Conduit Theory

Business / Finance / Conduit Theory: Applies to derivative products. Option strategy consisting of both puts and calls at different strike prices to capitalize on a narrow range of volatility. The payoff diagram takes the shape of a bird.

Organizational Behavior Modification Theory

Business / Human Resources (HR) / Organizational Behavior Modification Theory: A motivational theory suggesting that an individual will behave in a manner that helps him or her avoid potential negative outcomes and achieve agreeable outcomes. MORE

Optimal Foraging Theory

Science / Marine Biology / Optimal Foraging Theory: A theory designed to predict the foraging behavior that maximizes food intake per unit time MORE

Odd-Lot Theory

Business / Finance / Odd-Lot Theory: The theory that profits can be made by making trades contrary to odd-lot trading patterns, since odd-lot investors have poor timing. This theory is no longer popular. MORE

Preferred Habitat Theory

Business / Finance / Preferred Habitat Theory: A biased expectations theory that believes the term structure reflects the expectation of the future path of interest rates as well as risk premium. The theory rejects the assertion that the risk prem MORE

Presidential Election Cycle Theory

Business / Finance / Presidential Election Cycle Theory: A theory that stock market trends can be predicted and explained by the four-year presidential election cycle. MORE

Pure Expectations Theory

Business / Finance / Pure Expectations Theory: A theory that asserts that forward rates exclusively represent the expected future rates. In other words, the entire term structure reflects the market's expectations of future short-term rates. For e MORE

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