Asymmetric information

 

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Asymmetric information

The failure of two parties to a transaction to have the same relevant information. Examples are buyers who know less about product quality than sellers, and lenders who know less about likely default than borrowers. Both are common in international markets.

Asymmetric information

Information that is known to some people but not to other people.



Asymmetric information

Similar Matches

Insider information

Insider information

Price-sensitive information about a company that has not yet been made public.People who use the information either to make a profit for themselves or for someone else are committing a criminal offence (insider dealing).The inside dealer does not have to work for the company for his dealing to be an offence. So a stockbroker, or merchant banker, who knows about an impending takeover deal who buys shares in the target company with the intention of making a profit, is guilty. If he gets a friend to buy the shares, he is still guilty. In theory, the net is cast quite wide. In practice, insider dealing prosecutions are rare, and successful ones rarer still because the allegations are so hard to prove.Note the difference between insider dealing (an offence) and directors dealings (not an offence).


For your information (FYI)

For your information (FYI)

A prefix to a security price indicating that the quote is for information purposes only, and not an offer to trade.


Information asymmetry

Information asymmetry

Condition that information is known to some, but not all, participants.


Intermarket Surveillance Information System (ISIS)

Intermarket Surveillance Information System (ISIS)

A database that distributes information from all the major stock exchanges in the United States.


Information content effect

Information content effect

The rise in the stock price following a dividend signal, or publication of some other related news.


Further Suggestions

Information Ratio
Information Agent
Information costs
Informational efficiency
London Market Information Link
Insider information
Limit order information system
Information Coefficient (IC)
Information services
Complete information
Technical Information
Informational efficiency
Incomplete information
Expected value of perfect information
Nonpublic information
Information architecture
Fundamental Information
Statement of Additional Information (SAI)
price sensitive information


 
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