Company categories and their significance

  • Fundamental Analysis

Overview

In this course you’ll learn about the relationship between company size, how globalization may affect your fundamental analysis, and ways to invest in non-U.S stocks while removing the complexities of foreign markets. With a better understanding of how companies are categorized you can make more knowledgeable investment decisions for your portfolio.

Objectives

When you complete this course, you will:

  • Be familiar with the key terms and concepts of company categorization
  • Know the potential benefits and risks of investing in different investment categories
  • Understand company categorization and how to apply this knowledge to your investment strategies
Course Outline
Title Type Highlight
1. Equity categories: A key to efficient portfolio construction Video
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This lesson provides a guide to some widely recognized equity groups such as company size and location to help you build a well diversified portfolio that represent a broad range of categories.

This lesson provides a guide to some widely recognized equity groups such as company size and... More
2. Understanding market capitalization Article
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Market cap measures what a company is worth on the open market, as well as the market’s perception of its future prospects, because it reflects what investors are willing to pay for its stock.

Market cap measures what a company is worth on the open market, as well as the market’s perception... More
3. What are sectors and industries? A guide to frequently asked questions Article
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Industries and sectors are terms used by financial analysts to break down the stock or equity market. This is important to investors because sectors and industries form the framework for investment research, portfolio management, and asset allocation.

Industries and sectors are terms used by financial analysts to break down the stock or equity... More
4. Understanding the differences between Domestic, International, and Global Companies Article
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In order to understand a company’s fundamentals, an investor should first determine what accounting rules might have been used to compile reports and whose laws define the company’s governance practices.

In order to understand a company’s fundamentals, an investor should first determine what accounting... More
5. Understanding American Depositary Receipts (ADRs) Article
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Take note of the ADR risk factors and expenses section. Because ADRs are issued by non-U.S companies, they entail special risks inherent to all foreign investments and may be subject to periodic service fees as well.

Take note of the ADR risk factors and expenses section. Because ADRs are issued by non-U.S... More

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Company valuation ratios

  • Wealth Management Systems Inc. Financial Communications

The Global Industry Classification Standard (GICS): An objective language for sectors

  • DST Systems, Inc.