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Trading Terms

Dumping

Welcome to our lesson on dumping in the world of finance. This term refers to the practice of selling a product in a foreign market at an unfairly low price. This can give a competitive advantage to the seller by undercutting other suppliers. However, it is considered an unfair trade practice by international agreements such as the GATT and World Trade Organisation. To regulate this, national governments may impose anti-dumping duties, which aim to equalize the price difference between the importing and exporting countries.

Deterministic

As we delve into the world of finance, it is crucial to understand the concept of exogenous variables. These are external factors, such as changes in the money supply, that ...

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All risks (AR)

All risks coverage is a form of insurance that goes beyond the bare minimum and comes at a higher cost. However, it is important to note that despite its name, all risks co...

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Drawee

The drawee is a crucial figure in the world of finance, whether for an individual or a business entity. This is the person or firm on whom a draft is drawn, with the respons...

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Stop Loss Order

A crucial aspect of managing your investments is the implementation of stop loss orders. These orders allow you to buy or sell a stock at a predetermined price, minimizing p...

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