Financial Concepts

  1. Financial Concepts: Introduction
  2. The Risk/Return Tradeoff
  3. Diversification
  4. Dollar Cost Averaging
  5. Asset Allocation
  6. Random Walk Theory
  7. Efficient Market Hypothesis
  8. The Optimal Portfolio
  9. Capital Asset Pricing Model (CAPM)
  10. Financial Concepts: Conclusion

In this tutorial we’ll deal with general financial concepts, such as asset allocation, dollar cost averaging, diversification, including the more complex ones. These theories have been developed – some of them by investors themselves – as an effort to explain market behavior. As an investor, it is beneficial to understand all of these concepts as they explain the inner workings of the market.