Linkage

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Dictionary Says

Definition of 'Linkage'

Linkage occurs when an investor is able to purchase a security on one financial exchange and sell it on another. Certain depositary receipts, such as American Depositary Receipts (ADRs), allow for linkage, which means that an investor can purchase shares of a company on a foreign exchange, such as the Toronto Stock Exchange, and then sell those shares on a domestic exchange, such as the New York Stock Exchange.
Investopedia Says

Investopedia explains 'Linkage'

Linkage should not be confused with arbitrage situations where an investor looks to profit from price discrepancies for equivalent securities trading on different exchanges. As financial markets progress, specifically with the growth of electronic exchanges spreading, the phenomenon of linkage will become more relevant and useful for investors in the future.
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'Linkage'

  • Could Higher Correlations Wreck Your Diversification Strategy? ...

    http://financialedge.investopedia.com/financial-edge/0911/Could-Higher-Correlations-Wreck-Your-Diversification-Strategy.aspx
    ... If there is no apparent linkage between the move of Stock A and Stock B, the
    correlation may be zero, and in some cases there can be negative correlation (as ...

  • How To Construct A High-Risk Portfolio

    http://www.investopedia.com/articles/stocks/11/construct-high-risk-portfolio.asp
    ... The linkage between risk and reward is not always perfect or predictable, but
    there is a time-tested correlation between risk and reward. ...

  • 2011 In Review - Railroads

    http://stocks.investopedia.com/stock-analysis/2011/2011-In-Review---Railroads-KSU-NSC-CNI-UNP-GWR1223.aspx
    ... Although the linkage between railroads and ducks is not exactly obvious on first
    blush, 2011 showed that they have at least one thing in common; things may ...

  • The Smart Plays In Smart TV

    http://stocks.investopedia.com/stock-analysis/2011/The-Smart-Plays-In-Smart-TV-DIS-DWA-FONE-GOOG-SNE-INTC-PA-NVDA1028.aspx
    ... Television (IPTV). The basic idea is to move beyond just watching your TV,
    but interacting with it through this Web 2.0 linkage. So ...

  • FedEx Delivers Strength

    http://stocks.investopedia.com/stock-analysis/2011/FedEx-Delivers-Strength-FDX-UPS-BA-NSC-CSX-UNP0623.aspx
    ... The obvious linkage of the two package delivery companies' fortunes as well as the
    positive indicator for the economy no doubt pushed shares of both stocks up. ...

  • 2 "Baby Conglomerates" to Watch

    http://stocks.investopedia.com/stock-analysis/moneyshow/2BabyConglomeratestoWatch.aspx
    ... SPX (SPW), on the other hand, has struggled to integrate its businesses during
    the last several years, with no natural linkage among segments. ...

  • As China Goes, So Goes The World?

    http://stocks.investopedia.com/stock-analysis/2010/As-China-Goes-So-Goes-The-World-FXI-VALE-BHP-INTC-WFMI-PFE0601.aspx
    ... I would not go so far as to say that there is no linkage between what is happening
    in China and what happens with commodities or American stocks, but it is a ...

  • Wireless Infrastructure Leaders

    http://stocks.investopedia.com/stock-analysis/2009/Wireless-Infrastructure-Leaders-AMT-HSTX1001.aspx
    ... That second connection is the backhaul linkage. There are several ways to create
    a backhaul link, the biggest room for growth comes from microwave connections. ...

  • A Look At The Smart-Meter Makers

    http://stocks.investopedia.com/stock-analysis/2010/A-Look-At-The-Smart-Meter-Makers-GRID-ELON-ITRI-DGII-BMI0907.aspx
    ... the hardware and software links that connect smart meters to utilities, Digi
    International (NASDAQ:DGII) can be seen as a play on that necessary linkage. ...

  • Beware Of Wall Street's Three Big Lies

    http://www.investopedia.com/articles/stocks/11/beware-wall-street-three-lies.asp
    ... pattern. There is little data to support the idea that markets are
    systematically and irrevocably moving towards a complete linkage. ...

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