What is Mothballing & When Should You Do It?
Mothballing is a process by which certain properties or assets are temporarily put out of service. This process can be used to protect assets and equipment when they aren’t currently in use or needed. Many businesses will mothball their properties when they are undergoing renovations or not actively operating, so that the property and its contents remain intact until...
What is a Night Depository?
A night depository, also known as a night drop box, is a secure receptacle in which you can deposit cash payments or other documents. It is typically mounted to the outside of a building and allows businesses to accept deposits after regular banking hours. This makes it much easier for customers to make their payments without having to wait...
Exploring the Benefits and Risks of Pooled Funds: A Comprehensive Guide
Pooled funds, also known as collective investment schemes, are investment vehicles that pool together money from multiple investors and use it to buy a diversified portfolio of assets. These assets can include stocks, bonds, real estate, and other securities. Pooled funds offer several benefits to investors, including professional management, diversification, and economies of scale. However, they also come with...
Diversify Your Gold Investment
Investing in gold is one of the most popular types of investments. Having gold is a great way to diversify risk. Because the gold market is volatile and susceptible to speculation, investors can use derivatives and futures contracts to spread their risk. IRAs Investing in IRAs and gold investments is a great way to diversify your retirement portfolio. This type of...
Understanding Dividend Irrelevance Theory
The dividend irrelevance theory is a financial principle that suggests the value of a company's stock is not affected by its dividend policy. This means that investors should not factor in dividends when making decisions regarding the purchase or sale of stocks. Let's explore this concept further and discuss why it matters to investors. What is Dividend Irrelevance Theory? The dividend...
What is a Merchant Discount Rate (MDR)?
Have you ever wondered what it means when your credit card statement says that the merchant discount rate was applied? It’s an important part of how merchants process payments, and understanding MDR can help you budget better and potentially save money. Let’s take a closer look at what MDR is and how it affects your credit card purchases. What is...
What is Tracking Error and How Can it Affect Your Portfolio?
Tracking error is a concept that all investors and financial professionals need to understand. It measures how closely an investment follows the performance of its intended benchmark or index, and it can be a valuable tool for measuring portfolio performance. Let’s take a closer look at tracking error and how it works. What is Tracking Error? Tracking error is the difference...
What is a Zig-Zag Indicator and How Can it be Used?
The zig-zag indicator is one of the most popular technical indicators used by forex and stock market traders. It’s especially useful for identifying significant trends in the markets, which can help traders make more informed decisions when it comes to entering trades. In this blog post, we’ll take a closer look at what a zig-zag indicator is and how...
Understanding Deposit Multipliers
Have you ever heard the term ‘deposit multiplier’ used in economics? It’s an integral part of banking and financial systems, and understanding how it works can help you make more informed decisions when managing your finances. Let’s take a closer look at what deposit multipliers are, how they work, and why they matter to the world of economics. What is...
Noncurrent Assets: A Comprehensive Guide
Definition of Noncurrent assets Noncurrent assets, also known as fixed assets or long-term assets, are resources that a company expects to use for more than one year. These assets provide a company with the infrastructure and resources necessary to operate and generate revenue over the long term. Noncurrent assets include items such as property, plant, and equipment, long-term investments, and...