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What Does It Means to Beat the Market and How I Did It

What Does It Means to Beat the Market and How I Did It 3

You may have heard the phrase beat the market. In this case, the market usually refers to the S&P 500 index. There are other U.S. indices such as, DJIA, NASDAQ 100, NASDAQ Composite, Russell 2000, Wilshire 5000, and many other domestic and international ones. However, the S&P 500 is by far the most used benchmark … Read moreWhat Does It Means to Beat the Market and How I Did It

What is Compound Annual Growth Rate (CAGR) and How It Works

What is Compound Annual Growth Rate (CAGR) and How It Works 5

On books, web sites, and blogs (including this one) you may have come across references such as the S&P 500 has grown 13% annually for the past 30 years or something to that effect. You may wonder what that means and where did they get that number. When someone states an annualized return, most likely … Read moreWhat is Compound Annual Growth Rate (CAGR) and How It Works

What are Exchange-Traded Funds (ETFs)?

What are Exchange-Traded Funds (ETFs)? They are a relatively new class of investment funds that hold underlying assets like a mutual fund, but are traded on a stock exchange like individual stocks. To better understand ETFs, here are some of the characteristics groupped into their similarity with mutual funds and individual stocks. ETFs are similar … Read moreWhat are Exchange-Traded Funds (ETFs)?