A coupon bond or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from the issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a year divided by the face value […]
People rarely have clear knowledge about Stakeholder vs Stockholder. There are many differences between Stockholders and stakeholders. Shareholders are always stakeholders in a corporation, but stakeholders are not always shareholders. A shareholder owns part of a public company through shares of stock, while a stakeholder has an interest in the performance of a company for reasons other than […]
Potential investors tend to know about Index Fund vs Mutual Fund. The main difference between Index fund and Mutual fund is; Index funds invest in a specific list of securities while active mutual funds invest in a changing list of securities, chosen by an investment manager. Key Points: Index funds seek market-average returns, while active […]
Potential investors who are looking to acquire a stake or ownership; search about common stock vs preferred stock. There are many differences between preferred stock and common stock. The main difference is that preferred stock usually does not give shareholders voting rights, while common stock does, usually at one vote per share owned. Key Points: […]
Investment vs gambling. Most of us have heard the term, “Investing in the stock market is just like gambling at a casino”? What do you think? Though, investing and gambling both involve risk and choice—specifically, the risk of capital with hopes of future profit. But there is a huge difference between Investing and Gambling. Gambling is […]
Investment vs speculation. The primary difference between investment and speculation is the amount of risk undertaken. High-risk speculation is typically akin to gambling, whereas lower-risk investing uses a basis of fundamentals and analysis. Whenever a person spends money with the expectation that the endeavor will return a profit, they are investing. In this scenario, the […]
The difference between dyes and pigments is their relative solubility; dyes are soluble while pigments are essentially insoluble in the liquid media in which they are dispersed. Dyes and pigments are substances that impart color to a material. The term colorant is often used for both dyes (also called dyestuffs) and pigments. Both dyes and […]
An investment is an asset or item acquired with the goal of generating income or appreciation. Appreciation refers to an increase in the value of an asset over time. When an individual purchase a good as an investment, the intent is not to consume the good but rather to use it in the future to create wealth. Remember: […]
Business Risk VS Financial Risk. Financial risk refers to a company’s ability to manage its debt and financial leverage, while business risk refers to the company’s ability to generate sufficient revenue to cover its operational expenses. Key Features: Financial risk relates to how a company uses its financial leverage and manages its debt load. Business […]
Unsystematic risk, also known as diversifiable risk or non-systematic risk, is the danger that relates to a particular security or a portfolio of securities. What is Unsystematic Risk? Unsystematic risk is the risk that is unique to a specific company or industry. It’s also known as nonsystematic risk, specific risk, diversifiable risk, or residual risk. In […]
