What is Equity? Equity refers to the ownership interest in a company. It represents the residual value of a company's assets after all debts and liabilities have been paid. In other words, equity represents the value of a company that belongs to its shareholders. There are two main types of equity: common equity and preferred equity. Common equity represents the…
Read moreWhat is Derivative ? A derivative is a financial instrument whose value is derived from the value of an underlying asset. Derivatives are used as a way to hedge risk, speculate on price movements, and manage the financial exposures of businesses. There are various types of derivatives, including futures, options, swaps, and forwards. These instruments are typically …
Read moreWhat is capital market ? The capital market is a financial market in which long-term debt or equity-backed securities are bought and sold. It is a market for securities that represent long-term investments, as opposed to the short-term investments traded in the money market. The capital market can be divided into two main segments: the primary market and the seconda…
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