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Counterparty Risk
The risk that the other party in an agreement will default or fail to live up to their contractual obligations.
Futures Markets
Financial markets that facilitate the buying and selling of future contracts, which are agreements to buy or sell an asset at a future date at a price specified today.
Financial Contracts
Agreements between parties to conduct a financial transaction according to specified terms.
Synthetic Stock Positions
Financial derivative strategies that mimic the outcomes of holding an actual stock, using instruments such as options.
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