Total Cost of Acquisition (TCA) is a metric that measures the total amount of money spent to acquire a new customer or a new asset. It includes not only the direct costs…
Month: April 2023
What is 2 by 20 model ?
The 2/20 model is a common fee structure used by hedge funds, private equity firms and other alternative investment managers. It consists of two components: a management fee and a performance fee….
What is Limited partner general partner model?
A limited partner general partner model is a type of business structure that involves two or more partners with different roles and responsibilities. In this model, there is at least one general…
Which one to select Private Equity and Venture Capital
Private Equity and Venture Capital are two types of investment strategies that aim to provide capital to businesses in exchange for equity or ownership. However, they differ in several aspects, such as…
Leveraged Buyout: A Guide for Business Owners
If you are a business owner who is considering selling your company, you may have heard of a leveraged buyout (LBO) as a potential option. But what is an LBO, and how…
Which market is better in Derivative Market?
Derivatives are financial contracts whose value is derived from an underlying asset, such as a stock, a bond, a commodity, a currency, an interest rate, or a market index. Derivatives can be…
What are Foreign Currency Futures?
Foreign currency futures are a type of financial derivative that allows investors and traders to buy or sell a specific amount of one currency for another at a predetermined exchange rate and…
What is Derivative Market ?
What is derivative market? A derivative market is a market where financial instruments that derive their value from an underlying asset or benchmark are traded. Derivatives can be used for various purposes,…
How is probability important for Risk and Return
If you are an investor, you probably know that risk and return are two sides of the same coin. The higher the potential return of an investment, the higher the risk involved….
What is Confirmation Bias ?
Confirmation bias is a term that describes our tendency to look for and interpret information in a way that confirms our existing beliefs or expectations. It is a type of cognitive bias,…