Bond

Bonds are negotiable certificates of indebtedness issued by various entities such as companies, municipalities, or government agencies. As debt securities or IOUs, they provide investors with an opportunity to lend money to the issuer in exchange for regular interest payments ..

Basis Risk

The effectiveness of hedging strategies relies heavily on the relationship between the prices of a security and the instrument used to hedge it. However, there is always a risk that this relationship may change, resulting in a reduction in the ..

At Best

In the world of financial markets, effective trade execution is crucial for investors to capitalize on opportunities and achieve optimal outcomes. To facilitate this process, clients often grant brokers discretionary authorization, allowing them to exercise their judgment when executing orders. ..

Asset Allocation Funds

Asset allocation funds are a type of mutual fund that aim to provide investors with a diversified portfolio across different asset classes, such as stocks, bonds, and other securities. By diversifying their investments across different asset classes, asset allocation funds ..

Adjusted Beta and Equity Beta

When evaluating investments in financial markets, it is important to assess the risk of a particular investment. One commonly used metric to measure the risk of an investment is beta. Beta, also known as systematic risk, measures the volatility of ..

Purpose and Methods of Margin Collection by Stock Exchanges

Margin collection plays a crucial role in maintaining the stability and integrity of stock exchanges. It is a mechanism employed by exchanges to manage risks arising from members’ unduly large outstanding positions or volatile scrips. The Purpose of Margin Collection ..