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  2. Forex vs. Stocks: Key Differences - AOL

    www.aol.com/news/forex-vs-stocks-key-differences...

    The foreign currency market (“forex”) has a lot in common with the stock market. Both are speculative ways of investing, meaning that they offer higher risks and higher rewards than many other ...

  3. Foreign exchange market - Wikipedia

    en.wikipedia.org/wiki/Foreign_exchange_market

    The foreign exchange market (forex, FX (pronounced "fix"), or currency market) is a global decentralized or over-the-counter (OTC) market for the trading of currencies. This market determines foreign exchange rates for every currency. It includes all aspects of buying, selling and exchanging currencies at current or determined prices.

  4. Contract for difference - Wikipedia

    en.wikipedia.org/wiki/Contract_for_difference

    GNI's retail service created the basis for retail stock traders to trade directly onto the Stock Exchange Electronic Trading Service (SETS) central limit order book at the LSE through a process known as direct market access (DMA). For example, if a retail trader sent an order to buy a stock CFD, GNI would sell the CFD to the trader and then buy ...

  5. Leverage (finance) - Wikipedia

    en.wikipedia.org/wiki/Leverage_(finance)

    In finance, leverage, also known as gearing, is any technique involving borrowing funds to buy an investment.. Financial leverage is named after a lever in physics, which amplifies a small input force into a greater output force, because successful leverage amplifies the smaller amounts of money needed for borrowing into large amounts of profit.

  6. Foreign exchange derivative - Wikipedia

    en.wikipedia.org/wiki/Foreign_exchange_derivative

    Foreign exchange option trading: The contract can agree the option holder to exchange it at a defined price as his right instead of an obligation. Forward exchange futures transaction trading: Future contract’s buyers or sellers submit margin at the beginning of trading, as a kind of buffering mechanism.

  7. Trade (finance) - Wikipedia

    en.wikipedia.org/wiki/Trade_(finance)

    In finance, a trade is an exchange of a security such as stocks, bonds, commodities, currencies, derivatives or any valuable financial instrument for "cash". Such a financial transaction is usually done by participants of an exchange such as a stock exchange, commodity exchange or futures exchange with a short-dated promise to pay in the currency of the country where the 'exchange' is located.

  8. Over-the-counter (finance) - Wikipedia

    en.wikipedia.org/wiki/Over-the-counter_(finance)

    Over-the-counter (OTC) or off-exchange trading or pink sheet trading is done directly between two parties, without the supervision of an exchange. [1] It is contrasted with exchange trading, which occurs via exchanges. A stock exchange has the benefit of facilitating liquidity, providing transparency, and maintaining the current market price ...

  9. Delta one - Wikipedia

    en.wikipedia.org/wiki/Delta_one

    A delta one product is a derivative with a linear, symmetric payoff profile. That is, a derivative that is not an option or a product with embedded options. Examples of delta one products are Exchange-traded funds, equity swaps, custom baskets, linear certificates, futures, forwards, exchange-traded notes, trackers, and Forward rate agreements.