What is Cap Rate (REIT)? Cap rate is a financial metric that is used by real estate investors to analyze real estate investments, and determine their potential rate of return based on annual returns. It is calculated based on the net income that a real estate investment is expected to generate over a one-year time...
What is the Fortune 500? The Fortune 500 is an annual list of the top 500 United States companies by total revenues – public and private included. The Fortune 500 list is compiled and published annually every spring by Fortune Magazine, which is based in New York City. Edgar Smith, a Fortune editor, created the...
What is a Bought Deal? A bought deal is a type of securities offering in which the underwriter commits to buying the entire offering from the issuer company before a preliminary prospectus is filed. A bought deal eliminates the financing risk faced by the issuer company. How It Works In a bought deal, the underwriter purchases...
What is the Advance-Decline Line? The advance-decline line (ADL) is a technical indicator that plots the difference between the number of advancing stocks to declining stocks on a daily basis. Understanding the Advance-Decline Line The advance-decline line is used to show stock participation in a market risk or fall. Due to the number of capitalization-weighted...
What is the Advance Decline Ratio? The advance decline ratio (ADR) is a technical indicator used to assess stock market sentiment. The ratio compares the number of stocks that increased in value to the number of stocks that decreased in value. In other words, the ADR compares the number of stocks that rose in price...