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The mechanism responsible for the size principle involves
Price Risk
The risk of a change in the market price of securities affecting an investor's portfolio value.
Bushels
A unit of volume that is used in the United States for measuring agricultural commodities, such as grains.
Payoff Profile
The graphical representation of the potential financial outcomes of an investment or trade at various prices of the underlying asset.
Financial Asset
Any asset that is cash, an equity instrument of another entity, a contractual right to receive cash or another financial asset, or a contractual right to exchange financial instruments under favorable conditions.
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