THE THEORY OF RATIONAL EXPECTATIONS: FINANCIAL JARGON IN CAPITAL MARKETS.
Keywords:
Capital Markets Equity, Bonds, Securities, Yield,Liquidity,Volatility,Bull Market, Bear Market, Derivatives,Risk Management,Arbitrage,Diversification, Stocks,Debt Instruments,Asset Classes,Portfolio, rading,Hedging,Capital Appreciation,Market Trends, Interest Rates,Credit Rating,Private Equity.Abstract
Financial jargon in the capital markets refers to the specialized
vocabulary used by professionals (such as investors, traders, analysts, and financial
managers) in the buying, selling, and trading of securities. The capital markets,
consisting of both equity markets (stock markets) and debt markets (bond markets),
involve complex transactions and instruments that require precise terminology for
effective communication. Understanding this jargon is essential for anyone working in
or studying capital markets, as it helps in analyzing market conditions, making
informed investment decisions, and managing risks.Key concepts include equity,
representing ownership in companies through stocks, and bonds, which are debt
instruments used by issuers to raise capital
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