This valuation method estimates the present value of a company or project by projecting its future cash flows and discounting them back to today.
Discounted Cash Flow (DCF)
This AI company beat earnings expectations yesterday, possibly saving the market from sliding further.
Nvidia
This recession was largely caused by a housing crisis and eventually triggered by the collapse of Lehman Brothers
This refers to a market characterized by falling prices and widespread pessimism.
Bear Market
This type of security represents ownership in a company and may pay dividends.
Stock / Equity
This is the process of spreading investments across multiple assets to reduce risk.
Diversification
OpenAI
The tech bubble that burst in 2000 is commonly referred to as this.
The dot-com bubble
Market Correction
A corporate IOU that pays interest to investors at fixed intervals is known as this.
Bond
This type of investment fund often uses aggressive strategies like leverage, short-selling, and derivatives to try to generate high returns, usually for accredited investors.
Hedge Fund
On this year's "Liberation Day," the U.S. government implemented this tax on imports from over 90 countries.
Tariffs
This president used Keynesian economics to relieve the US from the Great Depression
FDR
Total value of goods and services produced within a country in a year. Generally used to estimate the size of a country's economy.
Gross Domestic Product (GDP)
A derivative giving the holder the right to buy a stock at a set price before a certain date.
Call Option
This strategy involves buying and selling stocks over a short period of time based on movement patterns.
Day Trading
This company just approved a pay package worth up to $1 trillion for their co-founder.
Tesla
This 2021 stock involved mass purchasing of a struggling video game retailer’s stock started by users on Reddit.
GameStop
The portion of a company’s profits paid out to shareholders, usually in cash or additional shares.
Dividend
This type of investment pools money from many investors to buy a diversified portfolio of stocks, bonds, or other assets.
Mutual Fund
This investment approach focuses on buying stocks that appear undervalued based on fundamentals like earnings, book value, and dividends, often associated with Warren Buffett.
Value Investing
This massive holding company run by Warren Buffett just bought a stake in Google.
Berkshire Hathaway
In 1980, Paul Volcker became chairman of this institution, dramatically raising interest rates to fight inflation.
Federal Reserve
The rate used to adjust future cash flows to reflect their present value in valuation models. Accounts for the "time value of money".
Discount Rate
This financial instrument bundles many loans or mortgages and sells them as tradable securities.
Collateralized debt obligation (CDO)