The risk inherent in options contracts, which is much lower than that of a futures contract, which has unlimited risk. The maximum loss in buying a call option, for example, is the premium paid for the option.
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Cost of limited partner capital
Cost of limited partner capital The discount rate that equates the after-tax inflows with outflows for capital raised from limited partners.
Income limited partnership
Income limited partnership A limited partnership whose main goal is income generation, e.g., real estate, oil equipment.
Limited company
Limited company A form of business commonly used in the U.K. comparable to incorporation in the U.S.