Business is war.
A corporate action is something a company does that changes things for people who own shares in the company. These are the people called shareholders. Corporate actions can make the price of a company’s shares go up or down. They can also change how many shares a shareholder owns or what kind of shares they…
Cornering is when someone tries to buy a whole lot of something, like a stock or a product, to control the price. It’s usually not a good thing. Most of the time, it doesn’t work, but it can mess things up if it does, especially if there isn’t a lot of that thing to begin…
Core inflation measures how prices change over time, but with a twist – it doesn’t include prices that jump around too much. Regular inflation looks at everything people buy, from groceries to gas. Core inflation takes out food and energy prices because these prices often go up and down quickly for reasons that don’t tell…
The cooling-off period is part of bringing new stocks and bonds to market in the United States. It happens when a company makes the final version of their official document about the stocks they want to sell, and when regular people can buy those stocks. The cooling-off period usually lasts 20 days. Why Have a…
Cookie jar accounting is when a company messes around with its accounting books to make things look better than they are. It’s a sneaky way to hide problems and trick people into thinking the business is doing fantastic. How Companies Use the Cookie Jar Imagine the company’s money is a big jar of cookies. Usually,…
Okay, so convertible preferred stock – what the heck is it? This special type of stock some companies offer is a cross between regular ‘ole common stock and something called preferred stock. Here’s the deal: It’s Called “Preferred” For a Reason With convertible preferred stock, you’re not just an old shareholder but a VIP! Companies…
Convertible currency is money that you can easily change into a different kind of money whenever you want. It’s a type of currency that doesn’t have a lot of rules stopping you from trading it. Convertible currencies usually come from countries that have strong, stable economies. The price of convertible currencies is figured out by…
Convertible bond arbitrage sounds like a mouthful, but it’s actually a pretty straightforward idea once you break it down. Let’s say you’re an investor or hedge fund manager looking to make some money in the financial markets. One strategy you might use is called convertible bond arbitrage. Here’s how it works: you buy something called…
Currency convertibility means being able to exchange one type of money for another. When people talk about convertible currencies, they mean money that can be freely traded for other currencies. Think of British pounds, US dollars, or euros – these are some of the world’s most widely convertible currencies. Anyone who has these currencies can…
Markets have fascinating ways of coming together, especially when we look at how different prices and financial sectors interact. Convergence happens in two main ways: one involves how futures and spot prices converge over time, and the other describes how insurance companies and banks increasingly do each other’s jobs. Price Convergence in Derivatives Markets Trading…
