Blog Posts

Is Service Revenue an Asset? 

One of the most critical parts of running a successful business is understanding the financial metrics and terminology used in accounting. Among these terms, “service revenue” and “asset” are commonly used, and it’s important to differentiate between the two. This article will explore whether service revenue can be considered an asset and provide insights into […]

Is Retained Earnings an Asset? 

Retained earnings, an essential component of a company’s financial statement, often raises the question: are they considered an asset? The answer to this is not straightforward. So, this article talks about retained earnings and its relation to assets.   Key Takeaways – Is Retained Earnings an Asset?  Retained earnings are accumulated net income that a […]

Who Pays for Bankruptcies? A Rundown of Financial Stakeholders

Bankruptcy is a legal process in which an individual or a company declares the inability to repay debts. This process is often misconceived as a situation where taxpayers bear the burden of the bankruptcy. However, there are several stakeholders involved in a bankruptcy, and the cost is distributed among them. This article will provide a […]

Hedge Fund Interview Questions (and Answers)

Welcome to this hedge fund interview guide. The hedge fund industry is a highly competitive field, attracting some of the most talented professionals from around the world. If you are reading this guide, you are likely one of those individuals who are preparing to take the next step in your career by interviewing for a […]

Venture Capital Interview Questions (and Answers)

As part of the hiring process, venture capital firms often conduct rigorous interviews to assess a candidate’s knowledge, skills, and experience. In this article, we will explore some of the most common venture capital interview questions and provide guidance on how to answer them effectively. Whether you are a job seeker looking to break into […]

Private Equity Interview Questions (and Answers) + Paper LBOs

Private equity (PE) is a dynamic and challenging field that offers exciting career opportunities. To succeed in a PE interview, candidates need to demonstrate a deep understanding of the industry, including its key players, trends, and investment strategies. They also need to showcase their financial acumen, deal-making skills, and ability to navigate business environments. In […]

How To Build A Balanced Portfolio

All asset classes will experience 50-80 percent (or larger) drawdowns over the course of one’s lifetime. This illustrates the importance of having a balanced portfolio, or one that avoids systematic biases where a portfolio will naturally do well in a particular environment and poorly in others. In this article, we’ll cover how to build a balanced […]

Dividends vs. Share Buybacks

In equity markets, there are two common methods companies use to return capital to shareholders: dividends and share buybacks. Both approaches have their own unique set of advantages and disadvantages, and the choice between the two can be a critical decision for corporations and investors alike. This article will explore the benefits and drawbacks of […]

Repo Funding

What Is Repo Funding? Repo funding, or repurchase agreement funding, is a financial instrument used by banks, financial institutions, and investors to access short-term liquidity. It involves the temporary exchange of securities (usually government bonds) for cash, with a commitment to repurchase the securities at a later date. The process is similar to a collateralized […]

Mean Reversion Strategies

Mean reversion strategies are based on the principle that prices of financial assets will eventually move back toward their long-term average or mean. Here are a few examples of mean reversion strategies for trading financial markets: Mean Reversion Strategies Relative Value Trading Relative value involves comparing the price of an asset to another related asset […]

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