Overconfidence
Given this complex moment of doubt, fear or simple market speculation “small and medium investors” should be aware that historically the stock market crashes and phases of economic recession has been followed by periods of recovery and growth, theref… Some investors will pick a couple of stocks which have 200% or 300% returns and then […]
Buy Back
Buying stock in a company is more than opening a brokerage account and randomly picking a stock or buying a stock because of a hot tip from your cousin’s brother-in-law who’s an accountant. First of all, stocks should only be purchased once an individual investor understands the basics of investing and has prepared themselves for […]
Repurchase
A share repurchase refers to the management of a public company buying back company shares that were previously sold to the public. There are several reasons why a company may decide to repurchase its shares. For instance, a company may choose to repurchase shares to send a market signal that its stock price is likely […]
Balance
A balance sheet is one of the key financial statements provided by a company. Along with the income statement and the statement of cash flows, the balance sheet helps provide a picture of the company’s financial position at given point in time. What Is a Balance Sheet? The balance sheet is a statement showing the […]
Rules
In the investment world is closer and more investors, but there’s room for non-experts. Unfortunately not all roses and flowers and there are some basic rules to follow, and the purpose of this article has the aim to answer even the questions that are addressed daily by investors. Declare in writing the financial intermediary’s risk […]
Attention
Investing is always a smart decision but like most things in life it is prone to human error and emotion which leads to poor decision-making and bad judgment. If done wisely, investing can lead to a comfortable retirement where you can enjoy your Golden Years by traveling and spending time with family and friends. Take […]
Equity Value
Equity value, commonly referred to as the market value of equity or market capitalization, can be defined as the total value of the company that is attributable to equity investors. It is calculated by multiplying a company’s share price by its number of shares outstanding. What is Equity Value? To calculate equity value from enterprise […]
Dividend
It is possible for an investor to make a quick short-term profit by investing in a dividend paying stock right before the company declares a dividend. By timing a stock purchase to coincide with the ex dividend date, an investor can own a high-yielding stock for as little as a week, benefit from the dividend […]
Force Index
The force index, a term and formula developed by psychologist and trader Alexander Elder, is a technical indicator that measures the amount of power used to move the price of an asset. The Force Index allows to identify the reinforcement of different time scale trends: The indicator should be made more sensitive by decreasing its […]
Margin Call
A margin call occurs when the value of an investor’s margin account (that is, one that contains securities bought with borrowed money) falls below the broker’s required amount. A margin call is the broker’s demand that an investor deposit additional money or securities so that the account is brought up to the minimum value, known […]