Archives: Resources

Export Trading Company (ETC)

What is an Export Trading Company (ETC)? An export trading company (ETC) provides support services to firms that specialize in exporting. From the client’s perspective, it would include warehousing, shipping, insuring, and more. In addition, export trading companies also handle the legal requirements involved throughout the exporting process for various goods. An example would be…

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S Corporation (S Subchapter)

What is an S Corporation (S Subchapter)? An S Corporation (S Corp) is a closely held corporation (Limited Liability Company (LLC), partnership, or C Corporation) that is treated as a pass-through entity for federal tax purposes. It is created through election to be taxed under Subchapter S of Chapter 1 of the Internal Revenue Code….

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Down Round

What is Down Round? The term “down round” is used to refer to a scenario where the value of a business at a time of investment is below the value of the same business during a previous period or financing round. Normally during a down round, investors purchase equity in the business at a lower…

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Drawee

What is a Drawee? Common in bill or check transactions, a drawee can be described as the entity or person upon whom a bill or check is drawn. The drawee is the entity or person to whom a bill is addressed and is given instructions to pay. In most cases, when a check (bill of…

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Exponential Growth

What is Exponential Growth? Exponential growth is when data rises over a period of time, creating an upwards trending curve on a graph. In mathematics, when the function includes a power (or an exponent), the calculation would be increasing exponentially. For example, if hens lay eggs three times per year and triples every year, then…

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EAFE Index

What is the EAFE Index? The EAFE Index (Europe, Australasia, and the Far East) was created to measure the performance of the stock markets in developed markets – excluding the U.S. and Canada. The indicator is maintained by MSCI Inc. and is popularly known as the MSCI EAFE Index. MSCI Inc. is a U.S.-based finance…

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Dotcom

What is Dotcom? Dotcom is a term used to refer to a company that conducts a majority or all of its business via the internet. Other terms include “dot-com”, dot-com company, “.com” or dot.com. The businesses are normally conducted through a website with the domain “.com” in the URL. Popular dotcom companies include Amazon.com, eBay.com,…

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Double Top

What is the Double Top? Common in financial trading, the double top is a type of chart pattern that can be found when performing technical analysis. The double top chart pattern is an indication that the prevailing trend may reverse in the short or long term. Financial trading markets include the trading of currencies, stocks,…

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Dove (Economic Policy)

What is Dove (Economic Policy)? In attempts to ensure the overall economic well-being and stability of a country, there are usually economic advisors who aid in the development of monetary policies. In contrast to a hawk or monetary hawk – an economic advisor who advocates for monetary policies that focus on the reduction of inflation…

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Doji

What is a Doji? A Doji is a unique pattern in a candlestick chart, a common chart type for trading. It is characterized by having a small length, which indicates a small trading range. The small length means that the opening and closing prices of the financial asset being traded are equal or have small…

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