Author: todorm

An increase in the price of a financial instrument since the preceding transaction.

To close out a complex or large trade, or correct a trading error.

A financial instrument that is not traded on a formal exchange as it doesn’t meet the necessary requirements.

UITs buy a fixed portfolio of securities and allow investors to redeem their “units,” much like a mutual fund.

A combination of assets or types of assets packaged together and sold as one

A series of rules, interpretations and explanations designed to make uniform, where practicable, custom, practice, usage, and trading technique in the investment banking and securities business, particularly with regards to operational and settlement issues.

The process where a bank raises capital for a client from investors in the form of equity or debt securities.

A put option contract where the option writer does not hold the underlying position to cover the contract in case of assignment.

When a call option is sold by itself without any offsetting positions.

The types of orders are market orders, limit orders, and stop-loss orders.