Variable-Price Security

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Variable-price security

A security that sells at a fluctuating market-determined price stocks and bonds are example.

A security with a price that changes periodically or constantly according to market forces. Most marketable securities, notably stocks, bonds, and derivatives, are variable price securities. The foundational principle behind stock exchanges and over-the-counter trading states that securities have variable prices. These securities contrast with those whose prices do not change, such as certificates of deposit.

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