Blog

Skew in options pricing refers to the variation in implied volatility (IV) at different strike prices and expiration dates. Typically, out-of-the-money options have higher implied volatility, while in-the-money options have lower implied volatility. This difference in volatility level...

Skew-adjusted implied volatility plays a crucial role in options pricing because it reflects the market's expectations for price movement. Options prices are influenced not just by the underlying asset’s volatility, but also by the skew (or difference in implied volatility) for differ...

Sleep deprivation negatively impacts your ability to make good trading decisions. Lack of sleep reduces focus, increases stress, and makes it harder to think clearly. In trading, this can lead to impulsive decisions, such as entering trades without proper analysis or holding onto losi...

Slippage in intraday trading refers to the difference between the expected price of a trade and the price at which the trade is actually executed. This happens when there’s a delay in executing the order, often due to high volatility or low liquidity in the market. While slippage is u...

Small-cap stocks play a crucial role in a diversified portfolio because they provide opportunities for significant growth. These companies are typically in the early stages of development and can grow rapidly, delivering higher returns compared to larger companies. Including small-cap...

Smart contracts play a very important role in crypto trading. They are self-executing contracts written in computer code that automatically carry out actions like buying, selling, or exchanging cryptocurrencies once the set conditions are met. This removes the need for middlemen and makes ...

Smart Order Routing (SOR) plays a major role in electronic trading by helping traders automatically find the best price and trading venue for their orders. It improves trade execution by routing buy and sell orders to different stock exchanges or trading platforms to get the best available...

Smart Order Routing (SOR) plays an important role in institutional trade execution by automatically finding the best price and venue to place large orders. It helps institutions buy or sell big amounts of stocks efficiently by splitting orders across different stock exchanges or trading pl...

Social media sentiment plays a big role in stock market trading by showing what people think and feel about certain stocks. Traders use this information from platforms like Twitter, Facebook, Reddit, and YouTube to understand market mood and predict price movements. Positive or negative di...

Social sentiment analysis plays an important role in trading by helping traders understand how people feel about a stock, currency, or market trend. It uses data from platforms like Twitter, Reddit, and news sites to measure public opinion. This helps traders make better decisions by spott...

Socially Responsible Investing (SRI) in mutual funds means choosing investments based on both financial performance and ethical values. These funds invest in companies that follow environmental, social, and governance (ESG) standards. SRI helps investors grow their money while also support...

Soft-dollar arrangements in mutual funds refer to deals where fund managers use clients' brokerage commissions to pay for research and other services. Instead of paying directly with cash, these services are bought using the money generated from trading activities. These arrangements can h...

Sovereign bonds play a very important role in debt mutual funds by providing safety and stability. These are bonds issued by the government, which are considered low-risk. Debt mutual funds include sovereign bonds to reduce risk and give steady returns. These bonds help balance the portfol...

Sovereign Credit Default Swaps (CDS) play a key role in financial stability by helping investors protect themselves from the risk of a country defaulting on its debt. CDS act like insurance for government bonds. If a country fails to repay its loans, the CDS pays the bondholder. This helps...

Sovereign risk plays a very important role in international mutual fund investing. It refers to the risk that a country may not be able to meet its financial obligations or may make sudden policy changes that affect foreign investments. When mutual funds invest in international markets, th...

Sovereign Wealth Funds (SWFs) play a major role in global financial markets by investing large amounts of government money into assets like stocks, bonds, real estate, and infrastructure. These funds help provide liquidity, promote stability, and support long-term growth in financial marke...

Sovereign Wealth Funds (SWFs) play a powerful role in global markets by investing huge amounts of money in various countries. These government-owned funds invest in stocks, bonds, real estate, infrastructure, and private companies across the world. Their investments bring stability, long-t...

Sovereign Wealth Funds (SWFs) are large investment funds owned by governments. They invest in different assets, including stocks. In stock markets, they play a big role by investing huge amounts of money in companies. This provides stability, boosts investor confidence, and supports the lo...

Special situations funds play a unique role in a mutual fund portfolio. They invest in companies going through major changes like mergers, acquisitions, restructuring, or any event that could affect the stock price significantly. These funds aim to generate high returns by spotting opportu...