Grey market and Replacement cost risk: Difference between pages

Revision as of 14:09, 13 November 2016

The risk of loss arising from the need to replace a contract before having paid away the principal amount.

Often quantified approximately as the expected profit foregone.

Also known as replacement risk.

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-Trade in a commodity which is bought and sold outside of the original manufacturer's officially authorized and intended trading channels.
+The risk of loss arising from the need to replace a contract before having paid away the principal amount.
-Not to be confused with the 'grey economy'.
+Often quantified approximately as the expected profit foregone.
+Also known as replacement risk.
+== See also ==
+* [[Credit risk]]
+* [[Principal risk]]
+* [[Replacement cost]]