Exchange traded and Principal: Difference between pages

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imported>Doug Williamson
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imported>Doug Williamson
(Add disambiguation from 'principle' and link with Arm's length principle and Separate personality principle pages.)
 
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(ExT).
1.  


Exchange trading is the alternative to Over the counter dealing.  
An individual or other legal person represented by an agent.


Exchange traded financial instruments are standardised, and less flexible, but the interposition of the exchange substantially reduces credit risk.


2.


Futures are an example of exchange traded contract.
A legal person acting on their own behalf.
 
 
3.
 
The amount of an investment or a loan, excluding any interest.
 
When the whole of a loan is drawn down at the start, the principal is simply the amount originally borrowed.
 
 
4.
 
The reference amount of a traded financial instrument, used to determine its future cashflows.
 
 
5.
 
Most important, or largest.
 
Not to be confused with ''principle'', which is different.




== See also ==
== See also ==
* [[Credit risk]]
* [[Acceleration]]
* [[Exchange Traded Commodity]]
* [[Agency]]
* [[Forward contract]]
* [[Agent]]
* [[Futures contract]]
* [[Arm’s length principle]]
* [[Over the counter]]
* [[Coupon rate]]
 
* [[Dual currency bond]]
[[Category:Accounting,_tax_and_regulation]]
* [[Foreign currency bond]]
[[Category:The_business_context]]
* [[Forward forward contract]]
[[Category:Identify_and_assess_risks]]
* [[Non-performing loan]]
[[Category:Manage_risks]]
* [[Paying agent]]
[[Category:Financial_products_and_markets]]
* [[Point]]
* [[Self-financing loan]]
* [[Separate personality principle]]
* [[Annuity factor]]
* [[Instalment]]

Revision as of 07:20, 14 December 2014

1.

An individual or other legal person represented by an agent.


2.

A legal person acting on their own behalf.


3.

The amount of an investment or a loan, excluding any interest.

When the whole of a loan is drawn down at the start, the principal is simply the amount originally borrowed.


4.

The reference amount of a traded financial instrument, used to determine its future cashflows.


5.

Most important, or largest.

Not to be confused with principle, which is different.


See also