What Is a Core Plus Investment Strategy? Core holdings are the central investments of a long-term portfolio. Core plus is an investment management style that permits managers to augment core base holdings. Within a specified-objective portfolio, managers can add instruments that have a greater risk, but greater potential return. Funds that […]
Monthly Archives: October 2020
What Is Deferred Revenue? Deferred revenue is also known as unearned revenue. The term refers to advance payments a company receives for products or services. These are to be delivered or performed in the future. The company that receives the prepayment records the amount as deferred revenue. It is recorded […]
What is Margin Trading – Margin Investing – Buying Stocks on Margin? Margin is money borrowed from a brokerage firm to purchase an investment. It is called margin as it is the marginal value between the securities held in an investor’s account and the loan amount from the broker. Margin […]
What Is a Dow ETF vs Dow Jones ETF? An exchange-traded fund (ETF) is a type of security that involves a collection of securities, such as stocks. Often this collection of securities is designed to track an underlying index. However, they can be structured to track any number of industry […]
What Is Gross Profit Margin? Gross profit is the amount remaining after deducting the cost of goods sold (COGS) or direct costs from revenue. Gross profit margin is a measure of a company’s profitability. It is usually calculated as a percentage of revenue. The cost of goods sold is a […]
What Is the Net Income Formula? Net Income Formula: Net income (NI) equals revenues minus expenses, interest, and taxes. It shows how much is left after all expenses are paid. Net income (NI), is also called net earnings. It is calculated by taking total sales and subtracting the expenses necessary […]