investing
-
Dollar-Weighted Return (DWR): Calculation & Importance
Make sure to input your investments present value as a negative number or the calculator will be unable to complete the calculation. The performance of investments is most often measured by i
-
Debentures vs. Shares: Advantages of Corporate Bonds for Funding
Shares of stock represent proportional ownership in a company. Debentures are a company's unsecured debt obligations backed by the general credit of the issuer. Both securities can be used to rais
-
Modigliani Ratio: Calculating Adjusted Risk-Return
Use the Modigliani Risk Ratio to calculate adjusted risk returns. The Modigliani risk ratio, often called M squared, measures the return provided by an investment in the context of the risk i
-
Understanding Residual Property: What Happens When There's No Will?
The court system is often used to identify the owner of residual property under dispute. Residual property includes all property of a deceased individual not specifically given to a beneficia
-
Sell to Cover: Understanding Employee Stock Option Strategies
An investor may use a sell to cover stock strategy when purchasing stock from her employer's publicly traded company. This stock purchasing strategy allows an investor to save money through a disc
-
Disintermediation: Benefits, Drawbacks, and How It Impacts You
Young couple speaking with stockbroker Disintermediation is a term for cutting out the intermediary. When you buy directly from a wholesale distributor, you are cutting out the retailer. When
-
Investment Expected Payoff: A Comprehensive Calculation Guide
The future is uncertain and so are most expected payoffs. It's natural to want to know how much an investment will make before you plunk down your money. You know the exact payoff of some
-
401(k) Hardship Withdrawal Letter: A Comprehensive Guide
Generally, you cannot access funds held in your employer sponsored retirement account while you still have employment. However, when faced with a serious financial situation, the Internal Revenue Serv
-
Understanding Liquid Equity: A Guide to Company Stock
Liquid equities can be bought and sold quickly. Equity is another name for a company stock. When you buy shares in company stock, you take an ownership interest in the company and each share
-
Understanding Pension Benefits After Termination: What You Need to Know
Woman being fired from her job. A pension is an employer-sponsored retirement plan that allows an employee to contribute a portion of his earnings toward retirement years. Some employers may
-
EBITA vs. EBITDA vs. EPS: Understanding Key Earnings Metrics
EBITA and EBITDA are both earnings streams, while EPS, which stands for earnings per share, is another level of earnings expressed on a per share basis. EBITA is an acronym for earnings before interes
-
Net Working Capital & Cash Flow: A Calculation Guide
Changes in net working capital affect cash flow from operations. A company's net working capital is the difference between its current assets and current liabilities. Current assets inclu
-
Calculate Required Rate of Return on Common Stock: A CAPM Guide
The capital asset pricing model measures a stocks required rate of return. You can calculate a common stock's required rate of return using the capital asset pricing model, or CAPM, which
-
Fidelity vs. Principal: Investment Platform Comparison
Both Fidelity Investments and the Principal Financial Group are finance firms that specialize in a range of investment products. Although both offer similar products, such as individual retirement acc
-
Commercial Paper: Benefits, Risks & Key Considerations
U.S. Taxes are an example of U.S. Treasury bills Commercial paper is also known as short-term paper because of the brief length of its term. To be considered short term, a debt instrument mus
-
Marketable Securities: Benefits & Drawbacks Explained
Savings bonds are non-marketable investments that cannot be bought or sold on security exchanges. Investments encompass a broad range of instruments, including stocks, bonds, options, mutual
-
Understanding 10-Year Treasury Yields: A Comprehensive Guide
The U.S. 10-year Treasury note is the benchmark for U.S. interest rates, as it is the most liquid, heavily-traded debt security issued by the federal government. Just like stock investors turn to the
-
Understanding GDP: What It Is and Why It Matters
GDP is the acronym for gross domestic product. The GDP of a country is one measure of the size of the country's economy. The GDP numbers can be used to compare the economies of countries or states
-
Illinois Unemployment & Pension Benefits: Eligibility & Application
In Illinois, unemployed workers and those working reduced hours can apply for unemployment benefits through the Department of Employment Security. Eligible workers can receive benefits for up to 26 we
-
Understanding Inventory Purchases: Calculation & Reporting
A company can report purchases and net purchases on its income statement to show the costs it paid to buy inventory during an accounting period. The purchases line item on the income statement is the
investing
- Identifying Optimal Times to Buy Stocks: A Practical Guide
- Negative Impacts of Low Interest Rates: Economic Risks & Investment Implications
- Classified vs. Unclassified Balance Sheets: Key Differences Explained
- Convert USD to EUR: Accurate & Easy Currency Conversion
- Calculate Yield Rate: A Simple Guide for Investment Analysis
- Closing Your TD Ameritrade Account (Formerly Scottrade): A Step-by-Step Guide
-
Pension Crisis: 4 States Facing Severe Financial ShortfallsIllinois has a pension problem - and its not alone. In fact, four states in America are in dire financial straits: Illinois, Massachusetts, Connecticut, and New Jersey. These four states owe impossi...
-
Call Options: A Comprehensive Guide for InvestorsA call option, commonly referred to as a “call,” is a form of a derivatives contract that gives the call option buyer the right, but not the obligation, to buy a stockStockWhat is a stock?...
-
Life Insurance Costs: Key Factors & How to SaveLife insurance doesn’t have to be costly. Learn what factors determine how much you pay out of pocket. (iStock) Life insurance ensures your loved ones are financially supported when you die. However, ...
-
Understanding Subsidies: Definition, Types & Economic Impact...