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Trading Terms

Fund

It is managed by a professional or a team of experts who make decisions on where to invest the funds to generate returns. These returns can come in the form of dividends, interest, or capital gains.

Funds, as you may already know, are pooled investments designed for a specific objective. They are overseen by experienced professionals who strategically allocate the funds to generate profits. These profits may take the form of dividends, interest, or capital gains. Essentially, a fund is a collective effort of multiple investors, allowing for a diversified portfolio and potential for higher returns.

Dumping

Welcome to our lesson on dumping in the world of finance. This term refers to the practice of selling a product in a foreign market at an unfairly low price. This can give a...

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Transfer Response

The term "frequency response" is used to describe the shape of a wave as it passes through a filter. This shape is compared to the original shape of the wave before entering...

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Electronic Communications Network

Brokerage firms often establish independent execution systems that match retail limit orders with existing compatible orders. This allows for more efficient and timely execu...

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Value at Risk (VaR)

In the world of finance, it is important to understand the concept of exposure within a portfolio. This refers to the level of risk associated with the securities included i...

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