- How Liquidity Premiums Are Calculated and Paid
A liquidity premium is the extra compensation required to get an investor to buy a security that is more difficult to sell quickly at a fair market price than an alternative. In other words, a security with a high liquidity risk – one that is difficult to sell relatively quickly at a fair price –… read more…
- Guide to Renewable Energy Investments
Renewable energy is the future. The declining supply of fossil fuels, like coal, and climate change, which carbon-based energy has helped the cause, are the two main reasons for our movement toward renewable energy. Renewable energy investment can be an attractive investment for many investors due to its potential, but it also may be risky due… read more…
- How to Read Stock Charts: An Investor’s Guide
Starting your journey as a new investor can feel overwhelming, especially when faced with the need to learn certain foundational skills. One key skill worth mastering is reading stock charts. These charts provide a snapshot of a stock’s performance at any given moment, offering valuable insights. At first glance, stock charts might appear complex, but… read more…
- How to Invest With Averaging Down
When a stock you own declines in value, you may be wondering what to do next. You can sell and accept the loss, do nothing and hope the stock’s value climbs again or buy additional shares while the price is low. This third strategy, known as averaging down, could allow you to increase your position… read more…
- How to Invest in Oil Markets
Oil prices have had a remarkable year. Historically volatile, like most commodities, oil prices tumbled during the pandemic to the point where they dipped into negative territory, meaning it cost more to store a barrel of oil than the product… read more…
- How Does the Fama-French 3 Factor Model Work?
The Fama-French Three Factor model is a formula for calculating the rate of return on a given asset. Like many (if not most) such models, it offers an estimated value based on market factors at large. In this case, investors… read more…
- How to Invest in Dividend Kings
Incorporating dividend-paying stocks into your investment portfolio can be a strategic way to generate passive income and enhance long-term wealth accumulation. The key consideration is identifying which dividend stocks offer the best potential for stability and growth. One compelling option is investing in Dividend Kings, which is a select group of companies that have consistently… read more…
- Calculating Hurdle Rates for Investments
Hurdle rate is a term describing the minimum return an investor requires before deciding to buy a security or make another type of investment. It is expressed as a percentage. That is, if an investment promises to provide a return… read more…
- How to Invest in the Pakistan Stock Exchange
The Pakistan Stock Exchange (PSX), formerly known as the Karachi Stock Exchange, was created when exchanges in Karachi, Lahore and Islamabad were merged by the Pakistan government. The PSX is now the only stock exchange in Pakistan. With 546 companies… read more…
- How to Invest in the Tokyo Stock Exchange
The Tokyo Stock Exchange (TSE) is the world’s third-largest exchange, with a total market capitalization of approximately $6.8 trillion. The Tokyo-based exchange lists nearly 3,800 companies. The exchange merged with another exchange based in Osaka in 2013 to form Japan Exchange Group (JPX). If you’re interested in investing on foreign exchanges consider working with a financial… read more…
- How to Invest in the Australian Securities Exchange
The Australian Securities Exchange (ASX) lists more than 2,328 companies and has a market capitalization of approximately $1.6 trillion, or $1.11 trillion in Australian dollars (AUD). Its size places it among the 10 largest global exchanges by market cap. The… read more…
- How to Invest in the Hong Kong Stock Exchange
The Hong Kong Exchange (HKEX) is the largest Asian stock exchange, with more than 2,500 listed companies and total market capitalization of about $6.7 trillion. Its history goes back to the 19th century. In 2000 it merged with the Hong… read more…
- How to Invest in the Dhaka Stock Exchange
The Dhaka Stock Exchange (DSE) is the largest of two stock exchanges in Bangladesh as well as the oldest, having begun trading before the country became independent in the 1970s. The second-largest is the Chittagong Stock Exchange, which began operations… read more…
- How to Invest in the Toronto Stock Exchange
The Toronto Stock Exchange (TSX) is the biggest stock exchange in Canada and one of the top 10 largest exchanges in the world. It has been in operation since 1852. The TSX is part of the TMX Group, which also… read more…
- How to Invest in the London Stock Exchange
The London Stock Exchange (LSE) is the largest in Europe, and the seventh largest globally, with more than 2,000 companies listed as issuers of debt or equity securities. Its listed companies represent more than 95 countries around the world, including 2,548 from Europe, 191 from North America, 133 from India and 19 from South America.… read more…
- How to Invest in the Shanghai Stock Exchange
The Shanghai Stock Exchange is the largest securities exchange in mainland China. It has a total market capitalization of approximately $7.26 trillion, making it the third-largest exchange in the world. Some of its listed companies are among the biggest in… read more…
- What Is a Private Equity ETF and How to Invest
Private equity is a popular asset class for those seeking alternatives to traditional stocks and bonds. But for the typical investor, it’s often out of reach. It’s possible, however, to find an entry point through private equity ETFs. A private equity ETF is an exchange-traded fund that utilizes private equity strategies to invest. These funds… read more…
- What Is a Hedge Fund ETF and How to Invest
Hedge funds can deliver above-average returns to investors who are comfortable taking more risk in their portfolios. Aside from the fact that they don’t always deliver, there’s just one catch: Access to hedge fund investments is often limited to high-net-worth… read more…
- How to Invest in Low Float Stocks
Low float stocks are favorites of day traders because the limited supply of these generally inexpensive shares can lead to exceptionally rapid changes in price. With the potential for great reward also comes the potential for great loss, however. The… read more…
- What Are Bracket Orders and How Are They Used?
Bracket orders are a type of advanced securities order that help investors manage risk and maximize profits. They are especially useful for professional traders, day traders, swing traders, scalpers and others who may be exposed to significant risk and are… read more…
- How to Calculate Rolling Returns
When comparing investments in your portfolio, you may be concerned primarily with the returns a particular security generates over time. Rolling returns measure average annualized returns over a specific time period and they can be helpful for gauging an investment’s… read more…
- How to Invest $500,000
Having $500,000 to your name is a massive advantage, as there are so many investing opportunities available to you. However, the principles of building a strong portfolio remain the same for all investors, regardless of their investable assets. You should… read more…
- How to Invest in Esports
StarCraft changed the world. This computer game was arguably the first major esport, or electronic sport, with immense popularity and a professional circuit in many parts of the world, particularly the U.S. and East Asia. Today many games have a… read more…
- How to Calculate Free Cash Flow (FCF)
Free cash flow is a measure that helps business owners, investors and others assess a business’s financial performance and outlook. Free cash flow is defined as operating cash flow minus capital expenditures. Strong free cash flow can indicate that a company is… read more…
- A Guide to Investing in Gold Mutual Funds
Whether they hedged against inflation or worried about the market crashing, investors regularly resorted to gold to offset risk. There are many ways to invest in gold, including gold mutual funds. Read on to discover how to invest in specialized… read more…