PEG Ratio: What It Is and the Formula.

What Is the Price/Earnings-to-Growth (PEG) Ratio and How Is It Calculated? How do you calculate growth rate of PEG? The growth rate of PEG is calculated by dividing the percentage change in earnings per share by the percentage change in the price to earnings ratio. What is difference between P E and PEG ratio? PEG … Read more

What Is a Shared Equity Mortgage?

A shared equity mortgage is a type of mortgage in which the borrower shares the equity in the property with the lender. The equity is typically divided between the borrower and the lender according to a predetermined percentage, and the borrower makes monthly payments to the lender as well as to the borrower’s own equity … Read more

Record Date.

A record date is the date on which a company’s shareholders are recorded in its shareholder register. This date is used to determine which shareholders are eligible to receive a dividend. A shareholder must be on the company’s register on the record date to receive the dividend. The record date is usually two business days … Read more

Chip-And-PIN Card Definition.

A Chip-And-PIN card is a credit or debit card that contains a small microchip which stores information about the cardholder and their account. The chip is read by a card reader when the card is inserted into the machine. The cardholder then enters their PIN (Personal Identification Number) into the machine, which verifies that the … Read more

What Is the Russell 2000 Index?

The Russell 2000 Index is an index of small-cap stocks. It is a subset of the Russell 3000 Index, which includes the 3,000 largest publicly-traded companies in the United States. The Russell 2000 is widely used by investors as a benchmark for small-cap stocks. How does the Russell 2000 work? The Russell 2000 Index is … Read more

Rule 147.

Rule 147 is a safe harbor provision under the Securities Act of 1933 that exempts certain intrastate offerings from the registration requirements of the federal securities laws. In order to qualify for the exemption, the issuer must satisfy a number of conditions, including that: The offering is made only to residents of the state in … Read more

Series 4 Definition.

Series 4: Registered Options Principal Examination The Series 4 examination assesses the competency of an entry-level registered options principal. A registered options principal is an individual who has the supervisory responsibility for all aspects of an options business, including sales, trading, and marketing of options products. The examination covers the following topics: -The role of … Read more

What Is a Bridge Loan and How Does It Work, With Example.

What is a bridge loan and how does it work? Bridge loans are temporary loans that are used to bridge the gap between two financial transactions. For example, a bridge loan may be used to provide funding for a new business venture before the business has generated enough revenue to qualify for a traditional bank … Read more

Heteroskedastic.

Heteroskedasticity is a statistical concept that describes a situation where the variance of a data set is not constant. This can happen for a variety of reasons, but usually occurs when the data is not evenly distributed. For example, let’s say you’re looking at the prices of houses in two different neighborhoods. In Neighborhood A, … Read more

What Does a Stock Promoter Do?

A stock promoter is an individual or firm that is paid to promote the sale of a security, typically a new issue of stock. Stock promoters are typically hired by investment banks or issuers of the security. A stock promoter’s job is to generate interest in the security and get people to buy it. This … Read more