Articles on Stock markets
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What does nominal value mean?
The nominal value is the original stated value of a security or asset before it undergoes time value calculations that may change its market value.
The nominal value is also known as face value when it refers to the value stated on a bond or other issued security. Taking accrued interest or time value into account for issued securities will give you the market value, but the nominal value will not change.
It can also be used in reference to the current value of assets before they are adjusted for inflation in the future. In terms of assets adjusted for inflation, the nominal value remains constant but the real value (e.g. buying power) will decrease with more inflation.
What are Alternative Funds?
The idea with Alternative fund investing is to gain exposure to assets which are not highly correlated with the rest...
What are Periodic Distributions from a 401(k)?
Periodic distribution is a planned intermittent payment of cash from a 401(k)
What is the Form 6251: Alternative Minimum Tax, Individuals?
The Form 6251 is used to calculate the alternative minimum tax (AMT) for individuals who have high income but low taxes
What is a Multiple?
A multiple is a measure of a stock’s value, calculated by comparing one metric to another. The most commonly used is P/E
What is Fiscal Policy?
Fiscal policy is related to monetary policy, in that they are both aimed to either boost an economy or temper growth
What is Appraisal?
Appraisal is a valuation conducted by a certified professional to assess the value of property, especially real estate
What is a bear market?
Bear markets are loosely defined as periods when the market experiences declines in magnitude of 20% or more in stock trading
Should I Listen to Commentators on Financial News Programs?
First and foremost, everything they say and do is designed to keep the show’s ratings up. It’s wise to remember that
What are realistic expectations for my portfolio performance?
Realistically, you should not plan on getting more that about 10% average per year over the long term for a portfolio...
What is coefficient of variation?
Coefficient of Variation is a statistical measure of expected return relative to the amount of risk assumed