SHORT SALE
The sale of a short position. The market price will decline. Refer to short naked shorting.
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The sale of a short position. The market price will decline. Refer to short naked shorting.
When a bank is interested in establishing good relationships with its borrowers by offering loans with below market interest rates, long repayment periods, and repeated rescheduling or rollover of the principal.
The rule that states that a standard deviation of a market variable is in proportion to the square root of time.
The buying or selling of securities once it reaches the stop level as opposed to the traditional stop order when securities are bought or sold at the market price.
An asset secured loan usually having a low loan to value ratio given to a client with a poor credit history such as a delinquency or default. Refer to B & C
Very liquid funds in excess of those required to be held as an emergency buffer.
A computation of the expected potential of loss to determine premium rates.
An individual that encourages a short sale. This is done assuming the price will decline.
When excess risk capacity lowers premiums. This causes an expansion of business due to a more affordable premium rate. The extra capital is used to cover the new risk. Refer to hard
When investors sell commodities that suddenly increase in price leading to distorted prices. Refer to short squeeze.
Selling securities once a determined price level is obtained to protect an investor
Loss that occurs when clients are mismatched with investment opportunites. Refer to ultra vires.
When an entire industries, such as automobile manufacturers volatility is reflected in an over the counter or exchange trade.
A list of registered new securities that don
When a group or institution buy a portion of an asset to cause their prices to go up. This way the short position has to cover it. Refer to bear trap.
Perishable commodities and derivatives. Excluding grain, cotton, and orange juice.
When the economy is plagued by little to no growth, rising prices, and high unemployment.
The selling in an auction market of government bills at the lowest acceptable price.
An anti takeover strategy that requires a supermajority vote.
The graphing of the relationship between the risk and the return of a specific investment at a specific time with the slope of the line indicating the market risk.
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