What is the Overnight Rate? The overnight rate refers to the interest rate that depository institutions (e.g., banks or credit unions) charge each other for overnight lending. Note that the overnight rate is called something different in different countries. For example, in the United States, it is known as the Federal Funds rate, while in…
What are Long-Term Investments? Long-term investments are assets that an individual or company intends to hold for a period of more than three years. Instruments facilitating long-term investments include stocks, real estate, cash, etc. Long-term investors take on a substantial degree of risk in pursuit of higher returns. Long-term investments are not subject…
What is Income Investing? Income investing is an investment strategy that is centered on building an investment portfolio specifically structured to generate regular income. The sole objective of the income investing strategy is to generate a constant stream of income. The constant income can be in the form of dividends, bond yields, and interest payments….
What are Short-Term Investments? Short-term investments are assets that can be converted into cash or can be sold within a short period of time, typically within 1-3 years. Common instruments for short-term investing include short-term bonds, Treasury bills, and other money market funds. Short-term trading or day trading entails a significant degree of speculation and,…
What are Lending Ratios? Lending ratios, or qualifying ratios, are ratios used by banks and other lending institutions in credit analysis. Financial institutions assign a credit score to borrowers after performing due diligence, which involves a comprehensive background check of the borrower and his financial history. Lending ratios are extensively used in the underwriting approval…
What are Growth Stocks vs Value Stocks? In this article, we will talk about the key features and differences between growth stocks vs value stocks. Definition Growth stocks are stocks that come with a substantially higher growth rate compared to the mean growth rate prevailing in the market. It means that the stock grows at…
What are VBA Variable Types? In Excel VBA, individuals can use different variable types and constants in their worksheets. A variable is defined as storage in the computer memory that stores information to execute the VBA code. The type of data stored in the variable depends on the type of data of the variable. For…
What is Sub vs Function? In this article, we will discuss the key differences between a sub vs function. Both are sets of commands that are used to perform specific tasks in Microsoft Excel’s Visual Basic Application (VBA). A sub, also known as a subroutine or sub procedure, is a piece of code that is…
What is Excel IF Statement? IF Statement is one of the popular Excel instructions that can be used as a decision-making statement. It is one of the foundational concepts in programming, and it gives the required intelligence to a program so that the program implements decisions based on the criteria set by the user. In…
