Net long

Net long refers to a portfolio that, on balance – adding up the long positions and deducting the short positions – still has a positive exposure to the group of assets that the portfolio is invested in.

Net short

Net short refers to a portfolio that, on balance – adding up the long positions and deducting the short positions has an overall negative exposure.

Long investing

Long investing refers to a positive holding of something. It is the opposite of short investing. A portfolio that does not take short positions is referred to as a “traditional long only” strategy. In this model, if you do not like a stock you either don’t own it, or, if that is too risky, you underweight […]

Equity hedge

Equity hedge funds can be long/short funds that have a portfolio where the long positions are more or less offset by short positions, or equity long bias, funds that are almost always net long. These funds may seek to sell an investment they think is going to fall in value and buy a corresponding investment that […]

Transformer model – artificial intelligence – AI

Transformer models or Transformers (launched by Google in 2017) are a type of neural network primarily used for natural language processing tasks. The model can weigh the importance of different parts of the input (by applying a set of mathematical techniques called self-attention) and allows for massive parallel processing. Unlike other models, transformers can handle […]

Familial chylomicronaemia syndrome

Familial Chylomicronaemia Syndrome (FCS) is the name for a group of rare genetic disorders that cause very high levels of triglycerides in the blood. Triglycerides are a kind of fat, and high levels of triglycerides can lead to serious health problems in the long term, including pancreatitis and diabetes. With a very low fat diet, […]

Short investing

To go “Short” in the context of an investment refers to a negative holding of something (selling something you do not own). It is the opposite of long investing. “Net short” is where an investor has more short positions than long positions in a given asset, industry or market in his / her portfolio. EXAMPLE: When investment manager A does not own a […]

Debt at fair value

Some companies borrow money with long maturities . The people who have lent the company this money know they can rely on a defined income until the loan matures. They could sell the debt on to someone else but, if the market rate of interest has changed since they lent the money, the debt is […]

Glossary

Net long