by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is the Worden Stochastics?The Worden Stochastics indicates the percentile rank that a recently closed price obtains in comparison to other closing prices over a specific period of time. Traders consider using this indicator for knowing if a specific security...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is Stuffing in a Sale of Securities?In the trade of securities, stuffing refers to an act of trading an unpleasant security. It is a situation in which a broker dealer sells an undesirable security to a client. Once the security is moved from the broker...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What are Treasury STRIPS?STRIPs is an acronym for Separate Trading of Registered Interest and Principal security. Treasury STRIPS are fixed-income securities (they pay fixed-income on maturity) which are purchased below their face value and offer no interest in the...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Canary Call?A canary call refers to a step-up bond that cannot be called once a certain period elapses. After the step-up bond has completed its first-step period, a call cannot be made. A step-up bond is a bond that pays investors a low interest rate at the...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is the Calmar Ratio?The Calmar ratio refers to a formula used in measuring the performance of a fund by comparing the annual compounded rate of return and the maximum drawdown risk of the fund. The Calmar ratio is often used to evaluate hedge funds and Commodity...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Call Swaption?A swap agreement refers to a contract that allows two individuals or parties exchange or swap financial instruments. This exchange is with the aim of attending to the different needs of both parties. In a call option, a call swaption gives its...