Tim Bennett Explains: What is EBITDA?
Sooner or later an equity investor will come across the term EBITDA. Here Tim Bennett explains how it is used and asks whether it should be so popular.

Sooner or later an equity investor will come across the term EBITDA. Here Tim Bennett explains how it is used and asks whether it should be so popular.
Operational gearing is a popular piece of jargon used by analysts and journalists. Here Tim Bennett explains what it means and why it matters.
Debt has a direct impact on the return you can expect to get from a share says Tim Bennett. In this short video he highlights why.
Currencies operate in a world of their own says Tim Bennett. In this video he explains some of the most commonly used jargon and highlights how spot and forward deals work.
Share buybacks are billed as an effective way for firms to return surplus cash to shareholders. But as Tim Bennett explains in this short video they can also flatter a firm’s results and help directors hit their own remuneration targets.
Price earnings (p/e) ratios can be very useful when it comes to judging whether a share is cheap or expensive. However, as Tim Bennett explains in this video, they are not perfect and must be interpreted with care.
Anyone investing in fixed income securities should be familiar with yields – a key way to measure returns. In this short video Tim explains how these work and also how to evaluate the investment risk of a fixed income security using a credit rating.
Dividends are a key part of the total return that an investor can expect from shares. In this short video Tim Bennett explains why dividends are so important and how equity investors should approach income investing.
Individual Savings Accounts (ISAs) are a great way to save and invest tax efficiently. Here Tim Bennett explains how they work and compares them to the New ISAs (NISAs) introduced in the latest budget.
An ISA and a SIPP can both help long-term investors build wealth. In this video Tim sums up the key differences between the two products and explains which is best.
Brokers play a key role in stock markets for both novice and more experienced investors. In this video Tim Bennett explains what they do, introduces the different levels of service they offer and breaks down some of the most common broking jargon.
In his latest budget Chancellor George Osborne announced a radical overhaul of both ISAs and pensions. Tim Bennett summarises the key changes and looks at how they will impact savers and investors.
The p/e ratio is one of investing's most widely quoted numbers notes Tim Bennett. Here he explains how it works and what it can reveal about a share.
Carry traders make money from the fact that currencies offer different rates of interest. In this short video, Tim explains how carry trades work and also how they can go wrong.
What are fixed income securities (bonds)? Here Tim Bennett introduces how they work and breaks down the key jargon for novice investors.
Buying a home makes financial sense says Tim Bennett. However beyond that property investing is fraught with pitfalls - in this short video Tim explains why.
Initial public offerings (IPOs) generate headlines by bringing new companies to the stock market for the first time. Tim Bennett looks at how they work and explains what they mean for retail investors.
Individual Savings Accounts are a great way to save and invest tax efficiently. Here Tim Bennett explains how they work and offers some tips to help you get the most out of them.
The ability to earn interest on interest is one of the keys to building long-term wealth. Tim Bennett explains why compounding is so powerful and suggests some ways to make it work for you.
Investing in shares can be a great way to build lifetime wealth. Tim Bennett explains their basic features and offers a few tips to new investors.
Inflation is the enemy of cash. Tim Bennett explains why this matters so much to investors and what they can do about it.
The cash flow statement is a useful source of information on the reliability of a firm’s profit number. Here Tim explains why and points out three ways it can be used to spot trouble.
Lose control over working capital and you can quickly lose control over cash flow says Tim Bennett. In this short video he explains why and points out some of the warning signs that suggest all is not well.
When is a sale not a sale? Investors should be aware of the different ways in which even a simple number such as the sales figure can be reported. Here I point out a couple of the techniques that can be used to flatter a firm’s results.
New ISA rules came into effect at the start of the month, bringing some welcome changes to the way these useful tax shelters work. In this short video I explain what these are and offer some tips on getting the most from your new ISAs.
There are good and bad ways to approach saving says Tim Bennett. In this short video he offers some simple, practical advice designed to make sure you get the most from your money.
Many CEOs like to grow their firms quickly by buying up other firms. In this week’s video, Tim Bennett warns that this strategy also gives managers an opportunity to flatter profits and points out some of the warning signs that suggest management may have bought too much, too soon.
How can you tell when a company might be running into trouble? Tim Bennett suggests three ways a balance sheet can reveal that all is not well.
The phrase hedge fund covers a wide range of different investment vehicles and strategies. Here Tim Bennett offers his short guide to why they exist and what they do.
If you want low-cost exposure to an index or sector an exchange traded fund can offer it. However as Tim Bennett warns in this short video, many of the newer ETFs are complex and relatively expensive.