building portfolio

What Are Dividends and How Do They Work?

What are Dividends?  

When companies make money, they give away part of these earnings to their shareholders. These declared earnings are called dividends. They come in the form of money (cash), stocks and a less likely form of assets.

The

Common Stock Vs. Preferred Stock: There’s More than one way to play

There’s More Than One Way to Play: Take Risks or Play It Safe?

Common Stock vs. Preferred Stock

When you invest in a company you become a shareholder and are issued a certain number of shares. You become a stock …

Buy And Hold Investing: The Advantages & Disadvantages

The buy and hold investing strategy is essentially just what it sounds like: Purchase stocks and then hold them for an extended period of time. The underlying assumption for the buy and hold strategy is that stocks tend to go …

Choosing the Right Asset Classes

Stocks, options and bonds…oh my!

Frankly, the number of different financial products out there can be overwhelming. Add to that the maddening financial jargon used to describe these products and it becomes a perfect storm of frustration and helplessness. Totally

Sharpe Ratio Definition & Example

WHAT IS SHARPE RATIO?

HOW DO I USE IT?

Good question……

sharpe-ratioThe Sharpe Ratio, named after Nobel laureate William F. Sharpe, measures the rate of return in association with the level of risk used to obtain that rate. It’s a …

Understanding Bid and Ask Prices

How to get the best prices buying and selling stocks – Bid Price and Ask Price

Imagine you’re at a flea market. You head over to one of the stands and see a baseball card that you want. And even …

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