|
|
Price risk |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Price riskThe risk that the value of a security (or a portfolio) will decline in the future. Or, a type of mortgage pipeline risk created in the production segment when loan terms are set for the borrower in advance of setting terms for secondary market sale. If the general level of rates rises during the production cycle, the lender may have to sell the originated loans at a discount.Price risk Similar MatchesForward priceForward priceIn any forward market, the price of the item being traded for delivery at a future date; in exchange markets, the forward rate. Law of one priceLaw of one priceAn economic rule stating that a given security must have the same price no matter how the security is created. If the payoff of a security can be synthetically created by a package of other securities, the implication is that the price of the package and the price of the security whose payoff it replicates must be equal. If it is unequal, an arbitrage opportunity would present itself. Retail price indexRetail price indexAn index of the prices of a basket of consumer goods and services used to measure the rate of inflation. Price to book valuePrice to book valueA financial ratio defined as: current share price divided by the net asset value per share. Put another way, the market capitalisation of the company divided by its total net assets. Trigger priceTrigger priceSee minimum price system. Further SuggestionsLaw of One Priceprice earnings growth factor Price range Transfer price Market price of risk Depressed price World price exercise price Price impact costs Commodity prices Theoretical futures price GDP implicit price deflator price high Tokyo Stock Price Index Consumer price index Rental price Implicit price deflator Priced out Fixed price tender offer Conversion parity price Price definition Fair market price Price discrimination Pricey Price undertaking |
|
|
|