Order Types and Off-Screen Liquidity: What You See Isn't Always What You Get
As an experienced trader, you often start a trade by checking the three measures of liquidity—volume, open interest, and the bid/ask spread. If there are enough buyers and sellers, you assume the market is liquid enough to trade. If not, you might have trouble getting in or out of positions easily and efficiently, so you stay away.
How to Right-size Hedges Via Beta Weighting with XSP Options
To hedge a portfolio of individual stocks, notional value alone may not tell the whole story. The Cboe Mini-SPX Index options contract, known by its symbol XSP, allows right-sizing given its lower notional values.
How Bonds Work
This article explains what bonds are, how they work, key terms, associated risks, and the benefits of investing in them, with a focus on providing essential knowledge for potential bond investors.
How Bond Prices, Rates, and Yields are Related
When investing in fixed income, it’s important to be aware of the relationship that exists between bond prices and current interest rates. Typically, bond prices and interest rates have an inverse relationship. This means that when rates go up, bond prices go down, and when rates go down, bond prices go up. This relationship illustrates the premise of interest rate risk, which should be a consideration when investing in fixed income products.
What Are Money Market Funds?
Money Market Funds (MMFs) are savings pools that offer a safe place to park your cash while earning some interest.
Bitcoin ETFs
Bitcoin ETFs are a new, secure, and low-cost option for retail investors to gain exposure to Bitcoin.