An affinity credit card is a type of credit card that bears the name and logo of the organization on its surface. When a financial institution collaborates with such an organization to create an affinity credit card, the financial institution usually...
The CBOE Volatility Index, or VIX, is the most recognized tool to trade financial market volatility. It measures 30-day expected or forward-looking volatility of the U.S. stock market based on the S&P 500 options.
Treasury stock refers to the portion of a company's shares held in its own treasury. The shares are not included in the total number of outstanding shares listed, and neither pay dividends nor have voting rights (because a company cannot pay itself,...
There is a relationship between stocks and indices, but it is not a direct one. A stock is a share of ownership in a particular company, while an index is a statistical measure of the changes in a group of stocks.
It was established shortly after the Bretton Woods Agreement collapsed, with the goal of tracking the dollar's performance in relation to the currencies of the major US trading partners. It has been tradable as a futures contract since the 1980s, and...
There is no formal list of blue-chip stocks, but the components represented in a well-known index are typically considered to be such and are referred to as blue-chip indices - this includes global indices such as the Dow Jones, the DAX, the CAC 40,...
In economics, economic utility refers to the entire enjoyment that a person can obtain from consuming a good or service. According to modern economic theory, there are four categories of utility: form, time, place, and possession.
The real rate of return is the percentage of return on investment that an investor receives or expects to receive after adjusting for inflation. For example, if an investor is considering purchasing a bond with a nominal yield of 4% and the inflation...
Consumer awareness of a brand is the awareness of the product to be purchased. Brands are very important in marketing theory when determining whether someone will purchase because most of what they are looking for is a brand name they are familiar...
The main distinction between these two types of investment vehicles is how they are purchased and sold. Mutual funds are priced daily, and you typically invest a set amount of money. Mutual funds can be purchased through a brokerage firm or directly...