CHAPTER ONE 1. BACKGROUND OF THE STUDY Before an investor commits his funds to any investment in stocks, he must ensure that such stock is the type that is capable of satisfying his investment objectives. These objectives which vary from one investor to another include:- i) security (safety of capital invested) ii) adequate return on investment by way of dividends iii) growth prospects/capital appreciation iv) spread of risks, etc.
Words: 10029 - Pages: 41
Introduction There are many companies that invest greatly in property, plant and equipment, especially companies that are in capital intensive industries such as the automobile industry. Those companies commit a great amount of their resources or assets to property, plant, and equipment. As a result, investors and creditors are greatly interested in the valuation of those assets. They carefully examine the financial statements of those companies and the valuation methods used to record the assets
Words: 3013 - Pages: 13
of an international business would be Barclays. Global: a business in many countries - exchanges good a long way. for example: Amazon, Apple and Google. Public: offers their sales to the general public. usually through a stock exchange, or through market makers operating in over the counter markets. for example: Microsoft or GM - their financial records are open to the public. Private: one whose stock is held by one shareholder, or a small group of shareholders. With the shares only available
Words: 265 - Pages: 2
The United States has generally followed four tenets of economic policy in the twentieth century: laissez faire with minimal interventions, frequently, uncoordinated intervention in a mostly free market, systematic state guidance of private decision-making, and thorough state management and decision-making for the whole economy. In 1798, there was the first Congressional tariff act regarding imported foreign goods. In 1828, there was a protectionist tariff which was indicative of the US’s outlook
Words: 508 - Pages: 3
Valuing Bonds 7 Valuing Stocks 7.1 Stocks and Stock Markets 7.2 Market Values, Book Values, and Liquidation Values 7.3 Valuing Common Stocks 7.4 Simplifying the Dividend Discount Model 7.5 Growth Stocks and Income Stocks 7.6 There Are No Free Lunches on Bay Street 7.7 Market Anomalies and Behavioural Finance 7.8 Summary 8 Net Present Value and Other Investment Criteria 9 Using Discounted Cash Flow Analysis to Make Investment Decisions 10 Project Analysis Valuing Stocks LEARNING OBJECTIVES
Words: 27013 - Pages: 109
portray themselves as who they are. Seth’s lying convinced more customers to buy stocks, which in the end lost them money and hurt Seth’s reputation. Stockbrokers should not try to sell stock by misleading customers into thinking they are someone different than they are. The second practice I do not agree with is the firm using a system called “pump and dump.” This means that the brokers create artificial demand in the stock of expired or fake companies. This practice causes many people to be cheated
Words: 389 - Pages: 2
Case 3: The Insider I. Brief Summary In 2011, a stock trader of a well-known investment firm along with two alleged accomplices was convicted of insider trading. The lawyers allegedly browsed around their law firm picking up information regarding corporate deals and would provide it to a person who would then pass the inside information to the trader. This information was then used by the trader for him to earn millions of dollars. Since the information came from the lawyers, the trader would
Words: 346 - Pages: 2
Is Stock Market?? A stock market or equity market is the aggregation of buyers and sellers (a loose network of economic transactions, not a physical facility or discrete entity) of stocks (also called shares); these may include securities listed on a stock exchange as well as those only traded privately. What Is Stock Exchange?? A stock exchange is a place or organization by which stock traders (people and companies) can trade stocks. Companies may want to get their stock listed on a stock exchange
Words: 2518 - Pages: 11
Introduction The stock market is comprised of two distinct markets, the primary and secondary market. While both of these markets may operate on the same exchange they are distinctively different. When making distinctions between a money and capital markets the primary determinant is time. Broadly speaking capital markets are for long term assets that extend beyond one year. This is in contrast to money markets that are used for short term assets that are up to one year. Learning Materials Primary
Words: 608 - Pages: 3
The Stock Market The stock market is a market where several companies or individuals buy and sell shares to gain profit. Each country has one building in which the stock market occurs. For example, Ghana's stock exchange is called the Ghana Stock Exchange. The first stock exchange was the New York Stock Exchange located at 11 Wall Street. It is the world’s largest stock exchange and whatever happens to it greatly affects the rest of the world. In 1929, the Wall Street Crash occurred, crucially
Words: 713 - Pages: 3
