The amount by which analysts or investors expect the price of a security may increase.

Upside Potential (Leverage)

Usability

Usual, Customary And Reasonable (UCR).

The minimum price at which a seller of property will accept a bid at an auction.

Upside potential

The amount by which analysts or investors expect the price of a security may increase.

Upstairs market.

Somewhat perversely, once a firm reaches its peak of performance and the earnings number against which valuation multiples are applied has maxed out, those very multiples begin to fall as future upside potential begins to diminish. Growth is important. But valuing it can be quite tricky.

The GLW trade is really great because you have over 100 points of upside potential before having to give up profits and you’re protected all the way down. This type of strategy can work for almost any stock. But you must look at long-term options and stocks that are a little more volatile.

Unlike regular shareholders, employees who hold stock options share in the upside potential of stock price gains, but not in the downside risk of stock price losses. They simply choose not to exercise their options if the market price falls below the strike price.

The challenge associated with downside protection is that downside protection needs to be balanced with upside potential for high returns. For this reason (among other more complicated ones), some investors do not believe in downside protection.

These five companies were generally a good bet at the start of 2004, they had upside potential and as a group, they probably did not have that much down-side risk. Additionally, four of the six Buys rose in price and the biggest loss was 11%.

Meet The New NCT: CDO Recoveries, Golf And A 100%+ Upside Potential Over The Next 2 Years With A 10.6% Yield While You Wait

SeekingAlpha Jan 14 Comment

Juncker’s CDO.

1- Preferred shares are a hybrid between debt and common equity in that they provide a fixed dividend while providing upside potential .

2- Common stock is synonymous with a share in a firm. Each share represents ownership of the firms equity.

Sales of these index ed annuities are through the roof because people just love the idea of downside protection and upside potential. but it’s all smoke and mirrors.

4. Other Problems

Both options are for the same expiration. A call spread is an inexpensive alternative to simply buying a call. It has limited upside potential. but income from selling the high-strike call offsets the cost of purchasing the low-strike call.

Callable CDs: Check The Fine Print

How To Create A Laddered CD Portfolio

Index -Linked Certificates Of Deposit: Upside Potential. Low Risk

They also typically have caps on the amount of upside potential that the security can achieve. For moderate stock increases, they will outperform the common stock due to the yield advantage. but the cap on the upside means that they lag stock performance for high stock returns.

In other words, the upside potential is considered greater than the downside risk. While convertible bonds typically provide lower yields than conventional bonds from the same issuer, they may provide higher yields than the underlying stock.

Futures Fundamentals

We go over the ground rules and available resources needed for this undertaking. Wading Into The Currency Market

These diverse asset classes provide both downside protection and upside potential. Commodities: The Portfolio Hedge.

mean investors see significant risk that the market will move sharply, whether downward or upward. The highest VIX readings occur when investors anticipate that huge moves in either direction are likely. Only when investors perceive neither significant downside risk nor significant upside potential.