riskless transaction

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Riskless transaction

A transaction that is guaranteed a profit, such as the arbitrage of a temporary differential between commodity prices in two different markets. The evaluation of whether dealer markups and markdowns in OTC transactions are reasonable. According to NASD, markups or markdowns should not exceed 5%.

Riskless Transaction

A transaction where a gain is guaranteed by the structure of the transaction. To give a very simple example, one may find a client who wishes to purchase a security at $10 per share when one knows that the current price is $9.50 per share. One then buys the security at the current price and instantly re-sells to the client for a 50 cent per share guaranteed profit. This is also called a simultaneous transaction. See also: Arbitrage, Risk-free return.

riskless transaction

A dealer transaction in which the dealer makes a purchase or sale to offset a customer order. Thus, if a customer wishes to purchase 500 shares of Rushville Exterminators, Inc., at $80 per share, the dealer may purchase the 500 shares from another source at $79.25 and resell the stock to the customer at a markup of 75¢. The dealer has entered into a riskless transaction because the purchase will be offset by an existing customer order. The markup on riskless transactions is regulated by the National Association of Securities Dealers. Also called simultaneous transaction. See also five-percent rule.
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We're committed to enabling risk-free transactions throughout our powerful, yet simple technology.
Another strategic partnership with Stratus Technologies Mexico will provide uniquely risk-free transactions in the vastly expanding mobile commerce market in Mexico, and will drive Omlis technologies throughout key financial institutions and retail chains across Latin America.
Meanwhile, over 84 percent of risk-free transactions are being assessed via the system, then electronically cleared apart from any human interference, all done in less than two minutes starting from the client's input of their consignment data into the Customs clearance system (CCS) via the available interactive channels, such as smartphones, B2G and the Internet.
More than 84 per cent risk-free transactions are assessed through the system, followed by another electronic clearance of the luggage.
Meanwhile, over 84 per cent of risk-free transactions are being assessed via the system, then electronically cleared apart from any human interference, all done in less than two minutes starting from the client's input of their consignment data into the Customs Clearance System via the available interactive channels, such as smartphones, B2G and Internet.
These networks facilitate highly available, secure, risk-free transactions of virtually any payment instrument used by consumers.
uSell ensures that customers get the highest payouts with the least amount of hassle by facilitating risk-free transactions with professional buyers.