Go-go fund is a slang name for a mutual fund that has an investment strategy focused on high-risk securities in an attempt to capture above-average returns. A go-go fund’s aggressive approach usually involves holding large positions in growth stocks.
Net change is the difference between a prior trading period’s closing price and the current trading period’s closing price for a given security. For stock prices, net change is most commonly referring to a daily time frame, so the net change can be positive or negative for the given day in question. Though the net change for stocks and most securities is quoted in U.S. Dollars when reported by financial media, the net change can be calculated and quoted in any denomination depending on what is being traded.
Production efficiency is an economic term describing a level in which an economy or entity can no longer produce additional amounts of a good without lowering the production level of another product. This happens when production is reportedly occurring along a production possibility frontier (PPF).
Book value of equity per share (BVPS) is the ratio of equity available to common shareholders divided by the number of outstanding shares. This figure represents the minimum value of a company’s equity, and measures the book value of a firm on a per-share basis.
Objective probability refers to the chances or the odds that an event will occur based on the analysis of concrete measures rather than hunches or guesswork. Each measure is a recorded observation, a hard fact, or part of a long history of collected data. The probability estimate is computed using mathematical equations that manipulate the data to determine the likelihood of an independent event occurring. An independent event is an event whose outcome is not influenced by prior events. Subjective probability, by contrast, may utilize some method of data analysis but also uses guesstimates or intuition to determine the chances of a specific outcome.
The eurocurrency market is the money market for currency outside of the country where it is legal tender. The eurocurrency market is utilized by banks, multinational corporations, mutual funds, and hedge funds. They wish to circumvent regulatory requirements, tax laws, and interest rate caps often present in domestic banking, particularly in the United States.
Cost-push inflation occurs when overall prices increase (inflation) due to increases in the cost of wages and raw materials. Higher costs of production can decrease the aggregate supply (the amount of total production) in the economy. Since the demand for goods hasn’t changed, the price increases from production are passed onto consumers creating cost-push inflation.
Upstream is a term for the operations stages in the oil and gas industry that involve exploration and production. Oil and gas companies can generally be divided into three segments: upstream, midstream, and downstream. Upstream firms deal primarily with the exploration and initial production stages of the oil and gas industry.
The term trillion cubic feet refers to a volume measurement of natural gas used by the U.S. oil and gas industry. The measurement is usually abbreviated as Tcf. A cubic foot is a nonmetric measurement of volume also used in the U.S. A trillion—written in numerals as 1,000,000,000,000—cubic feet is equivalent to approximately one quad of Btu or a British thermal unit.
Sum of squares is a statistical technique used in regression analysis to determine the dispersion of data points. In a regression analysis, the goal is to determine how well a data series can be fitted to a function that might help to explain how the data series was generated. Sum of squares is used as a mathematical way to find the function that best fits (varies least) from the data.