Speculation is the act of buying and selling to take advantage of market spreads to make a profit based on a judgement of the market.…
Debt is a monetary debt that a bank is trusted to assume and will be paid by assets or capital. Deposits and derivative deposits are the main liabilities of banks, accounting for more than 80% of the source of funds. In addition, inter-bank deposits, interbank deposits, borrowed or borrowed money or issued bonds also constitute liabilities of banks.…
Unlike assets such as stocks, futures and foreign exchange, there are clear upper and lower bounds on the value of options.…