INVESTING ESSENTIALS

The word “lucrative” is an adjective meaning “very profitable, highly rewarding”. Example: The business opportunity was highly lucrative, offering the potential for high returns on investment. Synonyms: Profitable Rewarding Lucrative Amusing Ascerbic Opulent Antonyms: Unprofitable Loss-making Unsuitable Inconvenient

Sure, here’s a definition of a bull market: Bull market: A period in which the stock market is characterized by rising prices and widespread optimism. Key characteristics of a bull market: Rising prices: Prices of stocks and other securities increase. Growing market volume: High trading volume indicates increased market activity. Increased investor optimism: Investors are […]

A forfeited share is a share that is surrendered (forfeited) by a shareholder as a penalty for violating the company’s rules or regulations, such as failing to pay dividends or other financial obligations on time. Reasons for forfeiture: Non-payment of dividends or other financial obligations Violation of company’s rules or regulations Transferring shares without authorization […]

Definition: An issuer is a company or organization that issues securities, such as bonds, stocks, or other financial instruments. Key Responsibilities of an Issuer: Raise capital: Issuers raise capital by issuing securities to investors. Borrow money: Issuers can borrow money from investors by issuing bonds. Fund operations: Issuers use the funds raised from investors to […]

Definition: A ballot is a secret vote cast by a voter in an election. It is a document that allows a voter to express their preference for a particular candidate or party. Key Components of a Ballot: Ballot Paper: The physical paper on which the voter casts their vote. Ballot Number: A unique number assigned […]

Definition: An audit trail is a chronological record of all accounting activities and transactions in a company. It is a detailed record that provides a clear and complete audit of the company’s financial records. Components of an Audit Trail: Source Documents: Original documents such as invoices, receipts, and contracts that record the transactions. Book Entries: […]

Market Risk Market risk is the risk arising from fluctuations in market prices. It is caused by changes in demand and supply, economic conditions, interest rates, and other factors that influence the overall price of assets. Key Factors Affecting Market Risk: Interest Rate Risk: Changes in interest rates significantly impact the value of fixed-income securities […]

Sure, here is the meaning of the word “fiduciary”: Fiduciary: Trustworthy, loyal, committed to acting in the best interests of another. Usage:– A fiduciary relationship is one in which one party is acting on behalf of another party, and is expected to act with the utmost care and loyalty.- The executor of a will is […]

Expected Return The expected return on an investment is the average return that an investor can expect to receive from an investment over a given period of time. It is calculated by taking the weighted average of the possible returns of the investment, where the weights are the probabilities of each return occurring. Formula: Expected […]

The word “liquidate” has multiple meanings and depends on the context for its usage. Here are the different meanings: 1. To kill.This meaning is most commonly used in formal or literary language. Examples:* “The government liquidated the rebellion.”* “The soldier liquidated the enemy camp.” 2. To destroy completely.This meaning is also commonly used in formal […]