A section of the Internal Revenue Code that clarifies the transactions that are subject to capital gains taxation. Basically, any transaction that essentially offsets a previously held position is subject to the tax, even if it is not a straight sale of a security. An example of a transaction that falls under the Constructive Sale Rule is a short sale against the box.. … [Read more...]
Articles Of Incorporation Explained
The Articles of Incorporation (sometimes also referred to as the Certificate of Incorporation or the Corporate Charter) are the primary rules governing the management of a corporation in the United States and Canada, and are filed with a state or other regulatory agency.A set of documents filed with a government body for the purpose of legally documenting the creation of a … [Read more...]
At-The-Opening-Order
Instructions to an agent or broker to buy or sell a security at the price obtainable at the time the trading opens, otherwise to cancel the order.It is an at the opening order is a way for an investor to secure a position at the opening of a trading session.A trader can place a market at the opening order or a limit at the opening order. A market at the opening order is an … [Read more...]
Mistake generally made by investors
Biggest Mistake is simply following Trend . We have seen a classic example of this irrational investor behaviour in the last few weeks. Till the first week of May, we witnessed an unprecedented one-way rise in the stock market for almost six months. Valuations were stretched. Experts were advising … [Read more...]
The Basics of Margin Trading
The main point of work on Forex market is settlement of sale-purchase operations of foreign exchange contracts with the aim to get a profit due to change of currency exchange rates in time. Foreign exchange contract trading on Forex market is based on principles of margin trading and are carried put through Market-Makers, which sell and purchase (quote) foreign currencies for … [Read more...]