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There are four factors that determine the threat of new entrants: number and balance of competitors, degree of difference between products, growth rate of an industry, and level of fixed costs.
Defined Contribution Plan
A retirement plan where an employer, employee, or both make contributions on a regular basis, with future benefits dependent on investment performance.
Risk-free Return
The theoretical return on an investment with no risk of financial loss, typically associated with government bonds.
Standard Deviation
A measure of the amount of variation or dispersion of a set of values, used in finance to gauge the return volatility of an investment.
Defined Contribution Plan
A type of retirement plan where the employee and/or employer contribute a set amount to the employee's individual account during their employment years.
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