Concentration risk
Risk & psychologyExposure arising because several positions depend on the same underlying driver.
In plain terms
Six bank stocks is one bet taken six times, at six times the size.
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 1 term
Exposure arising because several positions depend on the same underlying driver.
Six bank stocks is one bet taken six times, at six times the size.