Total Asset

The Total Asset Fundamental Analysis lookup allows you to check this and other indicators for any equity instrument. You can also select from a set of available indicators by clicking on the link to the right. Please note, this module does not cover all equities due to inconsistencies in global equity categorizations. Please continue to Equity Screeners to view more equity screening tools.
  
Total Asset is typically divided on the balance sheet on current asset and long-term asset. Long-term is the value of company property and other capital assets that are expected to be useable for more than one year. Long term assets are reported net of depreciation. On the other hand current assets are assets that are expected to be sold or converted to cash as part of normal business operation.

Total Asset

 = 

Tangible Assets

+

Intangible Assets

Total Asset is everything that a business owns. It is the sum of current and long-term assets owned by a firm at a given time. These assets are listed on a balance sheet and typically valued based on their purchasing prices, not the current market value.

Total Asset In A Nutshell

Each company may have completely different assets as a manufacturing company has many physical assets such as machinery, while a consulting firm has intangible assets and that could be IP or intellectual properties. Total assets when it comes to banks is different because assets with a bank are loans for cars all the way to large business loans.

Total assets are interesting because not every company has the same under the category. Total assets are a culmination of all tangible and intangible assets, giving you a nice number to then go forward researching.

Closer Look at Total Asset

Total assets is something you have to take a look at individually because it may not be the best to compare them across the board. Rather, you should look at assets in a financial light, with an example being if the company needs to liquidate or sell, what would be the return investors would receive after all the lien holders are paid off first.

Assets are essential to many businesses and it is important to understand what the majority of them do. If you are watching a manufacturing company and you noticed the assets number jumped a large percentage, that could have been from an investment in assets that help the company grow cash flow. Really understanding the investments you make are crucial because you can put yourself in managements shoes and hopefully understand their reasoning behind moves.

Going to back to liquidity, you have to understand that many of these tools are unique to this particular business, which means if they have to sell off all they have, it may be difficult to sell the physical assets of the company. With that being said, you wouldn’t want to invest in a company that is on the verge of failing anyways.

Be sure to fully understand how total assets can help with your fundamental research, because it can come in handy with some ratios. Ratios are something you can typically compare across the board, allowing you to find which companies are creating the most value. If you get stuck, reach out to an investing and trading community as they can help to guide you in the right direction and provide examples of how they may be using total assets in their research. Test this out and see if it complements your current setup, if not, at least you have the knowledge going forward to hopefully help you out in other areas of finance and investing.

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Pair Trading with Investor Education

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Investor Education position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Investor Education will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to Microsoft could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Microsoft when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Microsoft - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Microsoft to buy it.
The correlation of Microsoft is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Microsoft moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Microsoft moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Microsoft can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any private could be closely tied with the direction of predictive economic indicators such as signals in estimate.
You can also try the Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.

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