What is Capitulation? Capitulation refers to a situation in which investors/traders liquidate their existing long stock position during an extended stock price decline. It can be viewed as the moment in which investors/traders lose hope in their long position and accept losses. Understanding Capitulation Capitulation, derived from the military, means to give up or surrender….
Join a panel of acclaimed eLearning and financial services thought-leaders as they discuss trends and best practices in online corporate training, focusing on finance teams. You’ll learn innovative ways to develop and upskill financial teams, and hear about leading organizations who have enhanced capability, accelerated revenue, and gained a competitive edge by providing their team…
What is a Home Equity Conversion Mortgage (HECM)? A Home Equity Conversion Mortgage (HECM) is a federally insured reverse mortgage that allows senior citizens to obtain a loan based on the value of their homes. “Home Equity” in HECM Home equity refers to the difference between a home’s value and the amount owed on a…
Who is a Fiduciary? A fiduciary is an individual (or business) that pledges to prioritize the beneficiary’s interest by avoiding any conflicts of interest that arise in the duty of good faith, trust, and loyalty towards the beneficiary. Fiduciary Relationships Fiduciary relationships are characterized by the beneficiary’s vulnerability and the fiduciary’s knowledge and control. Fiduciaries…
What is Tapering? Tapering is a term used in finance to describe a reduction of monetary stimulus provided by central authorities to the capital markets. Understanding Tapering In times of weak economic growth or extraordinary stress, such accommodative monetary stimulus may have been implemented in the form of low policy rates, looser regulatory ratios, or…
What is Industry Knowledge? Industry knowledge is a term that describes the accumulation of knowledge and awareness of the intricacies of what is happening to specific industries of interest. Knowledge of an industry from a stakeholder’s perspective can never be over-emphasized. Industry knowledge results in improved revenues for a business, enhanced chances of getting hired…
What is Zcash? Zcash is a cryptocurrency built on a decentralized blockchain that uses advanced applied cryptography to provide enhanced security and privacy through shielded addresses. It was originally built on an open-source code similar to Bitcoin. Zcash is mainly focused on anonymity, which is realized through the use of the zk-SNARKs, a specific type…
What is Dogecoin? Dogecoin (DOGE) is an open-source, peer-to-peer cryptocurrency that was made as a parody of the crypto market following the establishment of Bitcoin. It was originally created as a light-hearted joke for crypto enthusiasts, but it quickly exploded to be one of the leading cryptocurrencies in use today. Dogecoin’s brand logo is based…
What is Prime Brokerage? Prime brokerage is a set of services offered by investment banks and other large financial institutions to hedge funds and other investment clients. The clients need such services when borrowing securities or cash for the purpose of netting to allow a specific asset to achieve a higher return. What is Netting?…
What is a Repurchase Agreement (Repo)? A repurchase agreement (“repo”), also known as a sale-and-repurchase agreement, is an agreement involving the sale and subsequent repossession of the same security at a future date at a higher price. In simple terms, it is an exchange of a security (which acts as collateral) for cash. Repurchase agreements…
