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    Investment Formulas: A Simple Introduction
    Investment Formulas: A Simple Introduction
    Investment Formulas: A Simple Introduction
    Ebook27 pages16 minutes

    Investment Formulas: A Simple Introduction

    By K.H. Erickson

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    About this ebook

    Investment Formulas: A Simple Introduction includes over 80 formulas in the investment field, alongside relevant definitions and explanations. The formulas cover the topics of historical return measures, investment models, portfolio performance evaluation, firm and stock valuation, bond portfolio management, derivatives, and option valuation.

    LanguageEnglish
    PublisherK.H. Erickson
    Release dateNov 15, 2014
    ISBN9781310204418
    Investment Formulas: A Simple Introduction

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      Book preview

      Investment Formulas - K.H. Erickson

      Investment Formulas: A Simple Introduction

      By K.H. Erickson

      Copyright © 2014 K.H. Erickson

      All rights reserved.

      No part of this publication may be reproduced, stored in or introduced into a retrieval system, or transmitted in any form or by any means, including electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the author.

      Also by K.H. Erickson

      Simple Introductions

      Accounting and Finance Formulas

      Choice Theory

      Corporate Finance Formulas

      eBay

      Econometrics

      Economics

      Financial Economics

      Financial Risk Management

      Game Theory

      Game Theory for Business

      Investment Appraisal

      Investment Formulas

      Marketing Management Concepts and Tools

      Mathematical Formulas for Economics and Business

      Methods of Microeconomics

      Microeconomics

      Table of Contents

      Historical Return Measures

      Investment Models

      Portfolio Performance Evaluation

      Firm and Stock Valuation

      Bond Portfolio Management

      Derivatives

      Option Valuation

      Historical Return Measures

      Holding period returns

      Holding period return, HPR

      = End value of investment / Start value of investment

      If HPR > 1 the investment generated a profit, and if HPR < 1 then the investment generated a loss.

      Holding period yield, HPY = HPR – 1

      The HPY value reveals an investment’s percentage return.

      An adjusted HPY may be used if there are interim investment contributions

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