Ethical trading refers to the practice of making investment decisions based on moral principles and values, alongside traditional financial considerations. This approach often involves evaluating companies based on their environmental, social, and...
It is often used to determine the share of a company or organization as well as the amount of their liabilities based on its free capital. A measure of the financial condition of a company at a specific point in time. One of the most important...
In the context of stocks and investments, yield refers to the income generated from owning a particular stock or investment vehicle. It is typically expressed as a percentage and represents the return an investor receives on their investment over a...
The trading business is really a lucrative business, but if we look at the ratio of successful traders, we will find that 20% are successful and 80% are losers. This is not good, but if we look at the reason for losses, there are many small issues...
Stock futures are financial contracts obligating the buyer to purchase, or the seller to sell, a specific stock at a predetermined price on a set future date. Unlike options, which give the right but not the obligation to buy or sell, futures...
Hypothecation is a term used in the context of financial transactions, particularly in lending and securities trading. It refers to the practice of using an asset, such as securities or property, as collateral for a loan without transferring...
A monopoly in its purest form is one in which a single firm controls the whole industry. However, from an antitrust standpoint, even a corporation with a 25% market share might be called monopolistic.
Eco-investing, also known as green investing or sustainable investing, focuses on putting capital into projects, companies, and funds that promote environmental sustainability. This approach seeks to generate financial returns while simultaneously...
Traders use a market order when they want to execute a trade at the current market price without specifying a specific price level. This means that the trader is willing to buy or sell the asset at the best available price at the time of placing the...
When a trader buys an asset, the asset's price falls, and if the trader buys more, this is known as averaging down. Averaging down is so named because the average cost of the asset or financial instrument has been reduced. As a result, the point at...