Draw Down

Trading Basics

Draw Down

The amount the equity balance in a trading account falls by, either in a trade or time period.

Other Trading Basics

AIM

Alternative Investment Market. A small cap stock market in the UK.

Lighter listing rules reduce the costs for the companies listing and seeking external equity finance.

A good starting point for growth companies not quite ready for the main LSE.

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Basis Point

A basis point is 0.01% and is typically used when quoting interest rate changes.

A move of 0.25% is described as 25 basis points.

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