When investors "short" a stock, they're betting its price will go down, much to the chagrin of "longs," who want it to go up. But When a short seller is wrong, they have to cover their position before they lose they're shirt. Sometimes this leads to a phenomenon known as a short squeeze, which can lead to strong returns for long investors.
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What the New Credit Card Rules Mean For You... And Your Wallet
Last Monday, many new regulations, all directed at protecting credit card users, went into action. With the introduction of the Credit Card Accountability, Responsibility, and Disclosure Act, Washington has listened to consumers and put some strict guidelines in place to help protect them. We'll go through all of the regulations enacted by the Credit CARD Act, and what exactly they mean for you, and your wallet.
The basic idea of forex trading is the same as any other investment -- you want to buy low and sell high. But that's where most of the similarities end. As you'll see, however, the basics of forex aren't hard to understand and knowing them could open up an entire new market to your portfolio.
A coupon bond, frequently referred to as a bearer bond, is a bond with a certificate that has small detachable coupons. The coupons entitle the holder to interest payments from the borrower. Coupon bonds are rare today because most bonds are not issued in certificate form; rather, they are registered electronically (although some bondholders still choose to hold paper certificates). Thus, these days the term coupon refers to the rate of interest on a bond rather than the physical nature of the certificate.
In the 1980s, some financial institutions began purchasing coupon bonds and selling the coupons as separate securities, called strips.
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