Financial Markets - Financial Instruments - Stocks
5 important questions on Financial Markets - Financial Instruments - Stocks
What is a stock index?
Is computed as an average of a group of stock prices like:
- AEX
- LSE
- Dow Jones Industrial average (DJIA)
- Standard & Poor's 500
- New York Stock Exchanges Indexes (NYSE)
- Nasdaq Stock Index ( DAX, Hang Seng, Nikkei)
Meaning abbreviation: D/P
The dividend to price ratio (r), is called dividend yield.
r= D/P ( D is dividends paid per share/ prevailing stock Price
What is the P/E ratio?
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What is the Pay-out ratio:
What does Vol or sales mean?
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