The Canada Pension Plan Investment Board The main concern of the Senior Vice President is whether CPPIB will be able to sustain its positive results with its current investment strategy and the long term nature of the pension plan. A shift towards an active strategy concentrated on Private and Alternative Investments has certainly paid off since its implementation. However‚ the pension plan has reached somewhat of a roadblock considering the recent loss it has suffered. The million dollar question
Premium Finance Investment Economics
general process of capital accumulation through investment and reinvestment which ultimately translates into improved economic indicators and improvement in quality of human life. Foreign direct investment‚ in its classic definition‚ is investment by a company in production located in another country either by buying a company in the country or by expanding operations of an existing business in the country (Todaro 2006). Foreign direct investment is done for many reasons including to take advantage
Premium Macroeconomics Economy Investment
Investment Banker The importance of an investment banker is what they do. They are important because of the services they provide to the economy. They advise for financial transactions such as mergers and acquisitions for companies. When a corporation sells new securities to raise funds‚ the agent is responsible for finding buyers for these securities. The investment banker purchases securities from corporation and arranges immediate resell of these securities to the investors. For example‚ Merrill
Premium Finance Corporate finance Bank
18 09 Fax: +216 73 30 18 88 Abstract: This paper examines the dynamic causal relationships between foreign direct investment (FDI)‚ trade and economic growth in Tunisia by applying the bounds testing (ARDL) approach to cointegration for the period from 1970 to 2008. The bounds tests suggest that the variables of interest are bound together in the long-run when foreign direct investment is the dependent variable. The associated equilibrium correction was also significant confirming the existence of
Free Economics Investment Economic growth
Return on Investment (ROI) and Total Cost of Ownership: A Comparison Introduction When a business decision is made to make an investment‚ the need for metrics arises to decide the profitability of the investment. These metrics can be measured before an investment is made to gain an insight into expected returns or they can be measured at regular intervals‚ (quarterly or yearly) to analyse the profitability of the investment. There are quite a few metrics that are used to calculate profitability
Premium Rate of return Investment Net present value
Research Paper No. 2007/28 Foreign Direct Investment in Small Island Developing States Robert Read* May 2007 Abstract The role of foreign direct investment (FDI) in small island developing states (SIDS) is an issue that has been neglected until relatively recently. The reasons for this lack of interest are unsurprising‚ given both the low absolute volume of capital flows involved and the general neglect of issues relating directly to SIDS in the mainstream theoretical and empirical economics
Free Economics Investment Capital accumulation
maintain the item purchased for its full useful life and adding such costs to the purchase price (Reh‚ n.d). Calculating TCO No general formula for calculating TCO exist the general principle is Purchase Costs + All other additional costs. In IT investments some additional costs might be cost of maintenance‚ support costs‚ upgrade costs‚ licenses costs‚ training costs‚ repair costs‚ insurance costs‚ security costs etc. Advantages of TCO * The TCO approach takes all involved costs into consideration
Premium Costs Rate of return Investment
There are trade-offs involved in every economic decisions. When considering whether or not to carry out a capital investment‚ it is rational for firms to estimate the expected rate of return on investment by comparing the costs of purchasing and maintaining the capital goods and the future expected profits. However‚ it is flawed to treat the value of a pound that is received in the future to be equal to the value of a pound received today. One reason is that due to rising inflation‚ the true value
Premium Investment Net present value Rate of return
Introduction: Investment is the way by which individuals try to increase their money or wealth through delaying their consumption of goods and services for later time in future through purchasing financial instruments or other assets that will in returns provide them with return in form of : interest‚ dividends or capital gains. Through investment investor required a return that compensates him for the time the money is committed‚ the inflation rate and the uncertainty of future payments. According
Premium Rate of return Standard deviation Market capitalization
Excess of Investment Cost Over Book Value Acquired The most common problems in applying the equity method‚ it concerns investment costs that exceed the proportionate book value of the investee company. Unless the investor acquires its ownership at the time of the investee’s conception‚ paying an amount equal to book value is rare. A number of possible reasons exist for a difference between the book value of a company and the price of its stock. A company’s value at any time is based on a multitude
Premium Asset Balance sheet Depreciation