The Time Value of Money (TVM) is the principle that money available today is worth more than the same amount in the future due to its potential earning capacity through interest or investment returns. Table of Contents The core idea of TVM is that money today has the potential to grow if invested. This growth […]
Inflation is one of the most important economic concepts, affecting everyday life, investment decisions, and government policies. It refers to the sustained increase in the general price level of goods and services in an economy over a specific period. As prices rise, the purchasing power of money decreases, meaning you can buy less with the
Definition Arbitrage refers to the practice of profiting from price differences of the same asset in different markets. It involves simultaneous buying and selling to capitalize on inefficiencies, ensuring prices align across markets. It’s a cornerstone concept in finance that ensures markets remain efficient. Key Elements of Arbitrage Price Discrepancy: It arises due to inefficiencies,
