What are the Forms of Ownership of a Corporation in the United States?
There are many different forms of ownership of a company in the United States. This subtopic describes some of them. Corporations can be privately held or publicly traded. There are also C-Corporations (C-corps), which are the typically large companies controlled by a board of directors, and S-Corporations (S-Corps), which are smaller and have some of the characteristics of LLCs. LLC is an abbreviation for Limited Liability Company, which is a pass-through entity for partnerships or sole proprietors which shields the private assets of the owners from the liabilities of the business. LLCs are almost entirely regulated by state law, and while they can issue stock, it depends on the state. Continue reading...
Where can I find information about hedge funds and their performance?
Not all hedge funds are obligated to disclose their holdings, trades, or performance. About half of them are, however, and their performance can be found online through Morningstar and other sources. This information may not be as detailed as you would like, and you may try other means. Since the Dodd-Frank Act in 2010, more information about hedge funds is available to the public. This does not mean that all the information you seek will be readily available, however, and there are many hedge funds that do not make their information public. Continue reading...
What are Investment Ideas?
Many services today offer investment ideas to consumers, some through subscription services, some available on a public website. Almost none of it is meant to constitute investment advice, in the legally-defined sense, because investment advice is only to be given by a licensed professional with regard to the individual situation of each person. Investment ideas are published by websites and subscription services to educate and inform people about possible ways to make money investing. This might include tips on stocks, bonds, funds, options, real estate, collectibles, and so on. Continue reading...
Will Ripple Make a Superior Payment System?
Ripple is already making waves in the banking world and may be poised to become the #1 option for cross-border settlements between banks worldwide. Ripple is described as giving cross-border payments a protocol as universal as Http does for the web. The current default system for communicating cross-border payments, SWIFT, has been around since the 1970s, but transactions can take nearly a week to settle. This is because SWIFT only provides secure messaging services for the requests from different institutions, but each transaction still requires several intermediaries who each might take a day to negotiate or complete their part in the deal. Ripple offers a revolutionary way to complete transactions in a matter of seconds, by directly linking banks around the world and cutting out the middlemen wherever possible. Continue reading...
What is the Triple Bottom (Bullish) Pattern?
The Triple Bottom pattern appears when there are three distinct low points (1, 3, 5) that represent a consistent support level. The pair tests the support level over time but eventually breaks resistance and makes a strong move to the upside. This type of formation happens when sellers can not break the support price, and market participants eventually pour in. Once the price breaks out from the top pattern boundary, day traders and swing traders should trade with an UP trend. Consider buying a pair or a call option at the breakout price level. To identify an exit, compute the target price by adding the pattern’s height (highest price minus the bottom price support level) to the breakout level the highest high. When trading, wait for the confirmation move, which is when the price rises above the breakout level. Continue reading...
What is the Descending Triangle (Bearish) Pattern?
The Descending Triangle pattern has a horizontal bottom (1, 3, 5) which represents the support level, and a down-sloping top line (2, 4). The breakout can be either up or down and the direction of the breakout determines which corresponding price level is the target. This pattern is commonly associated with directionless markets, since the contraction (narrowing) of the market range signals that neither bulls nor bears are in control. When the price of a pair consolidates in a somewhat volatile fashion, it may indicate growing investor concern that the price is set to break out. Continue reading...
What is 'Pro Forma'?
Pro Forma is a term used frequently in the context of a company’s financial statement, and refers to the manner in which figures are presented. In Latin the term “Pro Forma” means “as a matter of form,” and in the case of a financial statement refers to how figures are presented either in present form or as projections. For publicly traded corporations, statements prepared with the pro forma method are generally made ready ahead of a planned transaction such as an acquisition, merger, or some change in corporate structure based on new investment or capital changes. Continue reading...
What is Nominal GDP?
Nominal GDP is the value of all goods and services produced in a country, without adjustments for inflation. GDP is the market value of all final goods and services produced within a country in a given period of time, and is usually expressed quarterly. Nominal GDP is primarily used to compare quarters in the same year, and does not contain an inflation adjustment as with Real GDP, which is more useful for comparisons across years. Continue reading...
Be Smart about Planning for Retirement
The key difference between Portfolio Wizards and 401(k) Portfolios is that the latter contains reports. These reports are detailed descriptions of the performance of the existing portfolio. 401(k) Portfolios allow you to purchase existing portfolios, while the former can be used to create new portfolios or add existing ones to your files. The reports are crucial to the understanding of the way that the portfolios are chosen and ranked because they contain a page with a layout of the Diversification Analysis. Continue reading...
Where Should I Put my Healthcare Savings?
There are two options for saving for healthcare needs: brokerage accounts and Health Savings Accounts (HSAs). Brokerage accounts provide more investment flexibility and no restrictions on withdrawals, but may be subject to taxes and penalties. HSAs provide a triple tax benefit, higher contribution limits, and no expiration date, but have restrictions on how funds can be used. The article emphasizes the importance of starting to save for healthcare expenses early and staying informed about healthcare options. Ultimately, the choice between these options depends on an individual's circumstances and goals. Continue reading...