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Tip of the Day Seek Professional Help

Seek Professional Help - For most of us our days are busy enough and trying to plan an investment strategy is beyond our means of understand or our time requirements....

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Merger

Definition: When one company purchases another company of an approximately similar size.  The two companies come together to become one.

TeenAnalyst Advice: Two companies usually agree to merge when they feel that they can do something together that they can't do on their own.

For example, AOL and Time Warner merged a few years back in hopes that they could both gain something.  AOL wanted access to Time Warner's cable network.  Time Warner wanted access to AOL's users (to promote movies and other Time Warner products) as well as AOL's extensive internet content.

 

Discuss It!

Pest equipment said:

We have seen so many good merging happening recently. The major ones we saw recently were between Aetna and Humana. Those who have bought the stocks of Aetna would have probably got a good fortune out of this merger.

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Distribution Plan - a distribution plan is a plan executed by mutual fund companies. The purpose of the plan is too collect and assesses fees to shareholders of the funds, to offset expenses. The expenses could be for advertising costs or sales incentives (rewards for good behavior). The distribution plan...

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