Lets see how an option might be constructed and valued with the four coin toss model. Your friend says hed like to bet so that he only wins! (Dont we all?) He really hates paying when he loses, but he wouldnt be against paying a little something up front before the game starts. If he loses, you keep his up-front money. If he wins, he gets paid appropriately.
Is there some small amount he can pay you before the tossing starts and not be liable for paying any more regardless of outcome, but if his ship comes in (he wants the long shot again, exactly four heads) he will collect exactly $1?
We can accommodate him, and you are probably already figuring out how. Read more
Lesson 1 Question What is the main concern you should have when you buy a stock? Answer You could lose all of your money. Question Is there a way to insure myself against substantial loss? Answer Yes. I could purchase a Put option contract to limit my loss.
This is where we will start our business venture. We will be the insurance company for the stock investor introduced above.
These are real live numbers as I am writing this blog. Read more
So you want to learn how to invest? When one thinks of investing they automatically begin to think of stocks, bonds, real estate and the like, but rarely think about investing in their most valuable asset. Ill give you a hint. That asset lies in between your ears.
Investing doesnt start with accumulating hundreds or even thousands of dollars. Read more
The paybacks of the student housing and the investment in this sector has greatly increased in the recent years. It seen that the number of students that are need of getting the accommodations are higher so investment in this area is also profit yielding.
With the start of a new term and New Year the number of students coming to UK increase. Read more
Do you know Value investing? What actually it takes to become a value investor for one in Stock Market trading. According to Experts if you are a value investor, you will never lose your money. Let’s understand what is value investing and why experts put weighted to value investing in Indian dividend paying stocks. Read more
Day trading is the practice of holding positions in a financial market for no longer than a single day, and often for much shorter periods of time. Day traders always exit any trade before the end of the trading day (often referred to as the ‘regular cash session’), and aim to profit from the accumulation of lots of small wins, rather than swinging for large gains over a longer time horizon as most investors do.
Although day trading has many similarities to other more long term approaches to the markets, and similar strategies are often employed in shorter timeframes using instruments such as futures, when it comes to choosing a broker for day trading there are some significant differences. Read more
Many of the dealers claim to have experts on board while providing perfect properties to the newer and older residents. However, only registered and licensed brokers must be contacted as the UK Investment Property has flourished by leaps and bounds over a past few years. Many of the businesses are fed by the earnings collected from property dealing businesses in the UK. Read more