Active vs. passive investing:The goal of active investing is to "beat the index" by actively managing the investment portfolio.Passive investing, on the other hand, advocates a passive approach, such as buying an index fund, in tacit recognition of the fact that it is difficult to beat the ...
A bear market is a prolonged period of price declines in a stock or entire market, usually of 20 percent or more from a recent high. Investors typically track the world’s major indexes like the S&P 500 and the Dow Jones Industrial Average to see when th
Stock trading is the exciting, shorter term strategy where it isyou against the market. Where you can quickly make significant profits in a short amount of time when you are correct. This differs from investing in companies which is generally considered a long term strategy. Done properly, inve...
In reality, investing is typically for the long term, depending upon the time horizon of the fund invested in, and checking in on performance in the short term isn’t really indicative of anything. Days, weeks, even months, aren’t really all that relevant when you think a Pension may b...
Investing is a critical piece of your financial strategy Over time, inflation—the general increase in the cost of goods and services—gradually destroys at your purchasing power. Think of how much your parents or grandparents paid for their first home. Compare that to the price of real estate...
NextEra Energy is a utility holding company and is the parent of Florida Power & Light and NextEra Energy Resources. Utility sector stocks are generally considered defensive investments and are popular flight-to-safety plays during economic downturns. Utility companies have stable and predictable deman...
The cost of acquisition is the total expense incurred by a business in acquiring a new client or purchasing an asset.
When it comes to making the world a better place, investing isn’t the first thing that comes to mind. But socially responsible investing, or SRI, is more attainable and profitable than ever. Once considered a fairly radical strategy, SRI has increasingly gained in popularity. According to a...
Researchers are still working on developing a theory of mind AI. 4. Self-aware AI Finally, self-aware AI is considered the most sophisticated form of AI; it describes machines that are aware of their emotions and the emotions of those around them. This type of AI may still be in the ...
for investment, this is a key point to remember. You need to have the best understanding of the liquidity needs you predict. E.g., after 10 years, you might plan to take out cash to finance your children’s college education, or after 5 years, you might plan to buy a larger home....