Defs Flashcards
Capital Gain
Money that can be obtained by selling property or through an investment into somethings with the expectation of getting an Return on investment in the future. Many companies invest various resources into strategic long-term capital gain, since it provides them with financial stability.
Commodity
A product or raw material which is traded in large quantities, such as gold or coffee. The global market prices of commodities can have substancial influence on economies worldwide.
Liquidity
Refers to how fast or easy you are able to accquire cash. It is an indicator on your financial situation or how a business is run.
Securities
These are financial assets, which can be traded like bonds for example. Securities can be a useful tool to raise captial for companies and can be bought, sold or traded at the stock exchange market.
Stake
Describes financial investment or involement in a company. Stakes can enable the holder to take part in the the decision-making process of companies, depending on how much financial input the individual invested.
Stock exchange
An organized and regulated financial market, where securities are bought and sold at prices determined by supply and demand. Corporates and governments use it to raise capital.