Rational behaviour in economics assumes individuals make decisions based on their personal benefit, optimally using available information and resources.
Learn moreA replicating strategy involves constructing a portfolio or choosing financial instruments that emulate the performance of a particular index, asset, or benchmark.
Learn moreRepresentative money means currency that includes any type of financial instrument that has no intrinsic value but can be exchanged for a fixed quantity of a commodity, such as gold or silver.
Learn moreRetail foreign exchange trading is the speculative trading of currencies by individuals through electronic trading platforms or brokers, typically aimed at making a profit from currency fluctuations.
Learn moreIn technical analysis, retracement refers to a temporary reversal in the direction of a stock's price that goes against the prevailing trend, typically seen as a short-term dip in a longer-term trend.
Learn moreReturn on equity is a measure of financial performance calculated by dividing net income by shareholders' equity. It indicates how effectively management is using a company’s assets to create profits.
Learn moreIn finance, returns refer to the profit or loss derived from investing or saving.
Learn moreRevenue is the total amount of money earned by a company from its normal business operations, typically from the sale of goods and services to customers.
Learn moreThe reversal effect is a phenomenon in financial markets where securities that have performed well over a certain period tend to underperform in subsequent periods, and vice versa.
Learn moreRisk assets are assets that have a significant degree of price volatility, such as equities, commodities, high-yield bonds, and other investments that carry a higher risk of loss.
Learn moreRisk diversification is an investment strategy that involves spreading investments across various financial instruments, industries, and other categories to reduce exposure to any single asset or risk.
Learn moreRisk metrics are statistical measures used to assess the level of risk associated with an investment portfolio or individual securities, including metrics such as volatility, beta, value at risk (VaR), and conditional value at risk (CVaR).
Learn moreA risk pool groups individuals or entities whose collective risks are combined to manage financial exposure more effectively. Insurance companies often use risk pooling to distribute the costs associated with the risks over all members.
Learn moreRisk on' and 'risk off' describe market sentiments. 'Risk on' refers to periods when investors are confident and willing to invest in higher-risk assets, whereas 'risk off' describes times when investors are conservative, favouring safer investments.
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