Key Takeaway: Certificates of deposit (CDs), Treasury securities, money market accounts, corporate commercial paper, and municipal notes are all examples of short-term investments that offer various levels of liquidity, return on investment, and risk. When choosing a short-term investment, it is important to consider factors such as the length of the investment, the amount of…
Key Takeaway: Misconceptions about buying a house as an investment: While buying a house may seem like a smart investment, it comes with high costs associated with homeownership, limited potential for appreciation, and inflexibility with investment capital. These factors make buying a house a bad investment choice for some. Alternatives to buying a house as…
Key Takeaway: Investment banking offers many benefits, including high salary potential, exposure to different industries and markets, skill development and career advancement opportunities, and prestige within the finance industry. To succeed in investment banking, individuals need to have a strong education and certifications, analytical and quantitative skills, as well as interpersonal and communication skills. Despite…
Key Takeaway: TSP investment is a retirement savings plan for federal employees, including military personnel. It offers pre-tax and after-tax contributions, as well as loan options. TSP funds are diversified portfolios of different asset classes, including the G Fund for government securities, F Fund for bonds, C Fund for stocks, S Fund for small to…
Key Takeaways: HELOC is a flexible option for buying investment property: With HELOC, you can borrow against your home equity, giving you access to funds for buying investment property. This is a great option for investors who want flexibility in using their funds. Lower interest rates than traditional loans: One of the key benefits of…
Key Takeaway: Bitcoin mining investment involves using powerful computers to solve complex mathematical algorithms and validate transactions on the blockchain, for which miners earn rewards in the form of bitcoins. Bitcoin mining provides several benefits, such as low transaction fees, a decentralized system, and profit potential due to the limited supply of bitcoins. This makes…
Key Takeaway: Recording investment in another company on the balance sheet is important to accurately depict the financial position of the investing company. It can also impact the company’s financial ratios and stock price. The accounting standards for recording investment in another company depend on the type of investment and the level of control exercised…
Key Takeaways: Foreign Portfolio Investment (FPI) refers to investment made by foreign investors in the stock, debt, or other financial assets of a country other than their own. There are various types of FPI, including equity securities, debt securities, mutual funds, and exchange traded funds (ETFs), each with its own risks and potential returns. The…
Key Takeaway: Appraisal forms for investment properties are used to determine the value of a property for buying or selling purposes. These forms provide an estimate of the property’s market value and help investors make informed decisions. There are three types of appraisal forms used for investment properties: sales comparison approach, cost approach, and income…
Key Takeaway: Small risk of loss is a potential decrease in the value of an investment that can be easily absorbed by the investor’s overall portfolio. This risk is generally considered to be insignificant and manageable. Investors should still pay attention to small risks of loss, as they can have an impact on overall investment…
Key Takeaway: A 770 investment account is a type of whole life insurance policy in which money is set aside to generate tax-advantaged savings in addition to a death benefit. The account is funded with after-tax dollars, but grows tax-free and can be accessed before retirement without penalties. The benefits of a 770 investment account…
Key Takeaways: Some investment companies specialize in buying junk cars for the most money, providing car owners with a quick and easy way to dispose of their unwanted vehicles. When looking for a company to sell your junk car to, it’s important to consider their reputation and customer reviews to ensure a reliable and trustworthy…