INVESTING ESSENTIALS

A stakeholder is an individual or group that has an interest in a particular organization, project, or activity. They can be internal or external to the organization. Internal stakeholders: External stakeholders: Key factors for stakeholder engagement: Benefits of stakeholder engagement: Examples of stakeholder engagement: FAQs

A capital gain is the profit you make when you sell an asset for more than you paid for it. It can be applied to a variety of assets, such as stocks, bonds, real estate, or artwork. Here are the basic steps involved in calculating your capital gain: There are some rules that apply to […]

A lottery is a form of gambling that involves drawing numbers at random. Participants buy tickets with numbers on them, and the numbers are drawn in a drawing. The person who matches the drawn numbers wins the lottery. Types of Lotteries: Common Lottery Games: Benefits of Playing Lotteries: Risks of Playing Lotteries: Overall, lotteries can […]

Discounting is a financial technique that involves reducing a future sum to its present value. It is used to adjust for the time value of money, which means that it accounts for the fact that money received today is worth more than the same amount received in the future. Formula for Discounting: Present Value (PV) […]

Definition: Interest is a payment made to a lender or other creditor as a charge for the use of money borrowed or for the delay in payment of a debt. It is typically calculated based on the principal amount, the interest rate, and the time period. Types of Interest: Formula for Simple Interest: I = […]

The word “bear” has a powerful presence in many cultures and carries a significant amount of symbolism. Here’s a breakdown of its meaning across different contexts: General: Specific contexts: Overall: The meaning of the word “bear” can vary based on the context, but its powerful association with strength, protection, primal instincts, and uniqueness remains consistent […]

Definition: Direct investment is a type of foreign investment (FDI) in which an investor acquires or controls assets that are directly used to produce goods or services within a specific country. It involves setting up operations in a country with the intention of generating profit by producing and exporting goods and services. Key Features: Types […]

Break-even analysis is a financial technique used to determine the point at which total cost and total revenue are equal, resulting in no profit or loss. It is a fundamental concept in accounting and business planning that helps managers understand the relationship between costs, volume of sales, and profitability. Key Variables: Formula for Break-Even Point: […]

An asset class is a group of similar assets that are traded in the same market or have similar characteristics. They are typically used to describe investments in different categories of financial assets. Types of Asset Classes: 1. Equity:– Stocks (common and preferred)- Exchange-traded funds (ETFs)- Index funds 2. Fixed Income:– Bonds- Treasury securities- Government […]

Lapse is a term used commonly in photography and videography to describe a sequence of frames captured at a slow frame rate, usually between 1 and 24 frames per second. These frames are then combined to produce a smooth video sequence with a slow-motion effect. Here is a breakdown of the key points about lapse: […]