Hedge Funds: Understanding Current Concepts and Lingo
What exactly is a “hedge fund”? Basically, this is a managed pool of capital for institutions or wealthy individual investors who employees one of the various trading strategies in stocks, bonds or derivatives, attempting to gain from market inefficiencies and, to some degree hedge underlying risk. Hedge funds are often loosely regulated and usually much [...]
Growth and Value: What’s the Difference?
While the majority of American investors understand the importance of diversification in investment growth and value, few are able to achieve passing score on tests of their knowledge about the differences between the two, according to a new survey Investments American Century. Test your knowledge with the Growth & Value IQ quiz below: 1. What [...]
Greed And Fear
Greed and fear are the main players in the stock market. Both emotions are the driving force behind almost all market participants – Institutional managers, stockbrokers, investors, traders and you. You may say to yourself that greed and fear will never be in the way of my trading, but believe it or not they will. [...]
On Volatility and Risk
Volatility is considered the most accurate measure of risk and, by extension, of return, its other side. The higher the volatility, the higher the risk – and reward. That volatility increases in the transition from bull to bear markets seems to support a pet theory. But how to account for the volatility spike in the [...]
