Business and Personal Finance Dictionary

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• SIDE OF THE MARKET
  
  Refers to the underlying market-driven or market directional position. For example, a long stock position is considered as a long side-of-the-market position. Similarly, a purchased call on the same security is viewed as long the same-side-of-the-market. A sold or short put position in the same security is considered as long the same-side-of-the-market. However, a purchased put is viewed as short or short side of the market. This term enables firms, exchanges, and clearinghouses to quantify positions as to market-side or market direction. This is very useful when evaluating complex positions.
  
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