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Tip of the Day Be Wary of Mutual Funds

Be Wary of Mutual Funds - Mutual funds for years have been a safe investment option if you are going to invest your money, but lately these investments are not...

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Leveraged Stock

Leveraged Stock - Leveraged Stock is stock financed with credit, such as that purchased on a margin account. A certificate obtained on credit, especially on a margin account. Generally, one purchases a leveraged stock with one's broker's money, with the stock and cash as collateral. This increases the stockowner's profit when the net value goes up and increases his or her debt to the broker when it goes down. Stock backed with credit, as in a margin account. Although not, strictly speaking, leveraged stock, securities are convertible into common stock to provide an extra degree of the leverage when bought on the margin.

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Bob said:

watch out for <b>margin calls!</B>

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This increases the stockowner's profit when the net value goes up and increases his or her debt to the broker when it goes down.


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Definition of the Day Heterogeneous

Heterogeneous – Heterogeneous is a broad term that refers to individuals, items, companies, industries, etc. that are dissimilar from each other while still pertaining to a larger whole.  The opposite of heterogeneous is homogeneous, which encompasses similar objects within a group.  Outside of economics and business, heterogeneous can also be...

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