Sentences with phrase «movement of an underlying asset»

Futures are used to either hedge or speculate on the price movement of an underlying asset, such as a physical commodity or financial instrument.

Traders enjoy this simple way of making money by simply predicting the movements of underlying asset prices.

Futures can be used to hedge or speculate on the price movement of the underlying asset.

Speculators also use forward contracts to make bets on price movements of the underlying asset derivative.

Our clients can now speculate purely on the price movement of the underlying asset, utilising leverage to increase their positions if they wish to», she added.

Traders enjoy this simple way of making money by simply predicting the movements of underlying asset prices.

CFDs are traded with an instrument that will mirror the movements of the underlying asset, where profits or losses are released as the asset moves in relation to the position the trader has taken.

Most often, derivatives involve some sort of futures the value of which will depend on the future movement of the underlying asset.

Trading binary options may appear to be simple, but picking the short - term movements of an underlying asset is extremely difficult, even for professionals.

CFDs are a type of financial instrument that tracks the movements of an underlying asset (In our case here, the crypto currency Monero).

Not exact matches

So, up to this point we know that you will need to select an underlying asset, expiry time, and prediction of price movement.

Anyone can profit from the movement in the value of a large and dynamic range of commodities, underlying assets, stocks, and shares.

Binary options do not involve buying or selling the actual assets but traders just bet on the price movement of several underlying assets.

If you sell a Naked Call or Put Option, you should have underlying assets or an open position in the futures market to protect you from an unlimited loss arising out of adverse price movements.

Risks associated with derivatives (including «short» derivatives) include losses caused by unexpected market movements (which are potentially unlimited), imperfect correlation between the price of the derivative and the price of the underlying asset, increased investment exposure (which may be considered leverage), the potential inability to terminate or sell derivatives positions, the potential need to sell securities at disadvantageous times to meet margin or segregation requirements, the potential inability to recover margin or other amounts deposited from a counterparty, and the potential failure of the other party to the instrument to meet its obligations.

Investors trade on the price movement of financial assets (without actually owning the underlying asset).

The extent to which the composition of the investment assets of the Underlying Funds held by each Portfolio exposes the Portfolio to the risk of movement in the value of non-U.S. currencies in relation to the U.S. dollar will be monitored on an ongoing basis.

A CFD (contract for difference) is a popular type of derivative product that gives traders the ability to speculate on, or hedge on movements in the underlying equity indices and commodities without the need to physically own those assets.

The objective of currency hedging is to reduce or eliminate the effects of foreign exchange movements over the life of the investment, such that a Canadian investor receives a return solely based on the change in value of the underlying assets, without the effect of changes in currency values.

Option prices move with the movement of the underlying so in theory I could simply trade the option itself without every needing (or wanting) to hold shares in the underlying asset.

Anyone can profit from the movement in the value of a large and dynamic range of commodities, underlying assets, stocks, and shares.

This may occur, for example, at times of rapid price movement if the price for the underlying asset rises or falls in one trading session to such an extent that trading in the underlying asset is restricted or suspended.

Because such a large part of the original underlying assets were in the form of highly leveraged credit default swaps, any significant downward movement in the economy would lead to a situation which came close to scuppering the accord when it was saved by the governments of Canada, Quebec, Alberta, and Ontario.

The Bitcoin chart relies on technical analysis, a field of investing that is somewhat controversial because buying decisions are based on the movement of a particular stock or other asset, rather than on the fundamental valuation or future opportunity of the underlying company or security.

Instead, you are betting on the price of a fictitious underlying market that is supposed to replicate the price movements of the actual asset.