What is the PV Function? The PV Function is a widely used financial function in Microsoft Excel. It calculates the present value of a loan or an investment. In financial statement analysis, PV is used to calculate the dollar value of future payments in the present time. For multiple payments, we assume periodic, fixed payments and…
What is the RTD (Real Time Data) Function? The RTD Function belongs to the Excel Lookup and Reference category. The function will retrieve real time data from a program that supports COM automation. As a financial analyst, the RTD function is very useful, as it helps in refreshing values from real-time data servers in Excel…
What is the COUNTBLANK Function? The COUNTBLANK Function is categorized under Excel STATISTICAL functions. COUNTBLANK will count the number of empty cells in a given range of cells. In financial analysis, the function can be useful in highlighting or counting empty cells in a given range. Formula =COUNTBLANK(range) Where: Range specifies the range of cells in…
What is the STDEV Function? The STDEV Function is categorized under Excel Statistical functions. The function will estimate the standard deviation based on a sample. As a financial analyst, STDEV can be useful in using the annual rate of return on an investment to measure its volatility. A risky stock will show a higher standard…
What is Initial Margin? Initial margin refers to the percentage of equity a margin account holder must contribute to the purchase of securities. In other words, initial margin refers to the proportion of the total market value of the securities purchased that must be paid in cash by the investor. Understanding Initial Margin An investor…
What is the DURATION Function? The DURATION Function is categorized under Excel Financial functions. It helps to calculate the Macauley Duration. The function calculates the duration of a security that pays interest on a periodic basis with a par value of $100. DURATION is commonly used by Portfolio Managers who use the immunization strategy. Apart…
What is the INTRATE Function? The INTRATE Function is categorized under Excel Financial functions. It will calculate the interest rate for a fully invested security. The function was introduced in MS Excel 2007. As a financial analyst, we regularly come across scenarios where we need to evaluate investments. The INTRATE function is particularly useful in…
What is the IRR Function? The IRR Function is categorized under Excel Financial functions. IRR will return the Internal Rate of Return for a given cash flow, that is, the initial investment value and a series of net income values. The function is very helpful in financial modeling, as it helps calculate the rate of…
What is CAN SLIM? CAN SLIM, also referred to as “CANSLIM,” is an acronym where each letter identifies key characteristics to look for in a company. Developed by American William O’Neil, CANSLIM is used to aid in investment decisions by identifying strong-performing growth stocks. Who is William O’Neil? William O’Neil, born March 25, 1933, is…
The SUBSTITUTE function in Excel replaces occurrences of specified text within a string. Its syntax is =SUBSTITUTE(text, old_text, new_text, [instance_num]), where instance_num specifies which occurrence to replace. Unlike the REPLACE function, which targets a position within a string, SUBSTITUTE replaces specified text regardless of its position. It is case-sensitive and useful for cleaning and modifying…
