|
|
Position |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
PositionA market commitment; the number of contracts bought or sold for which no offsetting transaction has been entered into. The buyer of a commodity is said to have a long position, and the seller of a commodity is said to have a short position. Related: Open contracts.Position Similar MatchesShort positionShort positionOccurs when a person sells stocks he or she does not yet own. Shares must be borrowed, before the sale, to make "good delivery" to the buyer. Eventually, the shares must be bought back to close out the transaction. This technique is used when an investor believes the stock price will drop. Miller and Modiglianis irrelevance propositionMiller and Modiglianis irrelevance propositionTheory that if financial markets are perfect, corporate financial policy (including hedging policy) is irrelevant. Position limitsPosition limitsApplies to derivative products. Maximum position available in any one future or option contract for a given institution. For "bona fide" futures hedgers, there are no position limits. Welfare propositionWelfare propositionIn trade theory, this usually refers to any of several gains from trade theorems. Position buildingPosition buildingBuying shares to build up a long position or selling shares to create a short position in a particular security or group of securities. Further SuggestionsCore propositionsDiscretionary Proposition Synthetic forward position Modigliani and Miller Proposition I Positioning Disposition of Real Estate Statement position limit Foreign asset position Position trader Take a position Clear a position Open position synthetic position Long position in an option Net position long position Spread position Covered position Covered position Position sheet Interpositioning Net foreign asset position Equilibrium position Heckscher-Ohlin Core Propositions Position diagram |
|
|
|