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Principal agent relationship |
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Principal agent relationshipOccurs when one person, an agent, acts on the behalf of another person, the principal.Principal agent relationship Similar MatchesExpected return beta relationshipExpected return beta relationshipImplication of the CAPM that security risk premiums will be proportional to beta. Price volume relationshipPrice volume relationshipA relationship espoused by some technical analysts that signals continuing rises or falls in security prices that are related to changes in volume traded. Interrelationship DigraphInterrelationship DigraphA way to display cause and effect relationships among all the elements in a system. The relationship arrows indicate the issues/causes that are the most fundamental among all the related items. International Fisher relationshipInternational Fisher relationshipTheory that nominal interest rates and inflation rates in different countries are connected. The Fisher equation says the nominal interest rate is the product of one plus the real interest rate times one plus the expected rate of inflation. Put call parity relationshipPut call parity relationshipThe relationship between the price of a put and the price of a call on the same underlying security with the same expiration date, which prevents arbitrage opportunities. Holding the underlying stock and buying a put will deliver the exact payoff as buying one call and investing the present value (PV) of the exercise price. The call value equals C = S + P - PV(k). Further SuggestionsRelationship marketingPositive Sum Relationship |
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