What Is Difference in Conditions (DIC) Insurance? Difference in conditions (DIC) insurance is a type of policy that provides expanded coverage for some perils not covered by standard insurance policies. DIC insurance is designed to fill in gaps in insurance coverage and is most frequently used by larger organizations, looking for protection from catastrophic perils. Key Takeaways…
What Is a Forward Market? A forward market is an over-the-counter marketplace that sets the price of a financial instrument or asset for future delivery. Forward markets are used for trading a range of instruments, but the term is primarily used with reference to the foreign exchange market. It can also apply to markets for…
What Is a Forward Premium? A forward premium is a situation in which the forward or expected future price for a currency is greater than the spot price. It is an indication by the market that the current domestic exchange rate is going to increase against the other currency. This circumstance can be confusing because an…
Experience Brian Barnier, Director/Head of Analytics, ValueBridge Advisors (U.S.)/Burnt Oak Capital (UK), focuses on growing companies and investment funds. His analytical edge in risk management comes from systems analysis and advanced data visualization. His impact flows from his expertise in strategy, data analysis and technology. He is co-founder and editor of economic and market site…
The “strap” denotes a market-neutral options trading strategy with profit potential on either side of price movement. Strap originated as a slightly modified version of a straddle. A straddle provides equal profit potential on either side of underlying price movement, making it an efficient market neutral strategy, while the strap is a “bullish” market neutral strategy that generates double the profit…
RH (RH) shares rose more than 20% during Monday’s session after the company announced a temporary furlough of 2,300 employees and a salary reduction for executives. In addition, RH expects to reduce capital expenditures by $130 million and expenses by $150 million in fiscal year 2020. These efforts could help improve short-term liquidity and eliminate…
In February 2020, Investopedia began surveying readers of our daily newsletters on where they’re moving their money. Little did we know what lay ahead for markets, the economy and the surge in COVID-19 in the following weeks. We continued surveying our readers though March to find out their risk appetite, what they’re buying, and what…
The coronavirus pandemic will affect real estate investment trust (REIT) stocks and the real estate market for months or years to come, with commercial and multi-dwelling landlords defaulting on bank loans when their tenants no longer have income to pay their rents. Many homeowners will also feel the pain, missing mortgage payments and potentially losing…
What is a stock corporation (AG)? AG is an abbreviation of Aktiengesellschaft, which is a German term for a public limited company. This type of company shares are offered to the general public and traded on a public stock exchange. Shareholders’ liability is limited to their investment. The shareholders are not responsible for the company’s debts, and their…