airlines, and hotels can be characterized as cyclical since they see sales booms when economies are strong and suffer when economies are slow. The stocks of cyclical companies can become worthless during a severe recession to cause the company to go out of business. ...
Many investors include one or more Vanguard funds in their portfolio, while buying aggressively managed or specialized funds from competitors. The people who use Vanguard are responding to a superior value chain for a particular type of service. A variety-based positioning can serve a wide array ...
What are Business Metrics? (+ 6 That Matter Most for SMBs) After small business owners establish their companies and reach their first few major milestones, it’s time to think about how to consistently grow and maximize long-term potential. Often, an entrepreneur’s initial goal is to get...
This is because the longer duration exposes the investment to all negative and positive outcomes of an economic cycle. Funds of shorter Macaulay Duration stay protected from these outcomes, though their returns can be lesser. Apart from these, there are many special categories of mutual funds. Som...
To better understand GDP’s impact on your investing, it’s helpful to learn about economic cycles (also called “business cycles”) andwhich sectors tend to perform better or worse in each part of the cycle. Economic cycles are often driven by GDP. ...
The results are then published so that both bank customers, who trust their bank with considerable funds, and bank investors can decide if they want to continue to do business with the bank.Why stress-test a bank? Before the Great Recession, banks were not regularly stress-tested in the ...
What are Business Metrics? (+ 6 That Matter Most for SMBs) After small business owners establish their companies and reach their first few major milestones, it’s time to think about how to consistently grow and maximize long-term potential. Often, an entrepreneur’s initial goal is to get...
As the company grows, people must be hired to run the expanding sections of the business. The main challenge during this stage is balancing the increase in expenses required for growth with the still limited funds available. During the maturity stage, the company should be relatively stable. It...
industries, companies, etc., based on the strategy of the fund. About half of the mutual funds held by American households are in index equity funds, which have portfolios that comprise and weigh the assets of indexes to mirror the S&P 500 or the Dow Jones Industrial Average (DJIA)....
Mutual funds are pooled investments managed by professional money managers. They trade on exchanges and provide an accessible way for investors to get access to a wide mix of assets that are selected for the fund. What Is a Mutual Fund?