FMIS 3644 week 7 class 1 notes

Call option if you expect the price to go up add

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Unformatted text preview: g they are waiting for the market Mutual funds with little cash - they are already invested into the market, and you cant expect them to come into drive the market price higher. This is how you check if the market is peaking Margin Debt - maximum margin is 50% Simple calculations. Look at cash in account, and the amount of the margin If the amount of margin is way below the cash account, there is a lot of purchasing power that is not being exploited at this time If the margin is close the cash account then everyone is utilizing the margin - no more margin to be us...
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This document was uploaded on 03/12/2014 for the course FMIS 3644 at University of Minnesota Duluth.

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