Meaning SPOT FUTURES PARITY THEOREM: Describes the theoretically correct relationship between spot and futures prices. Violation of the parity relationship gives rise to arbitrage opportunities
More terms such as Spot futures parity theorem in Dictionary S.
- Definition Shark Watcher:
- Examples arbitrage. Firm specializing in the early detection of takeover activity. Such a firm, whose primary business is usually the solicitation of proxies for client corporations, monitors trading patterns spot futures parity theorem definition.
- Definition Scorched-Earth Policy:
- Examples arbitrage. Any technique a company that has become the target of a takeover attempt uses to make itself unattractive to the acquirer. For example, it may agree to sell off its crown jewels, or spot futures parity theorem explain.
- Definition Stock Market:
- Examples Also called the equity market, the market for trading equities spot futures parity theorem what is.
- Definition Shrinkage:
- Examples Discrepancy between a firm's actual inventory and its recorded inventory due to theft, deterioration, loss, or clerical problems spot futures parity theorem meaning.
- Definition Screen Stocks:
- Examples stocks in search of stocks that meet predetermined criteria. For example, a simple value screen would sort all stocks by their price-to-book ratio and pick the stocks with the lowest ratios as spot futures parity theorem abbreviation.
