Common Stock
Primary Market
Initial Public Offering (IPO)
Define Seasoned Issue
Define Secondary Market
Define: Price Earnings Ratio
Define Dividend
Define Retained Earnings
Define Book Value
Liquidation Value
Market Value Balance Sheet
Difference between firms actual market value and its liquidation/book value
Define Expected Return
Formula for Dividend Yield
Formula for Capital Gains Yield
Define the Dividend Discount Model
Zero Growth Case
Constant Growth Case
Expected Rate of Return from the DDM formula
What is the Plowback ratio
Define Payout Ratio
Formula for Growth Rate
How to Calculate: Present Value of Growth Opportunities
Define: Sustainable Growth Rate
How do you calculate Price-Earning Ratio
What is Technical Analysis
Random Walk
Fundamental Analysis
What is an efficient market
Weak Form Efficiency is a market where prices rapidly reflect all information contained in the history of past prices and volume
T/F
Define Semi-Strong Form Efficiency
Strong Form Efficiency is a market where prices reflect no information that could be used to determine true value of assets
T/F
What is a market anomalies
New Issues Puzzle
Behavioural Finance: Investors are 100% rational all the time.