Speculating on financial markets Cover Image

СПЕКУЛИРАНЕТО НА ФИНАНСОВИТЕ ПАЗАРИ
Speculating on financial markets

Author(s): Stefan Simeonov
Subject(s): Economy
Published by: Стопанска академия »Д. А. Ценов«
Keywords: spot; price; investment; conjuncture; instrument

Summary/Abstract: Speculating on financial markets is as legal as any other market approach (like the wish for capital profit, arbitrage gain or hedging purposes). There are two decisive terms for defining an investment activity as speculation: Primary condition consists of the sense of speculative activity - the specific investment motion; The Second term reflects the formal side - reflecting in contract specifications. The final one includes three main features: short term hold position; standard contracts and uncovered positions. The speculations on financial market provide a permanent vaccine from jerky diversion and crash, to the whole market and the system in general. The term for high liquidity leads up to exchanges - as the most appropriate environment for speculations. Respectively the speculators usually are exchange members. Most of investment instruments, usually called speculative, especially are not essentially such. Despite all that, there is a large number of specific financial instruments expressly created for speculative purposes. Among them outlines the gropes of futures and exotic options

  • Issue Year: 2002
  • Issue No: 02
  • Page Range: 111-119
  • Page Count: 9
  • Language: Bulgarian