UNDERLYING Definition

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UNDERLYING is the security, cash commodity, forward, futures contract, swap, or other contract or instrument that is the subject of a derivative contract or instrument.

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INDIVIDUAL INVESTOR is a person that buys or sells securities for his/her own account. The individual investor is also called a retail investor or retail shareholder.

INDIFFERENCE POINT is that point on the indifference curve where the compared values intersect. See INDIFFERENCE CURVE.

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