...
  54. How does the stock market affect gross domestic product (GDP)?

    Find out how the stock market affects gross domestic product (GDP) through two different channels: financial conditions and ...
  55. What are the different kinds of shares that a Public Limited Company (PLC) can issue?

    Learn what a public limited company is, and understand all of the various types of stock shares offered by public limited ...
  56. What are the macroeconomic effects of allowing stock buying on margin?

    Learn about the macroeconomic effects of allowing stock purchases on margin, such as increasing present access to investment ...
  57. Why would you look at year-over-year rather than quarterly growth?

    Find out why year-over-year growth analysis is more common than quarterly growth analysis in stock valuation and why investors ...
  58. How does accumulated depreciation affect net income?

    Learn why accumulated depreciation does not directly affect a company's net income; understand where a company accounts for ...
  59. What is the difference between efficiency ratios and profitability ratios?

    Learn about efficiency and profitability ratios, what these ratios measure and the main difference between efficiency and ...
  60. The 10 Riskiest Investments

    Investors seeking high returns must also be prepared for high risk. Here are ten of the riskiest investments available.
  61. Feed Your Appetite For Chipotle Stock with Options

    Chipotle's stock may be out of the average person's price range, but options in-the-money call options offer a way to invest ...
  62. What are the different groups involved in corporate governance?

    Learn about the challenges inherent to defining and executing corporate governance, and understand why different groups work ...
  63. What is the difference between paid-up capital and share capital?

    Learn to differentiate between authorized share capital and paid-up capital. See why paid-up capital can never exceed authorized ...
  64. How do I determine a particular company's market share?

    Learn what market share is, how to calculate a company's market share, and how to interpret the market share of a company ...
  65. How risky is a straddle?

    Learn how options traders use long and short straddles to potentially profit from a market regardless of the direction of ...
  66. Is there a difference between capital gains and dividend income?

    Selling something for a profits leads to capital gains. A payment made by a corporations to stockholders is a dividend. Both ...
  67. How did the financial crisis affect the banking sector?

    Learn how the financial crisis impacted the U.S. and global banking sectors both immediately and with far reaching long-term ...
  68. Why did Howard Schultz leave Starbucks, only to return eight years later?

    Find out why Howard Schultz left Starbucks in 2000, even though he was very successful, and what brought him out of retirement ...
  69. Why do index funds tend to have low expense ratios?

    Understand what an index fund is and why the nature of index funds causes them to have lower expense ratios than more actively ...
  70. What does total stockholders equity represent?

    Understand the equation for total stockholders' equity and what it represents. Learn the components of stockholders' equity ...
  71. What is the current yield curve and why is it important?

    Understand what the current yield curve represents, and learn how market analysts commonly interpret various changes in the ...
  72. What is the difference between ceteris paribus and mutatis mutandis?

    Learn about the Latin phrases "ceteris paribus" and "mutatis mutandis," often used as economic shorthand. Understand the ...
  73. Why is the time value of money (TVM) an important concept to investors?

    Understand why the time value of money is an important concept for investors. Learn when present value and future value calculations ...
  74. Trade Covered Calls On High Dividend Paying Stocks

    We explain the risks, rewards, timing, and profit and loss considerations for covered calls with dividend stocks.
  75. How To Apply Technical Indicators To Mutual Funds

    Mutual funds do not readily lend themselves to technical analysis, but investors can use common indicators to evaluate mutual ...
  76. Was Buffet Right about Derivatives as WMDs?

    Why Warren Buffet described derivatives as weapons of mass destruction, and when can they be helpful or harmful?
  77. What’s Driving U.S. Stocks? Irony.

    A seesaw week for U.S. stocks ended on the upside last week, though the rally was more a function of slow growth rather than ...
  78. How To Choose The Right ETF?

    Choosing the right ETF really isn’t that complicated. If you stay focused on a few key areas, you may find the experience ...
  79. What is Earnest Money?

    An earnest money deposit shows the seller that a buyer is serious about purchasing a property.
  80. Understanding Perpetuity

    Perpetuity means without end. In finance, a perpetuity is a flow of money that will be received on a regular basis without ...
  81. Explaining Market Value of Equity

    Market value of equity is the total value of all the outstanding stock as measured in the stock market at a particular time.
  82. What is a Promissory Note?

    A written promise by one party to pay another party a definite sum of money either on demand or at a specified future date. ...
  83. Understanding Money Supply

    Money supply – also called money stock -- refers to the total amount of currency and other liquid financial products in an ...
  84. Why is the EBITDA margin considered to be a good indicator of a company's financial ...

    Understand why the EBITDA margin is a good indicator of a company's financial health. Learn why it also has some drawbacks ...
  85. What is the formula for calculating opportunity cost?

    Learn about the opportunity cost formula and how businesses use this calculation to decide between investment and capital ...
  86. How attractive is the internet sector for a growth investor?

    Learn why the Internet sector is an attractive option for growth investors, as well as what many of them do to reduce the ...
  87. What are some examples of different types of capital?

    Learn about the different types of capital, including financial, human and social capital, and how each is a valuable asset ...
  88. A Trader's Look at the S&P 500

    Moving averages are sending an important signal, and it's probably not what you think.
  89. Can individual investors profit from interest rate swaps?

    Find out how individual investors can speculate on interest rate movements through interest rate swaps by trading fixed rate ...
  90. Can the government tax your capital gains from other countries?

    Learn more about how capital gains earned in foreign countries are treated by the IRS. Discover examples of special tax situations ...
  91. How do I invest or trade market indicators?

    Read about how investors can trade actual market indicators, such as the S&P 500 Index, rather than specific stocks or commodities.
  92. What's the difference between economic value added (EVA) and accounting profit?

    Learn the differences between economic value added and accounting profit. Understand the numbers used in each calculation ...
  93. What is the point of calculating economic value added (EVA)?

    Understand the reason for calculating economic value added, or EVA, as well as the performance it measures. Learn when a ...
  94. What is a common strategy traders implement when using the Wide-Ranging Days pattern?

    Learn about wide-ranging days and how traders use this single-session candlestick pattern to predict trend reversal and create ...
  95. What are some examples of fixed assets?

    Learn the difference between fixed tangible assets and fixed intangible assets, and review examples of these two types of ...
  96. How does a company's capitalization structure affect its profitability?

    Learn about capitalization structure and how the combination of debt and equity a company uses to fund operations can affect ...
  97. What is accounting fraud?

    Learn what accounting fraud is, why a company commits account fraud and some types of accounting fraud that misrepresent ...
  98. Is a deficit in the balance of payments a bad thing?

    Discover how it might be possible to run a balance of payments deficit, what that means in terms of international trade and ...
  99. What trading strategies help investors withstand a drawdown?

    Understand the concept of drawdown and the importance for traders of having a trading strategy that takes temporary drawdown ...
  100. What are examples of popular companies in the banking sector?

    Learn about some of the popular companies for bank stocks in the banking industry, a prime component of the financial services ...
Frequently Asked Questions
  1. How are non-qualified variable annuities taxed?

    Reduce your tax bill by knowing the tax advantages and disadvantages to owning or inheriting a non-qualified variable annuity ...
  2. Do penny stocks pay dividends?

    Discover whether any penny stocks offer dividends, and learn methods investors can use to identify different dividend-paying ...
  3. Can you buy penny stocks in an IRA?

    Discover more about penny stocks, how they can be bought utilizing an individual retirement account and the risks penny stock ...
  4. What is the formula for calculating compound annual growth rate (CAGR) in Excel?

    The concept of CAGR is relatively straightforward and requires only three primary inputs: an investments beginning value, ...
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