Joined: Feb 2013
Given 1 thank(s) in 1 post(s)
RE: Equity trading
Some of the more typical risks:
Credit Risk - In the event it goes bust, are the funds protected under a scheme or bail out?
Market Risk - These are associated with all market variables that may affect the value of the contract, for e.g. A change in price of the underlying instrument.
Operational Risk -
(a) Settlement Risk arises as a result of the timing differences between when an institution either pays out funds or deliverables assets before receiving assets or payments from another party
(b) Legal Risk arises when a contract is not legally enforceable, reason being the different laws that may be applicable in different jurisdictions - relevant in case of cross border trades.
But a good strong bank will have all those potential risk covered, for instance in Singapore, DBS bank has good quality equity trading research so the risks associated with the deficiencies in info is minimized.
reproduction & lifting of materials in parts or whole from
our websites without licence, permit or authority from us amounts to an infringement of copyright
We reserve the
right to seek full recourse, compensation & payments in respect of such an
infringement & also for the time & efforts spent to track & pursue such an
Disclaimer : Users are liable for their own postings. We shall not be responsible or liable for any mistakes or
remarks or for any discussion forum threads &
forum postings. We do not condone & totally
reject slanderous, defamatory, obscene, violent, abusive, threatening and
harassing comments on this website. We appreciate all users to
practice basic courtesy & respect other view points. Do not impersonate or
create false identities of public figures or other
forum users or put up impersonation false
postings. Be advised that as this is an open free forum website, there may be some comments or
opinions to influence others to take some actions for which we disclaim all
liabilities & responsibilities and users are advised to use independent
judgement or professional opinions before taking any actions based on any
forum postings here If you like to contribute towards running of this free site,
click here to make a small donation. Many Thanks !
You have to register before you can post on our site.