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19/02/15
14:29
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Originally posted by nihilism
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Free carried means that you're only sacrificing potential profit.
It means far more to someone who invests than to someone who trades.
Traders generally (by my definition) use profit as income, as trees would say. Investors are trying to leverage risk/reward to increase overall capital base.
I'm on the fence, I don't touch my australian money, everything I earn in canada is used for my daily life. My australian money sits in an account or is used in an investment... so free-carrying means something to me, it means a risk-less position. I am only giving up potential profits, not making any capital loss if it goes to the pooper.
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Sorry Nihl but that does't make sense. You can compartmentalise these things ("free carried") in your mind but it is just your arbitrary definition, not a word that fund managers use.