A limit order is a buy/sell order that specifies a maximum price to be paid or a minimum price to be received for a stock. Only at the specified limit price or more will the order be executed. A&n...
An investor's risk capacity or tolerance can be evaluated using their time horizon. Generally speaking, an investor can be more adventurous with their portfolio depending on the length of l...
The operational and administration costs for running a mutual fund are measured by the expense ratio, which is a percentage calculated on the assets managed by the fund. A mutual fund that doesn'...
The term year-over-year (YOY), sometimes known as year-on-year, is widely used in finance to compare two or more observable happenings annually. YOY performance can be used to determine if ...
Cum laude, which in Latin means "with praise" or "with honor," denotes a certain level of academic success accorded to students. The phrase is used by educational institutions to describe an acad...
Demand destruction is the term used in economics to describe a long-term drop in the demand for a particular good as a result of persistently high pricing or a constrained supply. Consumers may conc...
What is Racketeering? Racketeering is a term used to describe any criminal conduct carried out repeatedly for financial gain, frequently under threat of or actual use of force. A person must commi...
A linear relationship between two explanatory variables is known as collinearity. These variables can be said to be collinear if there exists an exact linear relationship between both of them. ...
Cost-cutting entails steps taken by a business to lower its costs and increase profitability. Cost-cutting strategies are often employed when a company is experiencing financial difficulty or when t...
Definition A leverage ratio is a financial metric that evaluates the amount of capital that comes from debt (loans) or evaluates a company's capacity to satisfy its financial oblig...