Jargon Slayer

The low down on value vs. growth investing

Who doesn't love a sale? Combing through discount bins to find that one passed-over, underpriced item can be a thrill for some (especially those in the re-sale game)—and if you're a savvy investor, you can do it with stocks too. 

The low down on the Big Mac Index

The next time you hit that late-night drive-thru, consider that the Big Mac has been used as an economic indicator since the 80s. Are you lovin’ it?

The low down on the Debt Ceiling

There's been chatter about the US Congress's inability to agree on a course of action for managing the country's debt. But what is a "debt ceiling," and why does the world care so much about it?

The low down on Loss Aversion

The first time I played dice, I won $200. Being confident in my beginner’s luck and hot hands, I opted for another game and promptly lost $50. Not a big deal, right? It was only a quarter of my newfound wealth—but the pain of that loss overshadowed the pleasure having an extra $150 in my pocket brought me (and I sulked in a corner for the rest of the BBQ.)

What is the 4% rule for retirement?

Whether you're decades away or around the corner from retirement, planning for your Golden Years can be daunting, especially in today's economy. 

The low down on lagging indicators

The low down on pump-and-dump schemes

Earlier this month, the US Justice Department and the SEC charged several social media influencers with conspiracy to commit securities fraud through a series of pump-and-dump schemes. 

  • A pump-and-dump scheme is a market manipulation tactic in which a group of shareholders uses misleading (or blatantly false) information to inflate share prices. 

The low down on the Santa Claus Rally

Forget a white Christmas—investors prefer green which might be why in the runup to December 25, they call upon the magic of Kris Kringle himself to boost their portfolios.

The low down on the Sharpe Ratio

Investing can be risky, especially when the markets are volatile, and one billionaire can potentially bring down an entire industry (*cough*SBF*cough*) That’s why an economist named William F. Sharpe came up with his own measurement for risk-adjusted returns—The Sharpe Ratio.

The low down on leveraged buyouts

Elon Musk bought Twitter mostly with other people's money (or OMP, as the cool finance kids say). Weird, considering at that time, he was the richest person in the world, no? 

Well, it turns out that rich people love buying stuff with OMP, so much so that there's a name for it: the leveraged buyout.