Articles on Stock markets
News, Research and Analysis
What is currency risk?
Countries, investors, and international businesses have to frequently assess currency risk, which is the chance that exchange rates will change unfavorably at inopportune times.
An investment in a foreign security or company, or income payments coming from foreign sources, can be at risk for exchange rate changes. If an investor or company has financial interests which are based in another currency, or if the investor engages in Forex trading, currency risk looms over the future value of the holdings, on top of any typical market risk.
It adds another layer of uncertainty to the ultimate future value of any asset which is either held in another currency or which hinges in some way on the value of foreign currencies. To hedge against currency risk, forwards or futures, which are both contracts which lock in an exchange rate for a currency at a future time, or derivatives based on these, can be used.
The futures market is liquid and the contracts are transferable to other investors, so most investors and institutions will use these more often than forward contracts. Futures and other derivative securities trade on the international Forex market.
What does hypothesis testing mean?
A hypothesis is a testable prediction of results that should be observed due to the effects of an independent variable
Should I consolidate my debt?
Debt consolidation allows people to pay one bill a month towards their debt obligation, rather than many
What is a call option?
A call option is a type of contract that allows the contract holder to purchase an underlying stock at a specific price
How Should I Invest Money in My IRA?
There are many ways to invest, but there is no definite answer. General rules focus on diversification of assets nd strategies that change with age.
How Can I Establish a SIMPLE IRA?
A SIMPLE IRA must be established by an employer with fewer than 100 employees
When Can I Start Receiving My Social Security Benefits?
Currently, you have to be 62 years or older to start receiving Social Security benefits, and this includes spouses
How to use a Gann Fan in trading
W.D. Gann developed a suite of technical analysis tools around the 1930s, with Gann Fans being among the most essential
When was the Latest Housing Bubble?
The latest housing bubble burst in 2005, a few years prior to the stock market meltdown. Some housing prices fell 30-80%
What should I look for in a good Mortgage Calculator?
Mortgage payment arrangements can be engineered in a number of ways, and a good calculator will give you flexibility