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Finance: Financial Theory


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Finance: What is Alpha?
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What is Alpha? Alpha is an investing term that describes the success of an investment. It looks at the investment’s ability to beat beta (or mark...

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Finance: What Does a Financial Analyst Do?
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What does a financial analyst do? Financial analysts research the market and recommend investments. There are quite a few licenses required to be a...

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Finance: What is a Random Walk hypothesis?
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The random walk hypothesis is a financial theory that suggests the market is unpredictable, and can't be beaten. (Cough-cough-B.S.)

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Finance: What are Weighted Averages and Expected Values?
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What are Weighted Averages and Expected Values? Weighted averages are averages calculated to account for the number of changes that a variable, suc...

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Finance: What is an Expected Return?
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Reading the tarot cards. Sifting the tea leaves. Asking the crystal ball. Trying to predict the future performance of an investment is something th...

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Finance: What is a whisper number?
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What is a whisper number? The rumor mill. The gossip chain. The whisper number is the Wall Street version of those word of mouth speculations. Whis...

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Finance: What is a Sell Side Analyst?
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What is a sell side analyst? Hit play to find out.