Stocks

How to Buy Stocks During an IPO

How to Buy Stocks During an IPO

An initial public offering (IPO) is the first time a company sells stock to the public. An IPO typically represents a small fast-growing company looking to raise capital to grow ...

What Happens to Stock Prices After Exiting Bankruptcy?

What Happens to Stock Prices After Exiting Bankruptcy?

If you own stock in a company that's headed for a Chapter 11 bankruptcy filing, the news is not going to be good. When the company emerges from bankruptcy, your shares will most ...

How to Interpret the Dow Volume

How to Interpret the Dow Volume

The Dow Jones Industrial Average is a stock market index that charts 30 major publicly traded companies covering several industries in the United States, such as banking and ...

Difference Between Open Interest & Volume

Difference Between Open Interest & Volume

In options trading, several crucial indicators can guide you to a smart speculation. These include open interest and volume. Although both measure the current market activity in ...

Tax Benefits of Investing in a Business

Tax Benefits of Investing in a Business

Investing in a business is one of the major forms of investing for institutions and individuals alike. As businesses grow and branch out, their investors earn money based on the ...

Shareholder Distributions Vs. Cash Equity

Shareholder Distributions Vs. Cash Equity

Companies offer shares of stock for sale as a means to finance projects, such as growth expansions or new product lines. In the process of issuing stock, companies also hand over ...

How to Calculate Maturity Risk Premiums

How to Calculate Maturity Risk Premiums

When analysts or investors gather information to estimate the required return on a bond, they build up the projected return by layering a series of premiums on top of the ...

How to Buy Stocks of Privately Owned Companies

How to Buy Stocks of Privately Owned Companies

Investing in a company before it trades publicly on the open markets can sometimes be extremely lucrative if you pick the right company. Just imagine how wealthy you would be had ...

Advantages & Disadvantages of Paying Cash Dividends

Advantages & Disadvantages of Paying Cash Dividends

When a publicly traded company earns a profit, it has the option of of sharing its profits with its shareholders through the payments of cash dividends. Many companies whose ...

How to Buy a Stock Once It Reaches a Certain Price

How to Buy a Stock Once It Reaches a Certain Price

Many stock trades are transacted at market prices -- that is, a stock is bought or sold at whatever price is quoted at the time of the trade. Some traders, however, prefer to buy ...

Can a Sole-Owner Corporation Sell Shares?

Can a Sole-Owner Corporation Sell Shares?

One of the benefits of the corporation entity type is the way it is capitalized. The ownership of a corporation is represented by holding shares of stock. Selling stock in ...

Advantages & Disadvantages of Share Option Schemes

Advantages & Disadvantages of Share Option Schemes

Many businesses offer stock options, also known as share option schemes, as a benefit of working for the business. Employees are given the right to purchase stock in their company ...

Delisting Process for the NASDAQ

Delisting Process for the NASDAQ

For stocks listed on the NASDAQ exchange, the prospect of delisting presents a serious challenge. Delisted stocks often lose a substantial portion of their market capitalization ...

How to Calculate Financial Position Equity

How to Calculate Financial Position Equity

Calculating your equity in a financial position varies according to the market in question. Still, the principle remains the same across different financial markets. Equity is the ...

How Much Money Do You Need to Open an Investment Account in the Stock Market?

How Much Money Do You Need to Open an Investment Account in the Stock Market?

If you are new to investing in the stock market, you probably have questions about how to get started and how much to invest. Deciding how much money you need to open an ...

Mutual Funds Vs. Financial Intermediaries

Mutual Funds Vs. Financial Intermediaries

Mutual funds and financial intermediaries have a few features in common. However, in broad terms, the two differ considerably in that the most typical types of financial ...

The Average Real Rate of Return of Common Stock

The Average Real Rate of Return of Common Stock

Ask an economist to define the real rate of return on common stock and chances are he will say the percentage gained or lost after adjusting earnings for inflation. The rates of ...