Topic

Finance

A collection of 37 issues

Coffee-Can Investing

Coffee Can investing was first popularized by Robert G. Kirby in an article he published in the fall of 1984. Coffee Can investing riffs off of an old-fashioned saving method where you physically earmark some money, put it in a coffee can, and basically forget about it. And only consider

Internet Money

One use case that will for sure be filled with cryptocurrencies like Ethereum in the coming years is that of internet money. Just like we had an era of web-first applications and shops, which then became mobile-first. Internet-first money is yet be fully realized. Money that is not tied to

Pricing Power

Pricing power allows businesses to price their product or services higher than the rate of inflation and that of the competitors without reduced sales. Pricing power can come from a few ways. A very high quality product. A patented efficiency or feature of convenience that competitors cannot match. Or when

Household Stocks

A layman idea that has permeated the investing world is that if you are using a product or service then and you enjoy it, then you should own the stock of the company behind it. This is a good example of why Albert Einstein said “Everything should be made

Microcap

Market capitalization is the total cash-value of a business. AKA market cap. The market cap is calculated by multiplying the current number of shares outstanding by the price of one share. For example, a company having 1000 shares of 10$ value would have a market cap of 10,000$. Companies

Unit Economics

Unit Economics is a neat way to look at the fundamental economics of a business. A sanity check. It starts with defining a “unit”. A “unit” could be a product sold or a customer acquired depending on the kind of business and business model. Unit economics

Price and Value

In the realm of financial assets, value is a function of the cashflows the asset can produce from now until it’s applicable end of life discounted appropriately to today’s worth considering factors like risk, growth. Price is determined by the equilibrium of supply and demand. More

Bad Banks

A bad bank is a bank that is set up to hold risky, problematic holdings of a banks. By doing so, the actual bank can clear them off their books. The transfer of assets take place at market price. Bad banks is a simple idea of moving away that bad

Green Bonds

Green Bonds are used to raise money for environment and climate related projects. The financial instrument makes use of the debt capital markets to fund green initiatives. Governments and corporates are issuing green bonds to bring in capital. The World Bank is a major issuer of green bonds. As per

Dapp

Dapp is an app built on decentralized technology. Typical apps are built by organizations or single entities even if they are open-source. Dapps don’t have owners and are free from censorships. The app itself runs on a decentralized network making it almost impossible to take it down. Blockchain