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Mark-to-Model refers to the practice of pricing a position or portfolio at prices determined by financial models, in contrast to allowing the market to determine the price. Often the use of models is necessary where a market for the financial product is not available, such as with complex financial instruments. One shortcoming of Mark-to-Model is that it…
Products, Hedge Funds & Enron Collapse
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models market prices mark-to-model financial used price available pricing assets mark model product data hedge use shortcoming gives illiquid even
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