Explain maintenance of future and option margins
Explain maintenance of future and option margins.
Expert
With short and futures options there are margins also to be paid, generally daily, to a clearing house like a safeguard against credit risk. Therefore if prices move against you, you need pay a maintenance margin. It will be based upon the prevailing market values of the futures and short options.
Why might it be easier for an investor wishing to diversify his portfolio internationally to purchase depository receipts instead of the actual shares of the company?A depository receipt can be purchased on the investor's domestic exchange. It
What is the reason that a company would probably not issue $1 million worth of fresh common stock in January to evade all short-term borrowing during the year?
How is the implied volatility calculated?
Janice Colangelo heads the Training Centre of the large HR Consulting firm EMT Consulting. The firm has three major departments: Recruitment, Training and Career Services. The Training Centre provides management training for employees of various businesses. Recruitment provides recruitment service
Banks determine it essential to accommodate their client's needs to purchase or sell foreign exchange forward, in several instances for hedging purposes. How can the bank abolish the currency exposure it has formed for itself by accommodating a client's forw
Explain an example of probabilities in a simple coin-tossing experiment one thousand tosses.
What is shadow Greeks?
Explain the term copula in current financial crisis.
How does Jump-Diffusion Model Affect Option Values?
Illustrates an example of Poisson Process?
18,76,764
1942695 Asked
3,689
Active Tutors
1418195
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!