efficiency of such indexes. This study investigates whether stock market indexes based on an array of cap-indifferent measures of company size are more mean–variance efficient than those based on market cap. These “Fundamental” indexes were found to deliver consistent‚ significant benefits relative to standard cap-weighted indexes. The true importance of the difference may have been best noted by Benjamin Graham: In the short run‚ the market is a voting machine‚ but in the long run‚ it is a weighing
Premium Stock market index Stock market
Investment Risk in Stock Market Securities Introduction: Stories of people making fortunes from the securities market have enticed many others into risky investments. Congress created the Securities & Exchange Commission (SEC) to protect investors. Many corporation managers became greedy and made self-serving decisions that created the principle-agent problems. The solutions for these problems lead to more unethical behavior from management. The creative use of financial statements even tricked
Premium Stock market Stock Finance
XAVIER UNIVERSITY --- ATENEO DE CAGAYAN INVESTING IN THE PHILIPPINE STOCK MARKET: THE ECONOMIC‚ SOCIAL AND PERSONAL RISKS Maagad‚ Lorenzo Rafael P. Torres‚ Mae Junica A. BSAC-2 ACB Ms. Geraldine Eligan ENGLISH 27 TABLE OF CONTENTS Cover Page i Table of Contents ii Proposals * Narrows 3 * Guide Questions 4 * Topic Outline 5 * Sentence Outline 7 * Paragraph Outline 9 Introduction 13 Body
Premium Stock market
times‚ many developing countries have recognised that a market based economic system needs political institutions supportive of the free market concept. Thus Nigeria‚ like any other nation‚ has been involved in political engineering partly to achieve this goal. Like many other African economies‚ the Nigerian economy has been mixed. However‚ the level of government participation has been reducing in line with globalisation trend and market base resource rationalisation concept. In this spirit‚
Premium Economics Stock exchange Economy
The Stock Market Crash of 1929 was devastating to the American economy‚ which up to that point had been thriving with ever increasing economic returns for investors and a bull market‚ which encouraged buying. The cause of the crash has been attributed to many things‚ but there is one underlying factor to all of the possible hypotheses‚ and that is the fact that more people in the population had more disposable income in the years leading up to the crash. Those people in the population who had moved
Premium Wall Street Crash of 1929 Stock market Great Depression
Davis Corporation case focuses on following issues: The importance in bond and stock valuation; The capital structure of the company; and How they effects to the capital budgeting decisions of the company. - Swan- Davis Inc.‚ (SDI) manufactures equipment for sale to large contractors‚ the company was found in 1976 and it went to the public in 1980 at its shares value risen from $1 to $15 since it enter to the market. - The financial statements for the past three years show a decline trend
Premium Bond
topic of the stock market crash‚ is one that brings many theories and ideas to the true cause of the American economy downfall in the late 1920s. Foremost‚ the American economy suffered drastically following the conclusion of WWI‚ many lived under the assumption that the new era of the 1920s was full of economic opportunities‚ which caused over production of goods creating lasting effects on the economy. In addition‚ Americans had a false sense of security in local banking systems‚ stock prices soared
Premium Wall Street Crash of 1929 Stock market Great Depression
GLOBAL STOCK MARKETS: A CASE STUDY OF THE NIGERIAN STOCK MARKET RESEARCH BRIEF The history of stock trading and trading associations can be traced as far back as the 11th century when Jewish and Muslim merchants set up trade associations. After centuries of evolution‚ stock markets have become the symbol of commerce in the modern world. It operates in various countries and trades a range of securities. The world stock market capitalisation is estimated to be about $ 36.6 Trillion. The stock market
Premium Stock market Stock exchange Financial crisis
Using present value to value bonds A bond‚ from the perspective of the person issuing the bond is a form of long term debt. In the hands of the person who has acquired the bond it is an asset. The agency issuing the bond agrees to pay a fixed sum of money to the holder of the bond for a period of years and then‚ at the end of that period‚ to pay back the face value of the bond. Bonds can be issued by a variety of agencies/companies: 1. Municipal bonds: issued by cities‚ states and
Premium Bond Net present value Bonds
Another way is to use money is to invest it to shares. Although the Stock Market Crash of 1929 was devastating to the United States of America‚ it opened the eyes of the civilians to what money can really do the nation. The stock market had become very popular in the 1920’s. It was organized in 1792 by a group of stockbrokers‚ people who arrange the sale of stocks‚ looking for a more efficient way to buy and sell stocks. The stock market was a way for businesses to get financial support to expand their
Premium Economics Finance Money