What Is an Event Risk?
Event risk is the risk of a negative effect on a company’s value that results from an unexpected event. The event may threaten its ability to operate or its financial well-being. Events can be internally instigated, like a restructuring, an acquisition, or a product launch. Events can be externally caused, like a computer virus or a natural disaster. The event may affect just the specific organization or may be far-reaching.
What Is a Beneficiary IRA?
A Beneficiary IRA is also referred to as an Inherited IRA. It is an account opened by a person who inherits an existing IRA or an employer-sponsored retirement plan account when the original owner dies. An IRA, or Individual Retirement Account, is a means of allocating pre-tax income to investments so that they can grow in a tax-deferred manner for retirement savings. The amount of income that an individual can contribute to a traditional IRA on a tax-deferred basis is limited.
What Is a Full Service Lease?
Owners of investment properties have several options when determining how to lease their space to tenants. They may want to choose a lease structure based on their property type and its benefits. A full service lease has a predictable and straightforward structure that you can modify to benefit yourself as the landlord or investment property owner through the lease agreement.
How Do Interest Rate Risk and Reinvestment Risk Interact?
When interest rates go up, the cost of capital increases. How does this impact investors, or why should they even care? Specifically for bond investors, the fluctuations in interest rates can significantly impact their investments.
What Is A Capital Gain Distribution, And How Are Capital Gains Distributions Taxed?
Previous Realized blogs have outlined capital gains, what they are, and how they’re taxed. Then there are capital gains distributions. In concept, these are similar to capital gains, in that both are defined as profit generated from the sale of capital assets. They differ, however, in that capital gains distributions arise from investments in mutual funds and exchange-traded funds.
What Is a Real Estate Rollover?
Real estate investment properties can offer many potential benefits, including important tax breaks, stable cash flows, passive income, portfolio diversification, and asset appreciation.
What Does a Private Wealth Manager Do?
Many important factors must be considered before making informed investment decisions. These include extensive knowledge of a wide range of markets, varying investment opportunities and strategies, as well as patience, conviction, foresight, risk tolerance, and a host of other components that make up the greater whole.
What Is a Real Estate Mutual Fund?
Mention the term “real estate investment,” and what might come to mind is a direct investment. This means you directly own that physical property. You’re also the landlord, with hands-on duties when it comes to the successful functioning of that physical property (not to mention the satisfaction of your tenants).
How to Relinquish Rights to a Property
There are a few different ways to relinquish or transfer rights of ownership to real property.
What Is Equity Risk Premium and How Do You Calculate It?
Investing is always linked to the risk of losing your investment capital – the cryptocurrency crash of May 2022 and ensuing collapse of the Luna coin from $119 in early April to a mere eighth of a penny just over a month later is a painfully clear example of how billions of dollars of investment capital can be vaporized.¹
