Category: Investment & Shareholders

What is a Bond?

What is a bond? It is a corporate or government debt instrument. It represents a loan to the company from the investing public. In this case, the company is the borrower and the investor is the lender. Companies issue bonds to raise money for business investments. What is a Bond? A bond has a par value,

Read More

What is Inflation?

See Also: Economic Indicators Consumer Price Index Supply and Demand Elasticity The Feds Beige Book Z-Score Model What is Inflation? What is inflation and what does it measure? Inflation measures the rate at which prices increase for consumer goods and services. Inflation also measures the rate at which a currency’s purchasing power declines. If consumer

Read More

Yield to Maturity of a Bond

See Also: What is a Bond Non-Investment Grade Bonds Covenant Definition of a Bond Contract Zero Coupon Bonds Financial Instruments Yield to Maturity Concept The yield to maturity (YTM) of a bond represents the annual rate of return for the full life of the bond. The YTM assumes the investor will hold the bond to

Read More

Yield Curves

See Also: What is a Bond? Yield to Maturity Coupon Rate Bond Par Value of a Bond Zero Coupon Bonds Yield Curves Definition In the field of finance, yield curves represent the relationship between the yields on bonds of similar credit quality that have differing maturity dates. Many commonly use the yield curve plotting U.S.

Read More

Working Capital From Real Estate

See Also: Balance Sheet Current Assets Working Capital Working Capital Analysis Current Liabilities How to collect accounts receivable Factoring Working Capital From Real Estate Example: An Asset Based Lending Solution to Cash Shortfalls and Opportunities Let’s look at a working capital from real estate example. Moreover, look at an asset based lending solution to cash

Read More

Warrants

See Also: Common Stock Definition Purchase Option Call Option Put Option Synthetic Stock Warrants Definition The warrants definition is the right to purchase shares or bonds at a fixed price before there is an issuance in the public marketplace. In this sense, a warrant is like a call option. But there are several key differences.

Read More

Venture Capitalists Definition

See Also: Why Venture Capital The Dilemma of Financing a Start-up Company Angel Investor What is a Term Sheet Working Capital Venture Capitalists Definition A venture capitalist is an investor who invests in risky startup businesses. The venture capital investor provides funding to an entrepreneur who may not have access to substantial bank loans or

Read More

Why Venture Capital?

See Also: The Dilemma of Financing a Start-up Company Angel Investor Mezzanine Debt Financing What is a Term Sheet Working Capital Why Venture Capital? Why venture capital versus other forms of equity? For one, VC partners tend to be experienced entrepreneurs themselves who have taken a startup from inception to an exit through an IPO

Read More

Treasury Stock

Treasury Stock Definition The treasury stock definition is the shares a company buys of its own stock on the open market. Shares of treasury stock were issued by the company, and then repurchased. So consider it issued, but not outstanding. After a company repurchases shares of its own stock, there are fewer shares of its

Read More

Treasury Securities

See Also: Fixed Income Securities Zero Coupon Bonds What is Inflation? Coupon Rate Bond Non-Investment Grade Bonds (Unsecured Debentures) Treasury Securities consist of debt instruments issued by the U.S. government by the Bureau of Public Debt. Therefore, the market for these instruments is very liquid. Oftentimes, consider them to be basically risk free. This is

Read More

Treasury Notes

See Also: Treasury Securities TIPS – Treasury Inflation Protected Securities Treasury Notes Definition The treasury notes definition, also known as t notes, is a U.S. government debt security that is generally intermediate in terms of its maturity. T notes generally have a maturity of one to ten years, and pay coupons as well as principal

Read More

Treasury Inflation Protected Securities

Treasury Inflation Protected Securities Treasury Inflation Protected Securities or TIPS for short are debt instruments that are issued by the U.S. government. TIPS are indexed with the Consumer Price Index (CPI), and adjust accordingly to the inflation rate presented in the CPI. Treasury Inflation-Protected Securities (TIPS) Explained Treasury TIPS means that the security will adjust

Read More
WIKI CFO® - Browse hundreds of articles