This offers diversification and is generally more affordable than actively managed funds. Studies have shown that a stock price rises on the news of its inclusion in a stock market index. Moreover, the stock price may crash upon removal from the…
Return on Equity ROE Calculation and What It Means
ROI measures the efficiency of an individual investment, while ROE evaluates a company’s ability to generate profit relative to shareholders’ equity. To calculate ROE, divide the company’s net income by its average shareholders’ equity. Because shareholders’ equity is equal to assets…
What is a Point in the Stock Market? Points Explained
Percentage change better reflects what is happening on an apples-to-apples basis. Given a one-point drop, the first falls by 10%, but the second by only 1%. Thus, the point move in the first stock is a much steeper and more severe…
What is NAS100 NASDAQ 100? Beginners Guide 2021
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