Monthly Archives: September 2026
Investment grade Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is Investment Grade? Investment grade is a rating given to bonds that credit rating agencies consider to be of relatively low risk and high quality. Issuers with investment-grade ratings are viewed as having a strong capacity to meet their financial commitments, which makes their bonds appealing to more cautious investors. The classification helps investors Continue Reading
Hurdle rate Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Hurdle Rate? A hurdle rate is the minimum rate of return that a hedge fund or other investment must achieve before performance fees can be justified. It sets a threshold that returns need to clear before a manager earns a share of the profits, aligning the manager’s reward with results delivered to Continue Reading
Hybrid security Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Hybrid Security? A hybrid security is a financial instrument that combines the features of both debt and equity securities. It sits between traditional bonds and shares, often paying income like a bond while carrying characteristics that resemble equity, such as the potential to convert into shares. How Hybrid Securities Work Hybrid securities Continue Reading
ISM manufacturing index Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is the ISM Manufacturing Index? The ISM manufacturing index is a monthly economic report that measures the activity level of the manufacturing sector in the United States. Compiled by the Institute for Supply Management, it is based on surveys of purchasing managers and is widely followed as a timely gauge of economic health. The Continue Reading
Ichimoku Cloud Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is the Ichimoku Cloud? The Ichimoku Cloud is an advanced technical analysis indicator that identifies trend, support, and resistance using five lines plotted together on a chart. Developed in Japan, its full name translates as ‘one-glance equilibrium chart’, reflecting its aim of showing market conditions at a single look. The ‘cloud’ itself is the Continue Reading
Implied volatility Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is Implied Volatility? Implied volatility is a measure of the expected volatility of an underlying asset, derived from the prices of its options contracts. Unlike historical volatility, which looks at past price movements, implied volatility is forward-looking and reflects what the market expects future movement to be. Higher implied volatility points to expectations of Continue Reading
In-the-money Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Does In-the-Money Mean? In-the-money, often shortened to ITM, describes an options contract that would be profitable if it were exercised immediately, before accounting for the premium paid. An in-the-money option has intrinsic value because the relationship between the strike price and the current market price favours the holder. The term is central to understanding Continue Reading
Income Return Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is Income Return? Income return is the portion of an investment’s return that comes from the income it generates, such as dividends from shares or interest from bonds. It is distinct from capital return, which reflects changes in the asset’s price. Together, income return and capital return make up an investment’s total return, giving Continue Reading
Indices Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Are Indices? An index is a collection of stocks grouped together and measured as a single value, allowing the performance of a market or sector to be tracked at a glance. Indices can be traded as one product through instruments such as ETFs, futures contracts, and CFDs. They give traders a way to gain Continue Reading
Initial Public Offering (IPO) Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is an Initial Public Offering (IPO)? An initial public offering, or IPO, is the first time a private company offers its shares for sale to the public, a process commonly known as ‘going public’. Through an IPO, a company raises capital by selling ownership stakes to investors, and its shares begin trading on a Continue Reading