November 18, 2017

Fifteen Investing Terms You Should Know By Joshua Kennon

Ask: The lowest price a seller is willing to accept when selling a security (stock). Bear: An investor who believes the market as a whole or a particular stock will decline. A bear is the opposite of a Bull. Bid: The highest price a buyer is willing to accept when purchasing a security. Blue Chip: A company that has a history of solid earnings, regular and increasing dividends, and an impeccable balance sheet. Examples: Coca-Cola, Berkshire Hathaway, & Gillette. We have an entire subject area dedicated to Blue Chip stocks! Go Here. Book Value: The value of the company if all…

Principle of investing (I)

Introduction In GTBAM education series published earlier, we presented a study on the “Art of Investing,” where investing was defined as an art and science that requires creativity, experience and good judgment on the art side and quantitative skills, precision on the science divide to achieve mastery of the process. (You can visit our website at www.gtbasset.com to read or download a copy of the article). In this edition, we shall highlight the principles guiding investing in several spheres of the market. It is common knowledge that though many desire to invest and earn returns on their investment, they lack…