Questions tagged [financial-literacy]
for questions related to understanding basic concepts in finance or certain terms in a particular context
640
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What is the true value, i.e. advantages or benefits, of building up equity in your home?
I am a relatively new home owner, having purchased my first home in October 2009. It was a $315,000 home, purchased with a 5% no-cost loan with I believe 12% down payment. I think the total financed ...
- 626
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4
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How to learn about doing technical analysis? Any suggested programs or tools that teach it?
I've been going through the OIC Education Courses recommended by @jaydles in another question about learning options. I'm about halfway through, I've learned a lot about how the stock market works ...
- 833
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4
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Book for balance sheet reading? [closed]
What is an easy to understand book that teaches a beginner how to read a balance sheet? Something like a Balance Sheet for Dummies?
- 15.9k
4
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2
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How can I determine if leaving a lower paying, tax advantaged, job for a higher paying one makes sense financially?
I'm not exactly sure how to go about calculating this problem.
I'm a Canadian (Alberta) working in a ministry position at a church. My credentials qualify me for clergy housing, and I make just shy ...
- 285
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When inflation is mentioned over a period of more than one year, is it typically reported as a compound annual growth rate?
When we say "inflation has remained steady at 2% for the past 5 years", is that typically taken to mean 2% compounded annually for each of those years, or something else?
- 15.9k
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2
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What is the difference between a bond and a debenture?
What's the difference between a bond and a debenture?
Are they simply different words used to mean the same thing? (e.g. debenture sounds more business-like than bond).
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3
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Credit card grace period for pay, wait 1 day, charge?
Does a credit card grace period apply in this situation:
March 1: I charge $1000 to my card.
March 8: My billing cycle ends (ie, this my card's closing
date). My due date is March 28th.
March 9: ...
user1731
5
votes
1
answer
263
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What are the different ways to invest in commodities?
Please provide any method for investing in commodities.
Please identify the advantages/disadvantages for each method.
Please identify if a particular investing method only applies to certain ...
- 7,575
46
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10
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How do I explain why debt on debt is bad to my brother?
My brother has about 5 loans that he paying back and he thinks that another 5000 loan will "solve his problem".
He has been this way since he was young, he's now in his 30's.
I'm trying to find a ...
11
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1
answer
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How does a synthetic ETF work?
A comment on my recent ETF-related question mentioned swap/synthetic ETFs.
Most of what I can find on the web glosses over the mechanics. Can someone walk through what is happening behind the scenes?
...
- 10k
2
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Banking: What does the term "Sales Frontend" mean?
Could you please explain me what does it mean when banks refer to "Sales Frontend"?
I have heard the term in sentences like "We need to improve our sales frontend in order to stay ahead in ...
- 21
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1
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Which type of stock order would I use to sell a stock that hits a price or drops below it?
I have a few stocks and my normal way of selling them is to watch yahoo and if they hit a certain price I decide if I should sell. I want to be a bit more automatic and I see these orders are ...
- 667
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5
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How can a credit card company make any money off me? I have a no-fee card and pay my balance on time
How does a credit card company make any money off of me using their card if there are no fees associated with the card (I don't pay any extra) and I pay off my balance on time every month (so I don't ...
user2667
6
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3
answers
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What is the difference between Debit and Credit?
What is the difference between Debit and Credit AND purchase and sale? These terms are very confusing.
I have some example questions to understand it more easily.
If I run a shop and
a ...
- 161
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6
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Does reading financial statements (quarterly or annual reports) really help investing?
Will learning how to read financial statements really give investors a significant edge? From your experience, is it worth the time to pick up this tool?
Edit: Thanks for all the feed back guys. I ...
- 203
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10
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Which practice to keep finances after getting married: joint, or separate?
My wife and I have been keeping our finances separate for a long time. Some of my friends just put everything in a big pot. We each have our own pot, but then we have a common pot where we put all ...
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Which secured credit cards start building your credit history right away?
I spoke with 3 banks this morning and they all said that for the time I was on the secured card, they would not report me to the credit unions and companies. They would just keep the score internal to ...
0
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3
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1k
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How do I determine future balance owed on a mortgage based on amortization?
A family buys a house worth 326000.They pay 110 000 down and then take out a 5-year mortgage for the balance at j2 = 6.5% to be amortized over 20 years. Payments will be paid monthly. Determine the ...
Justin
18
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10
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Why are American-style options worth more than European-style options?
Why are American-style options worth more than European-style options?
I realize I can exercise American-style options anytime before the
expire, but I can only exercise European-style options ...
user1731
10
votes
6
answers
777
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Is it a good idea to teach children that work is linearly related to income?
It seems to me that, if you want to teach children at an early age about the benefits of careful personal finance, and other fun concepts (like an intuitive understanding of compound interest), paying ...
- 1,649
3
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1
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what is the likely reason that the bank have a different year end than the other companies
what is the likely reason that the bank have a different year end than the other companies
nalan
200
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21
answers
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How smart is it to really be 100% debt free?
For the last 2 years, I have been trying hard to be debt free without affecting my personal cash flow. I am by no means a rich person, but I have a decent salary.
I still have debt, specifically
...
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56
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4
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When a stock price rises, does the company get more money?
When a stock price rises, does the company get more money?
user454
132
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13
answers
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Why does gold have value?
I'm curious about why is there so much financial interest and news coverage about gold.
It's hard to do things like buy food or pay the rent with gold, but I can do this with cash. Gold doesn't yield ...
- 1,438
4
votes
2
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142
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Stocks and bonds have yields, but what is a yield?
I often read about yield such as in this article from Kiplinger, but I have not been able to find a good description of what a yield is. What is it, and why would I care as a novice investor?
- 1,438
2
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4
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What is a Master Limited Partnership (MLP) & how is it different from plain stock?
I came across a reference to a "Master Limited Partnership" in a news article recently. I understand they are exchange-listed investments like individual stocks. But, what exactly are Master Limited ...
- 31.7k
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What is a trust? What are the different types of trusts?
What is a trust? What are the different types of trusts? Are some better than others? What are the different roles involved in a trust?
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Can you explain "time value of money" and "compound interest" and provide examples of each?
Can you explain the time value of money concept, including present value and future value?
How does compound interest work? Why is compound interest a powerful concept when it comes to borrowing, ...
user178
9
votes
3
answers
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Foreclosure process: What happens when a bank forecloses on a home?
I know it is a long complicated process, but what is the high level overview of what a bank does when it forecloses on a house? Beyond credit getting hurt, what else?
Where does the bank get it's ...
- 25.2k
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Spring cleaning for your finances? Is there any activity that should be done annually, with respect to your money?
In order to maintain the health of your finances, do you do any particular activity on an annual basis that you would recommend that might benefit others? Say, a "spring cleaning" of some sort?
- 8,683
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1
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How to Transition From Employee to Employer?
I know Making the transition from employee to employer requires financial stability, a good business plan, self-confidence and a lot of discipline.
But i am looking for some instructions/tips from ...
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Are personal finance / money management classes taught in high school, anywhere?
It sure seems like something that would be a valuable life skill, akin to Home Ec (or even more important!)... Where I'm from (Peel Region in Ontario Canada), it isn't part of the curriculum.
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What is the difference between "good debt" vs. "bad debt"?
This other question about home renovations makes reference to the concept of "good debt."
Could somebody explain the concepts of good debt vs. bad debt, providing examples of each?
Are there cases ...
user178
23
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9
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2k
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What are the best strategies to give pocket money or an allowance to children?
What are the best strategies to give pocket money or allowance to a child especially if you would like to teach them something through this, e.g. saving?
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4
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What is the meaning of "short selling" or "going short" a stock?
Can someone please explain the meaning of 'shorting' a stock with an example?
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3
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What does market cap (or market capitalization) mean?
When I look at my Google finance page, and I look at a company, lets say Citigroup for example, and I see that the market cap is 83.45 billion, what does that mean? Does that mean Stock Price X ...
- 2,205
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At what age should I begin discussing money - saving, spending, investing - with my child / children?
In addition, when should I open a savings account at our bank for my kids; and give them accountability over it?
- 8,683
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6
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What are good games to play to teach young children about saving money?
I've heard that giving allowance is one approach to develop an understanding of money management. What other ways are available to teach kids about the benefits of savings?
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Are quarterly earnings released first via a press release on the investor website, via conference call, or does it vary by company?
Are quarterly earnings released first via a press release on the investor website, via conference call, or does it vary by company?
Ben
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2
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What is "financial literacy" and how does one become "financially literate"?
How does one become "Financially Literate"? Also, on a side question; what does "Financially Literate" even mean?
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