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Coefficient

Coefficients are essential in finance as they represent the values used to calculate other quantities. For instance, in the equation 3x, the coefficient 3 is multiplied by the variable x. Similarly, in the equation ax, the coefficient a represents the value that is multiplied by x. Coefficients play a crucial role in financial calculations and understanding their significance can greatly impact decision-making.

Uncovered Option

Options trading includes buying or selling an option without having a position in the underlying futures contract. This is also referred to as a naked option. It is a common...

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DDP

Delivered Duty Paid, commonly known as DDP, is an international trade term that signifies the seller's responsibility for delivering the goods to the buyer at the agreed upon...

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Export broker

In the realm of finance, there exists a role that many may not be familiar with, yet it plays a crucial part in the buying and selling of goods and services. This role is th...

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Underlying Instrument

A derivative is a financial instrument that allows the holder to buy or sell an underlying asset at a specific price in the future. When the holder exercises the option to p...

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