What are Managed Futures? Managed futures is a subclass of alternative investment strategies used by large funds and institutional investors to achieve both portfolio and market diversification. With the ability to take both long and short positions, managed futures are diversified, highly-flexible, liquid, transparent, ideal risk management tools with the potential to profit from rising…
What is Available Balance? An account holder’s available balance is the amount of funds in their account that can be accessed immediately. It can be thought of as the quantity of funds available for withdrawal. It accounts for any funds that have been placed on deposits and pending transactions that have been authorized by the bank…
What is Business Writing? Business writing is a type of writing that is used in a professional setting. It is a purposeful piece of writing that conveys relevant information to the reader in a clear, concise, and effective manner. It includes client proposals, reports, memos, emails, and notices. Proficiency in business writing is a critical…
What is the CBOE Nasdaq Volatility Index (VXN)? The CBOE NASDAQ Volatility Index (VXN) is a measure of market expectations of near-term volatility conveyed by NASDAQ-100 Index (NDX) options prices. It measures the market expectation of 30-day volatility based on the NASDAQ-100 options. The CBOE is the only organization responsible for the calculation and dissemination…
What is Predatory Pricing? A predatory pricing strategy, a term commonly used in marketing, refers to a pricing strategy in which goods or services are offered at a very low price point, with the intention of driving out competition and creating barriers to entry. In contrast to loss leader pricing, predatory pricing is aimed toward…
What is Risk Management? Risk isn’t just an abstract concept — it’s the hidden variable shaping every financial decision. Some businesses incorporate risk management to adapt and grow stronger. Others ignore it and collapse under pressure. Consider the 2008 Global Financial Crisis: firms that failed to manage their exposure to high-risk mortgage-backed securities suffered catastrophic…
What is a Pull Marketing Strategy? A pull marketing strategy, also called a pull promotional strategy, refers to a strategy in which a firm aims to increase the demand for its products and draw (“pull”) consumers to the product. Pull marketing strategies revolve around getting consumers to want a particular product. A pull marketing strategy…
What is a Push Marketing Strategy? A push marketing strategy, also called a push promotional strategy, refers to a strategy in which a firm attempts to take its products to consumers – to “push” them onto consumers. In a push marketing strategy, the goal is to use various active marketing techniques to push their products…
What is a Limited Liability Company (LLC)? A limited liability company (LLC) is a business structure for private companies in the United States, one that combines aspects of partnerships and corporations. Limited liability companies benefit from the flexibility and flow-through taxation of partnerships and sole proprietorships, while maintaining the limited liability status of corporations. If…
