Difference Between Share Certificate and Share Warrant

Difference Between Share Certificate and Share Warrant

Key Difference – Share Certificate vs Share Warrant   A share is a unit of ownership of the company. Both share certificate and share warrant are documents that deal with shares of a company. The key difference between share certificate and share warrant is that a share certificate is a proof document issued to indicate the […]

Difference Between Preferential Allotment and Private Placement

Difference Between Preferential Allotment and Private Placement

Key Difference – Preferential Allotment vs Private Placement   Preferential allotment and private placement are two key methods of issuing securities that can be practised by both private and public companies. The key difference between preferential allotment and private placement is the group of investors they are been offered to. Any investor can subscribe to […]

Difference Between Accredited Investor and Qualified Purchaser

Difference Between Accredited Investor and Qualified Purchaser

Key Difference – Accredited Investor vs Qualified Purchaser   Accredited investors and qualified purchasers are two types of investors who usually invest in above-average risk, higher return earning investments. Despite this similarity between them, the criteria that should be met to be an accredited investor or a qualified purchaser are largely different. The key difference […]

Difference Between IPO and FPO

Difference Between IPO and FPO

Key Difference – IPO vs FPO   Initial Public Offering (IPO) and Follow-on Public Offering (FPO) are two widely used investment terms. Both IPO and FPO are conducted via a stock exchange, which is a market in which securities are bought and sold. The key difference between an IPO and FPO is that an IPO […]

How Do Investment Companies Work

How Do Investment Companies Work -1

What is an Investment Company?   An investment company is a financial organization whose main business activity is to hold and manage financial securities. These investments are done on behalf of the investors who have invested funds in the investment company. Investment companies may be publicly or privately owned. Goldman Sachs, Morgan Stanley, Deutsche Bank […]

How Does Venture Capital Work

How Does Venture Capital Work

  What is a Venture Capital Firm Venture capital is a form of private equity and venture capital firm is a company that has a pool of private investors that fund small startup businesses. Venture capital is also called ‘risk capital’ due to its inherent risk. They are interested in recovering their finance with a […]

How Angel Investors Work

How Angel Investors Work

How Angel Investors Work   Who is an Angel Investor? Angel investors are a group of investors that invest in entrepreneurs and small scale startup businesses at the early stage of their formation. Angel investors are also known as private investors or informal investors. These investors are individuals with a high net worth, who have the […]

Difference Between Angel Investors and Venture Capitalists

Difference Between Angel Investors and Venture Capitalists

Key Difference – Angel Investors vs Venture Capitalists   Angel investors and Venture capitalists (VC) are two types of investors who specialize in investing in small scale startup businesses and entrepreneurs. Acquiring funds for expansion purposes is often a limitation for such startup businesses since they do not have access to equity markets or the […]

Difference Between Angel and Seed Funding

Difference Between Angel and Seed Funding

Key Difference – Angel vs Seed Funding   Due to the limited scale of small businesses and entrepreneurs, gaining access to funds required for expansion often becomes a challenge since funding options such as share issues are not available. While the majority of investors prefer to invest in well-established businesses, some invest in small-scale startups.  […]

Difference Between Coupon Rate and Interest Rate

Difference Between Coupon Rate and Interest Rate

Coupon Rate vs Interest Rate   Coupon Rate and Interest Rate are two financial terms used by investors, particularly in purchasing and managing investments which make it necessary to know the difference between coupon rate and interest rate. Sometimes people use these two terms interchangeably, but the area and the situation of its use are […]