Net present value and the profitability index are helpful tools that allow investors and companies make decisions about where to allocate their money for the best return. Net present value tells us ...

Originally, the Dow Jones Industrial Average was the average dollar value of the 12 stocks this index fund contained. As time went on, the calculations got more complicated. Stocks have been added and ...

Indexes aren’t just important for index funds. By creating a virtual portfolio that represents the “market” (or a specific style of sector), they also establish a “typical” return and risk level that ...

Indexes have changed a lot over the past century. What was once state-of-the-art is now antiquated. The first indexes used information that was available, not what was best for building a portfolio.

Net present value and the profitability index are helpful tools that allow investors and companies make decisions about where to allocate their money for the best return. Net present value tells us ...