An annuity is a contract that takes in cash and then pays a fixed income stream to its holder for a set period of time. As retirement nears, the shift … Read more →

Enterprise value is a calculation of a company’s total value in dollar terms. Figuring out what a company is “worth” can be difficult. Often, investors use market capitalization, the dollar … Read more →

A dividend is a periodic cash payment to shareholders of a company. Usually made quarterly, a dividend payment is a distribution of corporate profits. The number of shares an investor … Read more →

A CD ladder is a method of investing in certificates of deposit (CDs) that helps you earn some interest now while reducing the risk of missing higher rates later. CD issuers … Read more →

Bond duration is the length of time it takes for a bond to pay back an investor. Think of a bond as a loan, similar to a mortgage. If the … Read more →

A capital gain is a profit realized from the sale of an investment. Stock, bonds and other investments purchased at given price may be later sold at a higher price. … Read more →

An account minimum is the least amount of money or assets an investor must deposit in order to work with an advisory firm. Investment firms and mutual funds specify an … Read more →

Automatic rebalancing is the automated buying and selling of investments in a portfolio. Many retirement-oriented investment plans offer automatic rebalancing. Automatic rebalancing means the portfolio periodically reverts to a specific … Read more →

Fundamental analysis is a synonym for stock analysis, that is, the study of a company’s prospects as an investment. Investors who choose to purchase stocks can choose to buy broad … Read more →

The Consumer Price Index (CPI) is an official government statistic that measures inflation. Inflation expresses the rising cost of living. Governments track inflation by following a selection of goods and … Read more →