Category Financial Management

Hedge Fund

Hedge Fund

A hedge fund does varieties of things than merely buying and selling securities. It takes both long and short positions, use arbitrage , buys and sells undervalued securities , trades options or bonds . And invest in almost any opportunity…

Cost of retained earnings

Cost of retained earnings

Like other source of fund, retained earning also involves cost. Cost of retained earnings is the opportunity cost of dividends foregone by shareholders. The amount of undistributed profit which is available for investment is called retained earnings. Further, If the…

What is Risk?

What is risk?

Risk arises where there is a probability of variation between expectations and realizations with regard to an investment. Hence, it is arises from the variability in returns. An investment whose returns are fairly stable is considered to be low-risk investment.…