Value Added
Additional value given to a commodity by means of labour or technology so that the character of the commodity is altered. . for example In VAT each stage of value addition is taxed, as is the ultimate consumer.
Valuation Reserve
Comprising any accumulated depreciation, allowance for bad debts,and any other items charged to expenses, i.e., taken out of the company’s profits.
Value Investment
Investment in shares whose intrinsic value is above its market price. Fundamental analysts often make recommendations of value investment, as they can sport undervalued shares.
Variability of Return
It is a degree in which the return on an investment varies unpredictably. An investment whose holding period return varies widely from period to period is a riskier investment than one whose holding period returns does not vary much.
VAT Value Added Tax.
it is a tax ultimately paid by the consumer. A cumulative tax, in that at each stage of value addition as the commodity passes from one manufacturer to another, the tax has to be paid,. VAT is added to all goods and services.
Vendor Placing
A type of PLACING to raise money to acquire another company. This is a relatively cheaper method, compared to a rights issue, of raising cash.
Venture Capital
Investment in a new start – up business carrying considerable financial risk but with above average prospects of reward. Sources include wealthy individuals, business investment companies and merchant banks. Venture capitalists are rewards with a share in profits, preference shares, or promise of certain allotment of a number of equity shares when the enterprise grows.
Vertical Integration
Amalgamation of business engaged at different levels of production of one commodity, for example, merging of separate companies manufacturing motor car engineers, car body, car axles, steering systems, gears, etc., into one large company.
Vertical Line Charting
Technical analysts’ charting of a share’s price movement by using a vertical line to represent the high and the low, with a horizontal bar across the point where the day’s trading has closed. There is a line for each day or each week or each month depending on the breadth of analysis. The chart gives an idea, not only of the trend or price movements, but also the range of fluctuation of the share’s price.