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Investments glossary

Warehouse Bond

A warehouse bond is financial protection for individuals or business keeping goods in a storage facility. The bond gives protection to cover any losses if the storage facility fails to live up to the contract terms. If the operator of the warehouse fails to meet their contractual obligations, a third-party surety company, acting as an intermediary, will compensate the client for loss.

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Investments glossary

Encroachment

Encroachment is a situation in real estate where a property owner violates the property rights of his neighbor by building on or extending a structure to the neighbor’s land or property. Encroachment can be a problem along disputed property lines where a person intentionally chooses to violate his neighbor’s boundaries, or when a property owner is not aware of his property boundaries.

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Investments glossary

Dotcom Bubble

The dotcom bubble, also known as the internet bubble, was a rapid rise in U.S. technology stock equity valuations fueled by investments in internet-based companies during the bull market in the late 1990s. During the dotcom bubble, the value of equity markets grew exponentially, with the technology-dominated Nasdaq index rising from under 1,000 to more than 5,000 between the years 1995 and 2000. In 2001 and through 2002 the bubble burst, with equities entering a bear market.

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Investments glossary

Market Value

Market value (also known as OMV, or open market valuation) is the price an asset would fetch in the marketplace, or the value that the investment community gives to a particular equity or business. Market value is also commonly used to refer to the market capitalization of a publicly traded company, and is calculated by multiplying the number of its outstanding shares by the current share price. Market value is easiest to determine for exchange-traded instruments such as stocks and futures, since their market prices are widely disseminated and easily available, but is a little more challenging to ascertain for over-the-counter instruments like fixed income securities. However, the greatest difficulty in determining market value lies in estimating the value of illiquid assets like real estate and businesses, which may necessitate the use of real estate appraisers and business valuation experts respectively. read more

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Investments glossary

Property

Property is a term describing anything that a person or a business has legal title over, affording owners certain enforceable rights over said items. Examples of property, which may be tangible or intangible, include automotive vehicles, industrial equipment, furniture, and real estate–the last of which is often referred to as real property. Most properties hold current or potential monetary value and are therefore considered to be assets. But properties can simultaneously be liabilities in some situations. Case in point: if a customer sustains an injury on a company’s property, the business owner may be legally responsible for paying the injured party’s medical bills. read more

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Investments glossary

Financial Economics

Financial economics is a branch of economics that analyzes the use and distribution of resources in markets in which decisions are made under uncertainty. Financial decisions must often take into account future events, whether those be related to individual stocks, portfolios or the market as a whole.

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For American people US citizens or resident who will get stimulus money?

So who will get the covid-19 coronavirus stimulus money in the USA? Well, according to one news media article “

Who gets coronavirus stimulus money?

Individuals who make up to $75,000 per year as well as couples who make up to $150,000 per year should expect to receive the full amount of the stimulus check.”

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Investments glossary

K

K is a fifth letter added to a four-letter Nasdaq stock symbol indicating that the stock has no voting rights. The letter K is one of many fifth letters that denote something specific about the stock. To see the complete list, go to Investopedia’s entry, What are the fifth-letter identifiers on the Nasdaq?

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Investments glossary

Divergence Definition and Uses

Divergence is when the price of an asset is moving in the opposite direction of a technical indicator, such as an oscillator, or is moving contrary to other data. Divergence warns that the current price trend may be weakening, and in some cases may lead to the price changing direction.

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Investments glossary

House Money Effect

The house money effect explains the tendency of investors and traders to take on greater risk when reinvesting profit earned via stocks, bonds, futures or options than they would when investing their savings or a portion of their wages. This effect presumes that some investors will increase their risk in a given trade by the use of mental accounting when they perceive they are risking money they didn’t have previously, but have gained through their interaction with the market.