A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Mismatch

Revision as of 19:14, 30 August 2009 by Ian.Jones (Talk | contribs)

(diff) ←Older revision | Current revision (diff) | Newer revision→ (diff)

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.