aarthik

[Aarthik is an open community for those learners and practioners who are eagerly seeking and sharing advise on various topics related to finance. ]

As per Text book explanation of "Leverage effect" : The leverage effect describes the effect of debt on the return on equity: Additional debt can increase the return on equity for the owner. This applies as long as the total return on the project is ...

Does the debt load of a company have an impact on the stock price of a company and its volatility? Also, how does the market react to the announcement of a company issuing bonds?

Textbooks in finance claim that one should not include financial cashflows in capital budgeting. I get the idea of not including interest (as it should be included in the cost of capital), but I don't understand why debt repayments theoretically woul...

What is the difference between Credit VaR and VaR ?

What is Presidential Puzzle - Political cycles and Stock markets ? it is considered as one of the stable non-trivial dependence structure in financial data.

WACC is an important metric in the DCF (Discounted Cash Flow) valuation. It is the rate at which the company discounts the future cash flows to calculate the present value of the business. What are different components of WACC ?

As the question title suggest what is Financial Modelling and where it is helpful ?

Machine learning has been extensively influencing in many data driven domains. Every stock markets produces huge amount of data that goes unexamined. How do we see machine learning algorithms can help predicting the behaviour of stock markets ? What ...

In the Handbook of Fixed Incomes Securities, there is this part: The lower federal funds rate prods banks to be less aggressive in issuing deposits, such as certificates of deposits (CDs). Their rates drop, bringing down other money market interest r...

What parameters need to be considered to create a holistic and more accurate representation of a company’s true credit score ?

With the emergence of new technologies backed startups what impact do we see in Cash flow forecasting ?

How Bank and trade finance suppliers produce a fair representation of a small company’s ability to handle short-term debt ?

What are common differences those come to our mind while discussing credit risk and counterparty risk ? Would appreciate if we can explain with examples.

Customer literacy is always a concern for any ecommerce/banking platform while boarding new customers or retaining old. Visual engagement is said to be defacto for such situations. There are multiple different ways to achieve it but all of them are i...

What are the real benefits of adapting distributed ledger technologies like blockchain in Trade finance apart form going paperless ?

Intercompany netting helps In-house banks in maximizing transactional and FX savings, process improvements using centarlization, aggregation , accounting , enhanced controls , hedging without impacting banking and trading relationships but I am more ...

Traditional financial systtems in Treasury operations are designed more of a monolitithic way. In order to scale ,better reach , real-time issue closure and improved customer satisfaction ratio innovation is driving them towards Service Oriented Arch...

Hi All, I am fairly noob to Treasury domain.I have few queries : Is there any open community to discuss doubts and queries related to CTP preparations ? Can we get the access of previous years question-bank to get the idea of exam complexity ? It wil...

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