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Penny Stock – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Penny Stock?A penny stock is usually traded outside of the principal market exchanges at a comparatively low price and bears a small market capitalization. These stocks are usually highly speculative and have high risk due to less liquidity, big bid-ask...

Money Market Fund – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Money Market Fund?A money market fund is a fund that offers a higher interest rate to investors when compared to other funds. It is a type of mutual fund, usually open-ended, that invests in only securities or high liquid cash that have a credit ratings and...

Mutual Fund – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Mutual Fund?A mutual fund is a pool of funds collected from many investors with the purpose of investing in securities. Mutual funds are often regarded as investment vehicles because the pool of money realized from investors are for investment. Mutual funds...

Mortgage-Backed Securities Clearing Corporation – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is a Mortgage-backed Securities Clearing Corporation?Mortgage-Backed Securities Clearing Corporation is an organization that has the responsibility of overseeing transactions relating to mortgage-backed securities. MBSCC is an organization certified and...

Individual Retirement Account (IRA) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is an Individual Retirement Account?An individual retirement account refers to an investing tool used by individuals to earmark or set aside funds for retirement savings. Various IRA types exist, as of 2018 and they include Roth IRAs, traditional IRAs, SEP IRAs,...

Investment Company Act of 1940 – Explained

by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets

What is the Investment Company Act of 1940?The Investment Company Act of 1940 compels investment company registration and requires monitoring of the product offerings which investment companies issue in the public market. This enactment vividly explains the importance...
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