A VWAP stands for volume-weighted average price, a technical analysis tool that shows the ratio of an asset's price to its total trade volume. Traders and investors use it to determine the average price at which a stock is traded over time. Investors...
Private equity funds come in several types, each with different investment goals, risk levels, and time horizons. The main types include venture capital, growth equity, buyout funds, mezzanine funds, and distressed asset funds.
Interest rate changes have a direct and powerful impact on a bond’s yield to maturity (YTM). When market interest rates rise, existing bond prices usually fall, causing their YTM to increase. This happens because new bonds are issued with higher...
Blockchain is transforming modern stock trading by introducing greater transparency, efficiency, and security. Traditionally, stock transactions involve multiple intermediaries such as brokers, clearinghouses, and custodians. This process can take...
Investing in blue-chip shares offers stability, reliability, and steady long-term growth. Blue-chip companies are large, well-established businesses with a history of consistent earnings, strong balance sheets, and reliable dividend payments. Because...
A physical share certificate is a paper document that serves as proof of ownership of shares in a company. It includes details such as the shareholder’s name, the company’s name, the number of shares owned, and the certificate number....
Portfolio rebalancing is the process of adjusting the allocation of assets in an investment portfolio to maintain a desired level of risk and return. Over time, market movements can cause certain assets, like stocks or bonds, to grow or shrink...
The price-to-book (P/B) ratio is a crucial metric for identifying undervalued stocks, especially in value investing. This ratio compares a company's market value to its book value, providing insights into how much investors are willing to pay for...
Dividends are a crucial aspect of investing, representing a portion of a company's earnings distributed to its shareholders. They serve as a primary incentive for investors, providing a steady stream of income and demonstrating a company's financial...
Penny stocks are known for their volatility, so having a clear exit strategy is crucial for protecting profits and limiting losses. One of the most effective methods is setting price targets before entering a trade. Investors should decide in advance...