The monetary return experienced by a holder of a portfolio. Portfolio returns can be calculated on a daily or long-term basis to serve as a method of assessing a particular investment strategy. Dividends and capital appreciation are the main components of portfolio returns. Portfolio returns can be calculated through various methodologies such as a time-weighted and money-weighted returns. However, the overall return must be compared to the required benchmarks and risk of the portfolio as well.
A measure of volatility introduced by Welles Wilder in his book: New Concepts in Technical Trading Systems. The true range indicator is the greatest of the following: -current high less the current low. -the absolute value of the current high less the previous close. -the absolute value of the current low less the previous close. The average true range is a moving average (generally 14-days) of the true ranges. |||Wilder originally developed the ATR for commodities but the indicator can also be used for stocks and indexes. Simply put, a stock experiencing a high level of volatility will have a higher ATR, and a low volatility stock will have a lower ATR.
In currencies, this is the abbreviation for the Libyan Dinar. |||The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion.
Something that initiates or causes an important event to happen. Originally a term used in chemistry for the volatile (active) chemical in a formula. Quite often you will hear someone say that a stock needs a catalyst. This means that the stock needs some good news or a press release to get people interested in the stock again.
A highly illegal practice occurring mainly on the internet. A small group of informed people attempt to push down a stock by spreading false information and rumors. If they are successful, they can purchase the stock at bargain prices. Poop and scoop is the opposite of pump and dump.
A widely used metric for gauging the success of businesses in the telecommunications industry. Average margin per user (AMPU) measures the margin made by the firm from each customer, typically measured as the revenue minus the costs and divided by the number of users. |||Although most telecommunications-industry analysts and firms use average revenue per user (ARPU) as a profitability indicator, AMPU is arguably a more reliable metric of a firm's profitability. By breaking down customer sales by margin rather than by revenue, companies that have lower sales volumes but create larger margins can be considered more efficient and arguably more profitable than their high-volume competitors.
A federal energy efficiency program introduced in the fall of 2009. Commonly referred to as cash for refrigerators, in reference to the cash for clunkers program that operated during the summer of 2009, the program offers U.S. customers a rebate of up to $200 when buying a new, energy efficient home appliance. The cash for refrigerators program was introduced on the heels of the controversial cash for clunkers subsidy which saw over 690,000 new vehicles purchased over the course of the program, totaling over $2.9 billion. The United States Congress set aside $300 million for the appliance energy efficiency program.
A form of life insurance purchased by banks where the bank is the beneficiary, and/or owner. This form of insurance is a tax shelter for the administering bank, as it is a tax-free funding scheme for employee benefits. Watch: Life Insurance |||Banks use BOLI contracts to fund ever-increasing employee benefits at a much cheaper rate. The process works like this: the bank sets up the contract, and then makes payments into a specialized fund set aside as the insurance trust. All employee benefits that need to be paid to particular employees covered under the plan are paid out from this fund.All premiums paid into the fund, as well as all capital appreciation, are tax free for the bank. Therefore, banks can use the BOLI system to fund employee benefits on a tax-free basis.