Blue chips and going short or long on share - stock market, Finance Basics

Assignment Help:

Blue Chips and Going Short or Long on Share - Stock Market

Blue Chips

Are first class securities of firms that have sound share capital and are internationally of good reputation?
They are highly demanded and have extremely excellent dividend record in the markets. Individuals holding such securities are reluctant to sell them since of their high value.

Going short or long on a share

This is the process of going short like selling or going long like buying on a share such one does not have our own
The aim is to create gain from unspecified change in the market value of shares
This practice is not allowed in US
It is aided via brokers in countries where it is practiced
Investors going long and short are necessary to pay a premium identified margin on the transaction.

Related Discussions:- Blue chips and going short or long on share - stock market

Constant payout ratio, Constant payout ratio 1. This is whereas the fi...

Constant payout ratio 1. This is whereas the firm will pay a fixed dividend rate as like 40 percent of earnings. The DPS would consequently fluctuate as the earnings per share

Financial performance analysis, given profit margin 7%, total asset turnove...

given profit margin 7%, total asset turnover is 1.94, Return on equity is 23.7%, what is the debt equity ratio

Managerial finance functions, Managerial Finance Functions Require ski...

Managerial Finance Functions Require skilful execution, control and planning of financial activities. Hence there are four significant managerial finance functions. Such are

Payback period method - traditional methods, Payback Period Method - Tradit...

Payback Period Method - Traditional Methods This method gauges the viability of a venture via taking the outflows and inflows over time to ascertain how soon a venture can pay

Matching approach - financing current assets, Matching Approach - Financing...

Matching Approach - Financing Current Assets This approach is further referred to as the hedging approach. Beneath this approach, the firm adopts a financial plan that involve

Advantages of stock repurchase, Advantages of Stock Repurchase 1. It m...

Advantages of Stock Repurchase 1. It may be seen as a true signal since repurchase may be motivated with management belief that firm's shares are undervalued. It is true in in

Calculate future value, Your grandparents put $1,000 into a saving account ...

Your grandparents put $1,000 into a saving account for you when you were born 30 years ago. This account has been earning interest at a compound rate of 7%. What is its value today

Advantages of floatation of new shares, Advantages of Floatation of New Sha...

Advantages of Floatation of New Shares 1. It facilitates the matter of securities to increase new finance, creation a company less dependent on retained earnings and banks.

Cash management, A compnay can arrange for a secured loan amounting to 150,...

A compnay can arrange for a secured loan amounting to 150,000,000 for one year at an interest rate of 18% per annum based on the initial balance of the loan. The lender also imposs

Book value and market to book value per share, Book Value and Market to boo...

Book Value and Market to book value per share Book value per share (BVPS) = Net worth Equity/No. of ordinary shares It is called also liquidity ratio that show

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages