Sentences with phrase «value of an underlying asset between»

Not exact matches

Derivatives are contracts between counterparties that derive their value from the performance of an underlying asset, index, or entity.

It is a legal contract between 2 parties, a buyer and a seller to agree to pay the difference in the current price of the underlying asset and its contract value.

There are three main kinds of derivatives on the commodities market — contracts made between two or more parties who agree on the value of the underlying asset: futures and forwards, options and OTC products.

Most of the large tracking error in the Vanguard MSCI U.S. Broad Market (VUS) was likely the result of currency hedging, but its annual report also cites «differences between the market price and net asset value of the underlying US domiciled Vanguard funds in which the ETF invests.»

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.

One standard tool for measuring value is the price - to - book (P / B) ratio which represents the difference between the asking price of a share and its underlying value as determined by the assets of the company.

The value of the payment at maturity for option prices between the initial asset price and the trigger price is dependent upon the price of the underlying asset during the observation period.

This difference between the price of an ETF and the price of the underlying net asset value is usually very small.

In the top five ETFs, net cash flows were between zero and 18 % of total dollar value traded in these products between February 2 and February 8 (Exhibit 4).5 This important fact highlights that ETF trading flows were largely offset between buyers and sellers and that only a fraction of those transactions drove trades in the underlying assets.