Horizontal Spread

Horizontal Spread

A horizontal spread (more commonly referred to as a calendar spread) is a form of spread of options involving the purchasing of the same underlying…
Risk Tolerance

Risk Tolerance

The degree of uncertainty in investment returns is risk tolerance; it is the capacity of an investor to mentally tolerate the prospect of losing money…
Exchange-Traded Derivatives

Exchange-Traded Derivatives

An exchange-traded derivative is a listed financial agreement that trades on a regulated exchange. It offers an overview of the globally listed markets for futures…
Exchange-Traded Notes (ETN)

Exchange-Traded Notes (ETN)

“Exchange-traded” means the buying and selling of ETNs on a national stock exchange, whereas “note” refers to the fact that an ETN is simply a…
Direct Stock Purchase Plan (DSPP)

Direct Stock Purchase Plan (DSPP)

A direct stock purchase plan (DSPP) enables investors to purchase directly from the company the shares of a company’s stock. It is a way for…
Stock Appreciation Rights (SARs)

Stock Appreciation Rights (SARs)

Stock appreciation rights (SARs) refer to the right to obtain compensation equal to a rise in the common stock price of the company over the…
Depository Transfer Check (DTC)

Depository Transfer Check (DTC)

A Depository Transfer Check (DTC) is used by a designated collection bank to deposit a corporation’s daily receipts from various locations, and it is also…
Validation Code

Validation Code

A validation code also referred to as a CVV, CV2, or CVV2 code is a sequence of three or four numbers issued on the front…
Employee Savings Plan (ESP)

Employee Savings Plan (ESP)

A pooled investment portfolio that is sometimes matched by an employer is an employee savings plan (ESP). It is provided by an employer who requires…
Employee Stock Purchase Plan (ESPP)

Employee Stock Purchase Plan (ESPP)

A tax-efficient Employee Stock Purchase Plan (ESPP) refers to a stock scheme that requires participating employees to purchase the stock of their company at a…
Calendar Spread

Calendar Spread

A calendar spread also referred to as a time spread or horizontal spread, is a spread of options or futures generated by simultaneously entering a…
Vertical Spread

Vertical Spread

A vertical spread is a trading strategy in options trading that involves trading two options at the same time; it is the most fundamental spread…
Load More