Market sentiment plays a crucial role in determining the performance of an Initial Public Offering (IPO). It refers to the overall mood or attitude of investors toward the financial markets at a given time. Positive or negative market sentiment can...

Issuing primary stocks offers several key benefits to companies. The primary advantage is raising capital. When a company issues stocks in the primary market, such as through an Initial Public Offering (IPO) or a Follow-on Public Offering (FPO), it...

A covered call occurs when a trader sells (or writes) call options on an asset in which they have a long position. They are also referred to as buy-writes.

Pump-and-dump schemes are a form of market manipulation that significantly impacts penny stock prices. In these schemes, fraudsters artificially inflate the price of a low-volume penny stock (the "pump") by spreading misleading or false information,...

Stock promoters, also known as stock touts, are individuals or firms that promote publicly traded companies and their stocks to potential investors. They may use various forms of advertising and marketing, such as email, social media, and online...

A beneficial owner refers to the natural person who ultimately owns or controls a legal entity, such as a corporation, or who has a significant economic interest in a transaction. It is a term used in the context of anti-money laundering (AML) and...

The primary market and the secondary market are two distinct components of the financial marketplace, each serving a unique role in the buying and selling of securities, such as stocks and bonds.

Balancing risk and reward is a crucial aspect of stock trading. To manage risk, traders should diversify their portfolios by investing in a mix of stocks, bonds, and other assets. They should also set stop-loss orders to limit potential losses, and...

The primary purpose of a stock market index is to provide a benchmark for measuring the performance of a group of stocks or the overall market. It tracks the price movements of a selected group of companies, representing a particular segment of the...

The range in trading refers to the difference between the highest and lowest prices of an asset over a specific time period. It is an important indicator that traders use to identify the volatility of an asset and to make informed trading...