Investing and Financial Markets
How do you find the average interest rate among a number of different investments with different purchase dates and annualized interest rates?
Create a Weighted Average: 1. Multiply each value by its weight. 2. Add up the products of value times weight to get the total value. 3. Add the weight themselves to get the total weight. 4. Divide the total value by the total weight.
Asked in Deeds and Ownership, Wills
Is it a purchase or refinance when one heir buys out the other?
Asked in Bonds and Treasuries
What is the definition of treasury yield?
The yield of a bond is the interest that it pays (annualized) divided by the purchase price of the bond (taking into account any discount or premium on the price). Treasury yield refers to the actual interest rate on bonds issued by the U.S. Treasury. Treasury yield is not a single number, because they issue bonds with many different maturities (from 1 month to 30 years); the yields on the 2-year and 10-year bonds are the most commonly-quoted benchmarks.
Asked in Definitions
What is the meaning of interest on purchase price?
Asked in Economics
Does real interest affect the aggregate supply?
In the short-run, no, since short-term production decisions are made with plant-size and capital investments fixed, and the real interest rate chiefly affects capital investment. In the long-run, however, these investment factors are variable, and their level of purchase and use depends, partially, on the real interest rate.
Asked in Shopping
Where is a T rowe account available to purchase online?
What is the minimum amount of interest that can be charged for the purchase of a House?
Can you Get a CD with bad credit?
Yes. A Certificate of Deposit (CD) is a deposit instrument has the following features: * Guaranteed principal * Guaranteed periodic interest * FDIC insured * Low/no cost to purchase Your credit rating is not considered when you purchase a CD. Only your ability to fund the CD (with cash or other liquid investments) is considered.
Asked in Credit and Debit Cards, Credit
What are the benefits of low interest rate credit cards?
Having a low interest credit card is preferable because it costs you less to use it. For example, if you have a 9% interest rate and you charged $100 on your card, than you would also have to pay $9 interest on that $100 dollar purchase. If you have a 29% interest rate on a $100 purchase than you will have to pay $29 dollars on that $100 purchase.
Are rate cuts good for the stock market?
Interest rates cuts are favorable to stocks. The return available through "safe" interest paying type investments is lower, making stock dividend and prospective gains more attractive. The companies have the ability to expand, purchase goods, etc using borrowed money that is cheaper, hence they can do more and make more on what the do.
Asked in Investing and Financial Markets
What products can you purchase at CDNN Investments?
Asked in Bonds and Treasuries
Does interest start to accrue on purchase date or settlement date for bonds?
For the purposes of calculating interest income after one has purchased a bond, interest begins to accrue on the settlement date of the purchase (not the trade date.) Unlike stocks, the ownership of which begins on trade date, ownership of a bond begins on settlement date. Therefore, settlement date can be thought of as the purchase date. In order to calculate "accrued interest", or interest payable to the seller, at the time of purchase, the accrual period begins on the date of the last interest payment or the original issue date if the first interest payment has not yet occurred. Accriued interest is calculated through the day immediately preceding the settlement date.
What Roth IRA Return Rate Should You Expect?
It can be difficult to plan for retirement accurately without knowing what kind of return to expect on your investments. You certainly do want to invest in a manner that can help you to grow your funds at the best rate possible while minimizing risk. A Roth IRA is one of the many different types of retirement accounts that you may be considering putting to use in your own retirement plan. However, you may be wondering just what Roth IRA return rate you should expect. Merely a Vehicle While some investors look at a Roth IRA as an investment itself, the fact is that it is merely a vehicle for your investments. You will have the ability to purchase a wide range of investments inside this account. The funds that you deposit into the account and use to purchase investments are after-tax dollars. In retirement, the funds as well as any growth of the funds can be withdrawn tax-free. The investments themselves, however, can vary and are purchased at your discretion. You may choose to purchase only CDs with your Roth IRA account funds, or you may only purchase high yield stocks. The account is merely a vehicle, so the Roth IRA return rate you enjoy will be based on the investments you choose to make. Different Investment Strategies The fact is that you cannot compare the average rate of return on different investors' retirement accounts accurately. Different investors have a different threshold or tolerance for risk versus growth. One investor may have asset preservation and slow growth in mind while another may be investing with rapid growth in mind. Your own investment strategy and what you choose to invest in will ultimately affect the rate of return you enjoy on your own Roth IRA. That being said, however, you should be aware that the investment options offered by different companies can vary. Some may not allow you to purchase stocks at all, and others may only allow you to purchase stocks and mutual funds. Further, the rates on some investments within the IRA, like CDs and money market accounts, may vary by company. So it can benefit you to research rates offered on those specific investments you intend to buy when you open your Roth IRA.