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Finance: Financial Theory
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What does a financial analyst do? Financial analysts research the market and recommend investments. There are quite a few licenses required to be a...
What are Weighted Averages and Expected Values? Weighted averages are averages calculated to account for the number of changes that a variable, suc...
Reading the tarot cards. Sifting the tea leaves. Asking the crystal ball. Trying to predict the future performance of an investment is something th...
What is a whisper number? The rumor mill. The gossip chain. The whisper number is the Wall Street version of those word of mouth speculations. Whis...
What is Alpha? Alpha is an investing term that describes the success of an investment. It looks at the investment’s ability to beat beta (or mark...
The random walk hypothesis is a financial theory that suggests the market is unpredictable, and can't be beaten. (Cough-cough-B.S.)