When you trade in futures contracts, you rarely take possession of the commodity, currency or financial instruments being transacted. That's because you are purchasing the right to buy or sell at a certain price on a certain date, not the item itself. With options this is not the case , you rent this right. Exchanges allow you to do this for very little money down, allowing the … [Read more...]
Archives for 23/11/2009
How Long Does it Take to Sell Stock?
Settlement is the process of selling a stock and receiving the payment. A period of time is allowed for the seller to deliver the stock and the buyer to provide the cash purchase price. Function The three-day settlement period starts the day after the trade date. If you sell stock on Friday, Monday is day one, and settlement will be day three, or Wednesday. At settlement, … [Read more...]
Why Are Stock Options Important?
Stock options offer investors limited downside in pursuing speculative trading strategies. Stock options also offer the ability to hedge existing positions and to minimize risk. Stock options are important in many advanced trading activities. Investors can make money as both a call writer or a call seller depending on market conditions. Stock options enjoy great leverage with a … [Read more...]
What Is a High-Yield Money Market?
A high-yield money market fund is a pool of corporate bonds and other debt instruments paying a higher rate of interest than conventional savings accounts . The funds are offered by banks and mutual fund companies. They pay regular interest and also provide liquidity to investors, who can withdraw their money freely at any time High-Yield Holdings # High-yield funds … [Read more...]
What Is a Retirement Fund?
Retirement is a time of relaxation and enjoyment can be an exciting new adventure--or a time of great anxiety. How you prepare for life after work will have a lot to do with how you spend your golden years, so it is important to plan your retirement carefully. Below are few options that one can opt for , for living their life after retirement just like a king size : Defined … [Read more...]