Sentences with phrase «market value of underlying securities»

The market value of the underlying securities will fluctuate and subsequent market value of the portfolio will reflect such daily pricing.

Like a mutual fund, ETFs are open - ended, meaning that new units of the fund can be created or redeemed at a price per unit that reflects the market value of the underlying securities the fund holds.

Not exact matches

If ever there was a disconnect between underlying reality and what is happening in financial markets, it is the boom in Puerto Rican debt which has nearly doubled the value of some of its debt securities over the last few months.

Authorized participants may wish to invest in the ETF shares long - term, but usually act as market makers on the open market, using their ability to exchange creation units with their basic securities to provide liquidity of the ETF shares and help ensure that their intraday market price approximates to the net asset value of the underlying assets.

«Value investing is a large - scale arbitrage between security prices and underlying business value» Seth Klarman The increasing short term focus of market participants often means investors place too much weight on short term factors impacting the company to the exclusion of the company's longer term potenValue investing is a large - scale arbitrage between security prices and underlying business value» Seth Klarman The increasing short term focus of market participants often means investors place too much weight on short term factors impacting the company to the exclusion of the company's longer term potenvalue» Seth Klarman The increasing short term focus of market participants often means investors place too much weight on short term factors impacting the company to the exclusion of the company's longer term potential.

However, the Fund may experience a loss even when the entire value of its stock portfolio is hedged if the returns of the stocks held by the Fund do not exceed the returns of the securities and financial instruments used to hedge, or if the exercise prices of the Fund's call and put options differ, so that the combined loss on these options during a market advance exceeds the gain on the underlying stock index.

Share prices can deviate from the fund's net asset value of the underlying securities it holds, as market forces of supply and demand can lead to a trading discount or premium.

The shares of the Spain Fund, Inc., a closed - end mutual fund investing in publicly traded Spanish securities, were bid up in price from approximately net asset value (NAV)-- the combined market value of the underlying investments divided by the number of shares outstanding — to more than twice that level.

Arbitrage might take advantage of imbalances in prices between two markets for the same security (such as a domestic and a foreign market) or between two types of securities whose value depends on the same underlying security (such a stock and a bond convertible into the stock).

It is worth noting that there may be a difference between an ETF's market capitalization and the net asset value (NAV) of its underlying securities.

In fact there is no way of determining whether any market is efficient or not in measuring underlying values unless the analyst understands, and analyzes, the specific securities that are the components of that specific market.

Long - term the global securities markets tend to reflect the value of the global economic development and growth that underlies the markets.

Another problem with ETFs is they can trade at a premium above the underlying market value of the securities contained in the fund, and at other times they can trade at a discount.

What he meant was that in the short - term security prices fluctuate purely based on the opinions of market participants, and can deviate widely from the underlying business values.

You receive shares based on the actual closing market price of the fund, and that is based on the actual value of the underlying securities, and it is the same whether you buy or sell shares.

An initial portfolio investment of $ 10,000, and a $ 500 monthly contribution, and purchase of underlying securities at prevailing market values are assumed.

To get a better picture of the real discount one has to consider not the market price of the underlying securities owned, but the actual value, perhaps even the private market value.

As you are aware, debt funds in India are marked to market, that is their NAV is determined on a daily basis by using the value of the underlying securities / investments.

The Underlying Index, created by Dhandho, utilizes a proprietary, rules - based methodology to select approximately 100 U.S. equity securities, master limited partnerships («MLPs») and American depositary receipts listed on the NYSE, NYSE Arca and the NASDAQ Stock Market from three categories of issuers: Share Buybacks, Select Value Manager Holdings, and Spin - Offs.

The process provides a mechanism to keep the market ETF prices close to the value of the underlying securities.

The Fund may experience a loss even when the entire value of its stock portfolio is hedged if the returns of the stocks held by the Fund do not exceed the returns of the securities and financial instruments used to hedge, or if the exercise prices of the Fund's call and put options differ, so that the combined loss on these options during a market advance exceeds the gain on the underlying stock index.

Authorized participants may wish to invest in the ETF shares for the long - term, but usually act as market makers on the open market, using their ability to exchange creation units with their underlying securities to provide liquidity of the ETF shares and help ensure that their intraday market price approximates to the net asset value of the underlying assets.

The market value of the securities underlying a when - issued purchase, forward commitment to purchase securities, or a delayed settlement and any subsequent fluctuations in their market value is taken into account when determining the market value of a Fund starting on the day a Fund agrees to purchase the securities.

The NAV value of ProShares Short FTSE / Xinhua China 25 is computed as of the close of the U.S. securities markets based upon the value of one or more U.S. exchange traded securities or instruments that reflect the values of the securities underlying the Index.

In the case of TIPS, the market value of the security would still be expected to drop even though the underlying principal value, on which the semiannual interest payment and inflation adjustment is based, would remain the same.

In addition, a liquid secondary market for particular options, whether traded over-the-counter or on an exchange, may be absent for reasons which include the following: there may be insufficient trading interest in certain options; restrictions may be imposed by an exchange on opening transactions or closing transactions or both; trading halts, suspensions or other restrictions may be imposed with respect to particular classes or series of options or underlying securities or currencies; unusual or unforeseen circumstances may interrupt normal operations on an exchange; the facilities of an exchange or the Options Clearing Corporation may not at all times be adequate to handle current trading value; or one or more exchanges could, for economic or other reasons, decide or be compelled at some future date to discontinue the trading of options (or a particular class or series of options), in which event the secondary market on that exchange (or in that class or series of options) would cease to exist, although outstanding options that had been issued by the Options Clearing Corporation as a result of trades on that exchange would continue to be exercisable in accordance with their terms.

The AP delivers a certain amount of underlying securities and receives the exact same value in ETF shares, priced based on their net asset value (NAV), not the market value at which the ETF happens to be trading.

I think the warrants of the big banks are some of the best investment opportunities in this market because of the quality of the underlying businesses, the value of the underlying common stocks, and the long - dated nature of the security itself.

If demand for the ETF goes down, and the price drops below the price of its underlying securities, the AP can reduce the number of shares in the market through a process called «redemption»: the AP buys the cheaper ETF shares, unbundles them, and sells the higher - valued securities back into the market until the prices realign.

However, in return for the option premium, a fund accepts the risk that it may be required to purchase the underlying securities at a price in excess of the securities» market value at the time of purchase.