Investment Procedures

Investment Procedures
These are nothing but techniques, methods or formulae for dealing in the various investment products.

• If one were to buy an investment product and hold it, then the procedure adopted is called going long.
• If one were to sell an investment product and then buy it the procedure adopted is called going short.
• If one buys and then sells, the procedure is called trading.
  There have been various innovations in investment procedures by the introduction of the Futures and Options markets. We have thus different procedures to speculate and hedge in the form of call options, put options, and futures. All these different types of procedures make the financial markets interesting.