Vetting is the process of looking at and evaluating stocks, businesses, or other potential investments for risks before committing your money to them. Basically, checking it out.
Archive for the ‘Daily Definition’ Category
Vetting is…
Monday, August 3rd, 2009A Stockbroker is…
Monday, August 3rd, 2009A stockbroker is a professional broker who buys and sells shares and other securities through markets, over-the-counter, or agencies on behalf of investors. This is the person that actually does the buying and selling for the individual or institution.
Climate Change is…
Monday, August 3rd, 2009Climate change is the drastic change in temperature and weather patterns around the world resulting from human industrial activities for the past 200 years. Predictions about climate change range from the bad to the unthinkable; increases in sea levels, more frequent natural disasters, and abnormal weather patterns as well as a disruption of trade, agriculture, and industry have all been predicted by scientists, economists, and politicians. While these disasters may affect us all, the people who will feel the effects of climate change the most are those who are the least able to combat it – people living in developing countries and island-nations.
A Multinational Corporation is…
Sunday, August 2nd, 2009A multinational corporation is a company that operates (has offices or stores) in two or more countries. So, because a company like McDonald’s, which is an American-based corporation, has offices and restaurants in other countries around the world, it is considered a multinational corporation.
A Leveraged Buyout is…
Sunday, August 2nd, 2009A leveraged buyout is the purchase of a controlling share of a company by using borrowed money. In other words, a leveraged buyout is when one company takes over another company and instead of paying for it in cash or equity, the purchased is paid for with debt (bonds or borrowed cash).
Disposable Income is…
Sunday, August 2nd, 2009Disposable income is the money you have left over after taxes to use as you wish. For instance, if your paycheck says $100, the government gets a cut before you actually take home your money. If the government gets 25%, your disposable income is the remaining $75.
An Indirect Tax is…
Sunday, August 2nd, 2009Articles of Incorporation are…
Sunday, August 2nd, 2009Articles of incorporation are the basis of a legal document that describes the purpose of a company or a nonprofit organization, what it does, and how it is structured (much like the Constitution of the United States). Drafting articles of incorporation is the first step to starting a nonprofit or a corporation.
A Market on Close is…
Friday, July 31st, 2009A market on close is an order to trade stocks, options, or futures as near as possible to the market’s closing time.
A Tax Return is…
Thursday, July 30th, 2009A tax return is a form (or forms) you fill out to tell the IRS how much money you made and how much you owe the government each year.