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Trading Ideas

What is APR (Annual Percentage Rate)?

Whether you’re applying for a credit card or calculating the expected return on an investment, three simple letters have significant bearing on your decision: APR. What is APR? It stands for annual percentage rate. It represents the amount of annual interest paid to investors or owed by borrowers. It’s a figure that includes costs and fees, but doesn’t take into account compounding. As a result, it’s a great baseline for comparing the worthiness of investments or the cost of different credit products.
In evaluating APR, borrowers and investors need to be cognizant of how it affects their wealth based on …read more […]

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Trading Ideas

What is an Alternative Trading System?

While most retail investors place trades through a brokerage, it’s not the only way to buy and sell securities. There are also alternative systems, largely used by institutional investors. What is an alternative trading system (ATS)? While it functions similar to an exchange, an ATS offers a more direct way to trade large chunks of securities in a way that doesn’t influence the share price during market hours. Moreover, there are fewer rules to abide by, giving institutional investors more opportunities to trade.
While most retail investors won’t participate in an ATS, it’s still important to know how they function. …read more […]