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Limited-Liability Instrument |
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Limited-liability instrument Limited-Liability Instrument An investment vehicle in which the maximum amount one may lose is the initial amount of the investment. An example is a long position on an option contract. If one does not exercise the option, the most one may lose is the premium. Likewise, a limited partner in any partnership is only liable for the amount of his/her investment in the event of liquidation. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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