Simple Does It

Here at MomVesting, we’ve started looking at the ins and outs of bankruptcy from an easier-to-understand, simple approach. So far, topics that have been touched on include assets, debts (including secured and unsecured), creditors and debtors. Today, we’ll touch on another important aspect of bankruptcy: exemptions.

What’s In It For Me?

There are some pairings that just go together. One would just not be the same without the other. Mickey and Minnie. Peanut butter and jelly. Captain and Tenille. Puts and calls. What? (Insert that neat little record-screeching sound they play in a movie when all activity comes to a halt here.) Okay, so they might not be the first things that come to mind when famous word pairings are mentioned, but in the world of investing, puts and calls definitely go together like peas and carrots.

Options, Options, Options

A while back, we started to give banking and bankruptcy the MomVesting "simple does it" treatment. That is, we started to look at banking and its terms in a pared down, basic light. Today, we continue what we started, this time focusing on secured and unsecured debts. Without further adieu, here is what you'll want to know about these important banking terms.

Secured Debts

Bankruptcy. Just seeing the word might induce a shudder at its implications. It's a topic that might not be on the top of your list to discuss, but it makes up a significant part of our financial culture. In an effort to keep financial terms in a simple, easy-to-digest format, we'll give bankruptcy and all of its connected points the "simple does it" treatment.

Debtor and Creditor

First off, let me tell you what a vested balance is not. It isn't coordinating an outfit so that a vest and shoulder pads are balanced and symmetrical. It also isn't a phase of my life during middle school in which vests made up a large balance of my wardrobe (come on, it was the late '80s!). In fact, as disappointing as it might sound, a vested balance really has nothing to do at all with any kind of a vest that you wear (insert disappointed sigh here).

Simply Put: Vesting Defined

If any of you out there has had a toddler or knows one fairly well, then you already have the means to understand the term "volatility." One minute, your toddler is happily making sweet potato art on his high chair tray while the next minute finds him screaming because no one will give him a steak knife.

Volatility, then, is when something varies greatly over a given period of time. Though pages and pages could be written about this phenomenon and kids, the same concept also applies to the investing and financial world. Today, we take a closer-yet-simple look at price volatility.

We here at MomVesting continue our simple approach to the basics of all things investing. For this go-around, it's the IPO's turn. Not to be confused with the Intellectual Property Office or the International Psycho-Oncology Society, this IPO definitely has a place in the financial and investing world.

According To Webster

There's a lot of talk in the financial sector about the notion of a bond bubble, but there's no real concrete, simple, or exact definition about this phenomenon. If you like reading things that go along with the "The sky is falling!" mentality, there is an abundant amount of material out there to sift through. Looking for a simple explanation? You've come to the right place!

First Things First: A Bond

Contrary to popular belief, the term "capital gain" does not refer to the newest laundry product from the makers of Gain detergent. (Okay, okay; I know that's a stretch, but you try coming up with a catchy opener for this term!) Today, we'll take a look at what capital gains (and losses) are, and how they fit in with investing in a simple, easy-to-understand manner.

Old Mr. Webster Says...