Market-weighted indexes may end up over-exposed to expensive investments, and underweight more attractively valued ones. That can be a problem. Of course, there are advantages to the approach too.

Vikki Velasquez is a researcher and writer who has managed, coordinated, and directed various community and nonprofit organizations. She has conducted in-depth research on social and economic issues ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Market cap calculates a company's value by multiplying share price with shares outstanding. Large-cap stocks are stable with dividends; small-cap stocks offer growth with higher risks. Diversifying ...

Capitalization is the practice of converting costs into assets with the intent of depreciating the cost over time. Capital refers to the cash value of anything a business or individual owns that it ...

Market capitalization is the total worth of a company’s outstanding shares of stock. In short, market capitalization is the market worth of an organization’s equity. The significance of market ...