Tag Archives: Investing

The S&P 500 is a stock market index which tracks the overall performance of the 500 largest American companies (based on market capitalization). This is a great metric which can be used to understand the swings of the overall market and is also the model for some of the most popular index funds. An index fund is a fund with a portfolio which mimics that of a specific market index (for a more in-depth explanation see here). In the case of the S&P 500, the fund would be comprised of the companies represented in this index. So, instead of investing Continue reading Why Does the Total Stock Market Typically Beat the S&P 500?→

Maybe you’re a Game of Thrones enthusiast, maybe you’re not. Either way, you are most likely aware of what a moat is. You know, the classic pit filled with water which surrounds nearly every storybook castle… The concept of a moat is incredibly simple. If invaders are forced to deal with a challenging obstacle before they can attack the castle, the likelihood of a successful invasion is decreased. The concept is thousands of years old, but it has recently been given a new application in the world of security analysis and finance. The term economic moat was coined by none Continue reading The Economic Moat, a New Application for an Old Concept→