What Is ROE? ROE is not an absolute indicator of investment value.The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. By measuring how much earnings a company can generate from assets, ROE offers a gauge of … [Read more...]
Choosing a Data-Based Intraday Charts
Traders always have this habit of seeing intraday price charts continuosly while trading in market hours especially based on time intervals, such as five-minute or 60-minute charts. This means that one bar will print at the end of each specified time interval. On a 60-minute chart, for example, a bar will print at 9:30, 10:30, 11:30 and so on until the end of the trading … [Read more...]
Why ETF Liquidity Matters ?
When exchange-traded funds (ETFs) were originated, they were basically and widely viewed as a more liquid alternative to mutual funds. Not only could investors gain the same broad diversification that they could with indexed mutual funds but, unlike mutual funds, they could also trade them during market hours. More significantly, institutional investors could use them to … [Read more...]
What Does Bunny Bond Mean?
A bond with a provision that bondholders may, at their discretion, reinvest coupon payments in other bonds with the same interest rate and maturity. It is a type of bond that offers investors the option to reinvest coupon payments into additional bonds with the same coupon and maturity.This protects bondholders from the risk that interest rates will fall by the time coupon … [Read more...]
Designated Order Turnaround – DOT (SuperDOT)
An electronic order-routing system used by NYSE member firms to send market and limit orders to the NYSE. It has been enhanced to support all Hybrid Market order types. Basically , this electronic system that increases order efficiency by routing orders for listed securities directly to a specialist on the trading floor, instead of through a broker. Also known as … [Read more...]