Investors use various financial instruments to get a rate of return to achieve financial goals and objectives.
Investment securities include stocks, bonds, mutual funds, derivatives, commodities and real estate.
Investors can be distinguished from traders by the fact that investors hold long-term strategic positions in companies or projects.
Investors build portfolios with either an active orientation that tries to outperform the benchmark index or a passive strategy that tries to track the index.
Investors can also be focused on either growth strategies or value strategies.
Preliminary analysis in financial markets refers to the forecasting of various indicators, economic and financial, by evaluating past and present data and parameters.
A good delivery is understood as an unhindered transfer of ownership of a security from the seller to the buyer in compliance with all necessary requirements.
Arbitrageurs are investors who exploit market inefficiencies of any kind. They are necessary to ensure that inefficiencies between markets are smoothed out or kept to a minimum.
A beneficial owner is a person who enjoys the benefits of ownership, despite the fact that the ownership of the property is registered in a different name.
The bid-ask spread is the difference between the highest price a buyer is willing to pay for an asset and the lowest price a seller is willing to accept.