imported>Doug Williamson |
imported>Doug Williamson |
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| 1. ''Currency - emerging markets - US dollar.''
| | A 'naked' position in a derivatives contract is one where the holder has no other related offsetting contract, asset or liability. |
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| A process in which a country starts to accept a foreign currency for certain purposes, in parallel with its domestic currency.
| | The only possible profit or gain is from a favourable outturn market price. |
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| Most commonly an emerging market country might start to accept a more established foreign currency, for example the US dollar.
| | Naked positions are, by definition, speculative (rather than hedging). |
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| This process is also sometimes known as ''currency substitution''.
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| | | == See also == |
| A small number of countries have discontinued their domestic currencies and adopted the foreign currency in full.
| | * [[Arbitrage]] |
| | | * [[Derivative]] |
| For example, Panama's currency is the US dollar.
| | * [[Futures]] |
| | | * [[Hedging]] |
| | | * [[Option]] |
| 2. ''Financial modelling - spreadsheets - construction - cell references.''
| | * [[Outturn]] |
| | | * [[Speculation]] |
| In financial modelling with spreadsheets, dollarized - or absolute - refers to cell references when they're copied around the spreadsheet.
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| Fully absolute cell references - for example '''$A$1''' in Excel - will stay as $A$1 wherever we copy them within the spreadsheet.
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| This kind of cell reference is sometimes also known as an anchored - or fixed - reference.
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| Contrasted with a standard relative cell reference - for example '''A1.'''
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| Relative cell references are the default.
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| ==See also== | |
| *[[Currency]] | |
| *[[Currency substitution]] | |
| *[[Default]] | |
| *[[Dollar ]] | |
| *[[Emerging market]] | |
| * [[Excel]] | |
| * [[Financial modelling]] | |
| * [[Relative]]
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| *[[Sand Dollar]]
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| * [[Spreadsheet]]
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| *[[United States]]
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| [[Category:Accounting,_tax_and_regulation]]
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| [[Category:The_business_context]]
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| [[Category:Identify_and_assess_risks]]
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| [[Category:Manage_risks]]
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| [[Category:Risk_frameworks]]
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| [[Category:Risk_reporting]]
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| [[Category:Cash_management]]
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| [[Category:Financial_products_and_markets]]
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| [[Category:Liquidity_management]]
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| [[Category:Technology]]
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| [[Category:Trade_finance]]
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A 'naked' position in a derivatives contract is one where the holder has no other related offsetting contract, asset or liability.
The only possible profit or gain is from a favourable outturn market price.
Naked positions are, by definition, speculative (rather than hedging).
See also
