The Relationship Between Corporate Bonds and Equity

LEVEL:  BEGINNER There are two main ways to invest in a company: own equity or lend money. The former is what stockholders do, and the latter is what bondholders do. A bond is essentially a loan from the bondholder to a company or a large entity. Bonds are usually...

The Importance of Cash Flow

LEVEL:  BEGINNER Cash flow is one of the most important aspects of a company’s financial life that investors should pay special attention to before deciding whether to invest in a stock or not. Companies report their cash flow to the Securities and Exchange...