Examlex
Suboptimisation occurs when managers do not act in the best interests of the company
Risk-Free Rate
The expected yield from an investment that carries no risk, commonly exemplified by state bonds.
Dividend
A portion of a company's earnings distributed to its shareholders, typically in the form of cash or additional shares.
Cash Settlement
The provision of some futures contracts that requires not delivery of the underlying assets but settlement according to the cash value of the asset.
Stock Index Futures
Financial contracts that obligate the buyer to purchase or the seller to sell a stock index at a predetermined price on a specified future date.
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