Just some dictionary-like notes about finance in scala (mostly about trading), the definitions / objects and the relationship

Followed the idea to make the notes in a programming language (here scala) while familiarizing myself with a subject (finance/trading). That for sure makes things/notes more structural and all this maybe a good start/material for further steps.

Almost all material I got from http://www.investopedia.com (/dictionary/) (there is no any 'private' data) other than my effort to tie it rogether.

-- Some vacabiuary

• Principal Trading In a principal transaction, an adviser, acting for its own account, buys a security from, or sells a security to, the account of a client. A principal transaction also includes a situation where an affiliate or controlling person of an investment adviser engages in a trade with an advisory client.

A principal trade occurs when a brokerage house buys securities on the secondary market with the express strategy to hold long enough for a price appreciation. At that point the broker sells retails to the end use and gains appreciation plus commission.

• Advisory/Agency trading

• TODO:

• Street Trade the trade that is made to deal with with 3rd party (the street) .. TODO

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Variance in Investing Variance is one of the key parameters in asset allocation. Along with correlation, variance of asset returns helps investors to develop optimal portfolios by optimizing the return-volatility trade-off in investment portfolios. Risk or volatility is often expressed as a standard deviation rather than variance because the former is more easily interpreted.

http://www.investopedia.com/terms/v/variance.asp