Understanding Stock Options

Date Monday, November 24th, 2008

Stock/Share is the money invested in the company/industry for business purposes. Even if you invest a small amount of money in a company’s stock, you partly become the owner of that company. Consequently the loss or gain of the company is yours.
For the investment in stock it is necessary to study a lot about the company and the economy of the country. The advice by the broker or the investment company must be given due consideration. However the final decision to invest money in the particular company should be yours. Read the rest of this entry »



Defining “Hot Money”

Date Sunday, November 9th, 2008

In economics, hot money refers to funds which flow into a country to take advantage of a favourable interest rate, and therefore obtain higher returns. They influence the balance of payments and strengthen the exchange rate of the recipient country while weakening the currency of the country losing the money. These funds are held in currency markets by speculators as opposed to national banks or domestic investors. As such, they are highly volatile and will be shifted to another foreign exchange market when relative interest rates make this more profitable. Read the rest of this entry »



The Money System: Greed Prevails

Date Monday, October 27th, 2008

Then we have world-wise bankers that created investment vehicles out of risky investments to remove the investments from the bank ledgers. Unfortunately, this strategy only conceals the risk for a time. When money stops flowing and sales stop, the game is up. Can you imagine having a license to steal and the guarantee that you will be bailed out by the government? There is little incentive for honesty or accountability when you are going to be bailed out with funding from the Federal Reserve and the taxpayers of the United States.
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What Your Bank Isn’t Telling You

Date Monday, October 20th, 2008

There’s a clich that prostitution is perhaps the oldest profession on earth. If prostitution was the first profession, banking was a close second. 4,000 years ago temples served as banks. Money was stored in form of compressed gold plates. People though temples would be the safest place to store their money, because they were well built and considered sacred. There are even archaeological signs dating back to 1800 BC of temple priests giving loans to local merchants.
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Why Your Credit Score Matters

Date Thursday, October 16th, 2008

If your credit score is good, you’ll know it. Pre-approved credit offers will be stuffed in your mailbox every day, and banks will likely bend over backwards to offer you the lowest rates on all types of loans. However, if your credit score is low or non-existent, you’ll be trapped in a world where loans are hard to come by and the rates and fees on loans you are able to get will be very costly. This can potentially add up to hundreds of thousands of dollars over a lifetime, all because of a three digit score that is calculated by a computer program. And to make matters worse, many employers and insurance companies are also using credit scores as a factor in making employment decisions and pricing insurance rates. So there is more risk at stake by having a bad credit score than just higher interest on loans. A low credit score can affect your life in many ways you might have never even imagined!
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What Are Stock Option Greeks?

Date Friday, October 10th, 2008

Have you ever wondered why some individuals are able to trade stock options so confidently and effectively? Besides having the basic knowledge of how the stock market works, identifying the trend direction, possessing the right attitude and knowledge of what are the “Greeks” and understanding how they work, will reduce the risk in trading stock options tremendously. To become a successful stock option trader or investor, we all have to start from the bottom and work our way up by learning the basics of stock options.

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