We are all familiar with traditional banks because we deal with them a lot. What about investment banks? An investment bank is not really a bank, but a different kind of financial institution. Investment...

There are three kinds of people who swim in the sea. The first includes entrepreneurs, doers and creators. They had a business idea, but no money. Also swimming are investors. They have some savings...

Another important element of the capital asset pricing model is the equity risk premium. In this case, equity is an investment in shares of a company, which is what we call stock investment, and...

We’ll talk about beta later, but let’s talk about another important element of the capital asset pricing model, which is the risk-free rate of interest. Let’s say someone asks me to lend money to...

Let’s talk about long-term financing, owner investments, and long-term loans. Long-term financing is the backbone of corporate financing. Here are some key financing issues. Does the structure of long-term financing matter? Does the proportion...

The median sales price of a new home in the United States was $310,000 in June 2018, according to U.S. Census data. Now, one of the big questions in corporate finance is, does the...

Nike makes athletic shoes and sportswear. They produce these products and sell them, usually on credit, to retail stores. I know you’re an expert on this. Roughly speaking, how many days does it take...

The alternative to index funds is managed funds. Think of a managed fund as an expert group that spends its days reading economic news and financial reports from companies and industries in order to...

The return target of the fund can be divided into absolute return and relative return.   Relative returns, that is, returns that beat the market. For example, if the market goes up 10%, the...

Relatively speaking, Robin Hood is the most suitable financial management software for newcomers. Its main advantages are as follows:   1. This is an American franchise company   2. No commission     3....