Toptal Finance Blog

Ray Dalio is an investing legend whose success is most often attributed to investment acumen. This article argues that it was equally due to his foresight as an early but quiet adopter of computational systems, big data techniques, and artificial intelligence that resulted in his outstanding success. Bridgewater was one of the world’s earliest fintech companies.

Competitive strategy frameworks are widely known and mainstays of university curricula, despite being almost 40 years old. We often hear the stories of Walmart and Southwest Airlines, but what modern examples are there? In this article we use Michael Porter’s activity positioning framework to show successful applications of competitive strategy from modern digital companies.

Search funds, though once an esoteric asset class and model for entrepreneurship, have seen a substantial rise in popularity in recent years. They can often represent a superior alternative to the venture-backed startup route especially for a select cohort of formally trained entrepreneurs, most of all those who deeply understand their motives, risk appetites, and contextual/financial encumbrances.

$7.35 million. That’s the average cost of a data breach is. Sure, cybersecurity isn’t sexy. However, in today’s digital age, it is undeniably critical for large corporations and small startups alike. This is compounded by the fact that hacks are becoming commonplace.

Read on to arm yourself with awareness to these invisible threats, and tangible steps you can take to protect yourself and your company.

Total Addressable Market (TAM) sizing exercises have become very popular for assessing the potential of a business. TAM is, however, often miscalculated and misinterpreted. In this article, we will look at how to calculate it and its derivative subset waypoints of SAM and SOM. A working example will also be demonstrated for WeWork.

Despite significant advancements, cryptocurrencies remain highly controversial; while some tout it as “the next internet,” others view Bitcoin as “evil.” At their simplest, they are the newest fintech fad; yet at their most complex, they’re a revolutionary technology challenging the political and social underpinnings of society. This article will demystify cryptocurrencies’ appeal, its complex underlying technology, and its value. It will also examine the accounting and regulatory, and privacy issues surrounding the space.

EBITDA is one of the most common metrics in finance. However, while intended to provide a “cleaner” picture of operating performance than net income, in reality it often achieves the opposite effect. It is also in many cases a questionable proxy for cash flow, as well as a dubious valuation tool.

Though traditional economic theory posits that individuals are rational, we all know this to be an oversimplification of the truth. The cyclical investment process is rife with psychological pitfalls. Only by becoming aware of and actively avoiding innate behavioral biases can investors reach impartial decisions. Herein lies the true value of the emerging field of behavioral finance, which sheds light on true financial behavior.

Everyone is familiar with Elon Musk the Entrepreneur, but what about Musk the Investor? In this article, we will look at how Musk has funded his ventures and managed his personal angel investments over his career, clever tactics that he has applied, and lessons learned from his experiences.

As consumers, we’re familiar with AI: we benefit from cars that parallel park themselves, devices that respond when asked questions, and streaming platforms that suggest shows we may like. However, professionally, the larger question is how industries will harness the power of AI. In finance, AI offers opportunities for operational efficiencies in everything from risk management and trading to insurance underwriting.

Fundraising, for companies at any stage, is undoubtedly a challenging process. Even for seasoned entrepreneurs and startups already experiencing market traction, a compelling pitch and accompanying pitch deck are still necessary. While there is variance around stylistic delivery of the pitch and aesthetic of the deck itself, you might be relieved to hear that the infamous pitch deck boils down to a formula.

While the complex esports industry may be daunting for investors, it is growing exponentially and has already amassed a large, global audience.

Many have a love-hate relationship with Microsoft’s PowerPoint. While super flexible, the tool can also be manual, tedious, and all-consuming, especially for the uninitiated. Authored by a former management consultant and finance expert, this article will help every user—from the beginner to the advanced operator—smooth out some of their points of friction and become an expert-level user of the application.

Through its acquisition of Whole Foods, Amazon is not only likely to disrupt the grocery shopping experience but is perhaps embarking on a grander push that could change the entire retail landscape, leaving Walmart on the back foot.

The Glass-Steagall Act, Depression-era legislation, has had a controversial, unconventional run. 80 years after its inception, it’s made its way back into public discourse. This article examines the historical context of the Act, its erosion, and its repeal, as well as its impact on the financial crisis.

Many newcomers to venture capital fail to appreciate some of the nuances that distinguishes venture investing from traditional forms of financial investing. This article delves into three areas in particular that new venture investors should look to understand.

The private equity industry is showing signs of maturity as record competition amongst funds and record-high levels of dry powder, combined with strong competition from cash-rich corporates, have driven valuations to levels that make it difficult to see how returns could remain competitive.

When looking to sell your business, you will want to maximize its value through a combination of planning and timing. This article runs through some of the most important considerations to keep in mind when preparing for a sale.

After several months of relative quiet, Greece is back in the spotlight as the latest repayment deadline on its bailout debt comes due in July. We take the opportunity to review the root causes of the crisis, what has been happening since it kicked off, and what needs to be done to resolve the situation.

A cashless society is approaching, with progress particularly pronounced in certain parts of the world. This piece examines global payment trends, as well as benefits and drawbacks of a cashless economy. It also includes case studies on India and Sweden, two countries already transitioning to a cashless future.

The financial services industry is seeing a wave of innovation that is bringing with it new technology, but also a need to attract and develop talent that have the skillset needed to operate in this changing environment. This article delves into some of the most important trends affecting the industry.