Covered Bonds: This is an issue grade debt security that is secured by a mortgage on movable or immovable property. In exceptional cases, a secured bond may be backed by another company, bank, government or municipal guarantee. A secured bondholder...

Selling shares at a higher price creates a capital gain because the investor earns a profit from the increase in the share’s market value over time. When an investor buys shares, the purchase price becomes the cost basis. If those shares are later...

The par value of preferred stock is the nominal or face value assigned to the stock by the issuing company, typically stated on the stock certificate. This value is generally set at the time of issuance and remains fixed. The par value of preferred...

An investment is a financial commitment that is intended to produce a return in the future. There are many types of investments. In-kind investments include infrastructure, buildings, equipment, industrial facilities, etc. Large capital participation...

Dividends in the stock market are payments a company makes to its shareholders as a reward for owning its shares. They represent a portion of the company’s profits that management chooses to distribute rather than reinvest entirely back into the...

A rising volatility index usually signals growing fear and uncertainty among market participants. It reflects expectations of larger and faster price swings rather than a clear directional move. When traders anticipate instability, they are willing...

Learning and understanding your trading strategy will help you make the right decisions on taking risk management which rarely triggers stop losses. When a trader is aware of their trading strategy have fewer chances of loss or even having hardly any...

A for-profit stock exchange is a securities marketplace that operates as a commercial business with the primary goal of generating profits for its owners or shareholders. Unlike traditional member-owned or nonprofit exchanges, a for-profit exchange...

Sprint trading, also known as day trading or scalping, is a trading strategy that involves making quick trades over a short period of time, typically a few minutes to a few hours. Some of the advantages of sprint trading include the potential for...

A share split, also known as a stock split, is a corporate action where a company divides its existing shares into multiple shares, increasing the total number of outstanding shares while maintaining the same overall market capitalization. The split...