Gearing

Trading Basics

Gearing

Another name for leverage. Debt to equity proportions on a trade or portfolio. 

Other Trading Basics

Call

An option that gives the purchaser the right, but not the obligation, to buy a security at a certain price.

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ASX 200

A term used for the index of the top 200 shares on the Australian Securities Exchange, also AUS 200.

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Cash or Spot Market

Also known as a spot market, cash markets are different to futures contracts, as commodities are traded immediately for cash at the current market price.

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