Opportunity Costs: The difference in the performance of an actual investment and a desired investment adjusted for fixed costs and execution costs. When not all desired trades can be implemented. Most valuable alternative that is given up.

 

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Opportunity Costs: The difference in the performance of an actual investment and a desired investment adjusted for fixed costs and execution costs. When not all desired trades can be implemented. Most valuable . . . View Full Definition

Opportunity Cost: The potential benefit that is foregone from not following the best (financially optimal) alternative course of action.

Portfolio Opportunity Set: The expected return/standard deviation pairs of all portfolios that can be constructed from a given set of assets.

Price Impact Costs: Related: Market impact costs

Personal Responsibility and Work Opportunity Reconciliation Act Of 1996: P.L. 104-193 (September 22, 1996) was labeled as a major 'welfare reform' initiative. In addition to provisions making major changes to federal cash welfare, medicaid, work, and child care d . . . View Full Definition

Round-Trip Transactions Costs: Costs of completing a transaction, including commissions, market impact costs, and taxes.

Search Costs: Costs associated with locating a counterparty to a trade, including explicit costs (such as advertising) and implicit costs (such as the value of time). Related: Information costs.

Non-Recurring Adoption Costs: One time adoption expenses, which may be at least partially reimbursed by states up to a maximum amount to families adopting children with special needs. Allowable expenses for this reimburs . . . View Full Definition

Opportunity Cost Of Capital: Expected return that is forgone by investing in a project rather than in comparable financial securities.

Market Timing Costs: Costs that arise from price movement of a stock during a transaction period but attributable to other activity in the stock.