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Mismatch
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| - | 1. A difference between the length of time for which [[Money|money]] is borrowed and the length of time for which it is invested, or the difference between the maturities of borrowing and investments. One example is when a bank borrows money for a short time but lends it for a longer period, so there is a [[Mismatch|mismatch]] between its source and use of funds. 2. A mismatched [[Book|book]], or a mismatch in an overall trading [[Position|position]], occurs when short and long positions do not complement each other. | + | 1. A difference between the length of time for which [[Money|money]] is borrowed and for which it is invested, or the difference between the maturities of borrowings and investments. For example, a bank might borrow money for a short time but lend it for a longer period, so there is a mismatch between its source and use of funds. |
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| - | See also: [[Mismatch]], [[Long]], [[Short]]
| + | 2. A mismatched [[Book|book]] or a mismatch in an overall trading [[Position|position]] occurs when [[Short|short]] and [[Long|long]] positions do not complement each other. |
Current revision
1. A difference between the length of time for which money is borrowed and for which it is invested, or the difference between the maturities of borrowings and investments. For example, a bank might borrow money for a short time but lend it for a longer period, so there is a mismatch between its source and use of funds.
2. A mismatched book or a mismatch in an overall trading position occurs when short and long positions do not complement each other.