Bond Valuation

A bond is a long-term debt instrument used by governments, corporations, and firms to raise debt financing. Most of the bonds have following three attributes generally. • Pay interest annually, semiannually, or quarterly • They have defined maturity period • They have...

Amortization

To capitalize upon the opportunities belonging to over the years the companies often fulfill funding requirements through long term debts from banks or financial institutions. These long-standing loans are repaid in yearly installments usually. Annual installments...

Stock Valuation

The shareholders buy shares with the expectations of receiving dividends and increase in the value of the shares. A conscious investor buys shares when they are undervalued and sell them when they are overvalued. Under valuation means the shares’ true value is more...

Kinds of Interest Rates

Just like a person working for some one expects remuneration or a landlord expects rent from tenant, the provider of funds also expects return. Two types of funds providers exist. One who takes the risk and provides funds for sharing profit or loss. The average...

Financial Markets

In general terms financial market is a mechanism of delivering savings from the households, governments, and corporations to the users of these funds. Financial markets and financial assets exist in an economy because the savings of various individuals and...

Mutual Fund

A fund managed by an investment company which lifts up capital from financier and invests in a pool of assets. Just like a listed company the mutual funds also raise money by selling shares of the fund and purchase various investment securities such as stocks, bonds...