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fair value

Definitions (2)

1. A valuation, in accordance with standard methodology, that is reasonable to all parties involved in a transaction in light of all pre-existing conditions and circumstances.

2. In the case of futures, the sum of the value of the underlying securities and the cost of carry (interest earned due to not holding the underlying minus dividends lost due to not holding the underlying).

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The 3 Most Timeless Investment Principles (1 of 3)Always Invest with a Margin of Safety: Margin of safety is the principle of buying a security at a significant discount to its intrinsic value, which is thought to not only provide high-return opportu ... Read more