The S&P 500 index is calculated using a market capitalization-weighted methodology, which means that each company in the index is weighted according to its total market value. The formula for calculating the index is:

Exchange-traded funds, or ETFs, offer a distinct approach compared to selecting individual shares. The biggest advantage of ETFs is diversification. A single ETF can hold dozens or even hundreds of companies, which helps mitigate the impact of a...

An online brokerage firm is a digital platform that allows individuals to buy and sell financial assets through the internet without relying on a traditional, in-person broker. These firms act as intermediaries between traders or investors and the...

When transacting, bid and ask are very important concepts that many retail investors overlook. The current stock price is the price of the last trade - a historical price. The bid and ask are the prices that buyers and sellers are willing to trade...

Sectors most sensitive to GDP growth are usually those tied directly to economic expansion and consumer activity. These are known as cyclical sectors because their performance rises and falls with the business cycle.

A stock split and a reverse stock split both change the number of shares a company has outstanding, but they do so in opposite ways and for very different reasons.

Management of the brand of owners or consumers (including permanent ones). Object management implies a technique for observing and influencing objects: targeted changes and targeted refusals to make changes. Maximizing a brand's potential is the...

Stocks suit both active and passive investors because they offer flexibility in how people participate in the market. Active investors enjoy stocks because they can trade frequently, analyse price movements, follow earnings, and respond to news. The...

Preparing for future bear markets is a prudent strategy for investors looking to safeguard their portfolios and financial well-being. Bear markets, characterized by extended periods of declining stock prices, can be challenging, but there are several...

A cash-over situation occurs in a business when the physical cash in the register or cash drawer exceeds the recorded amount in the books or point-of-sale (POS) system. This discrepancy typically arises due to errors, operational inefficiencies, or...