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Quantitative Finance · Glossary

What is Carry?

Definition 7.10 Markets I: The Ecosystem and Exchange-Traded Markets · Chapter 7 — P&L and the Accounting of a Position

The carry of a position is the P&L it produces if prices do not move: income received (dividends, coupons, interest on short proceeds) less costs paid (financing of longs, borrow fees on shorts, dividends owed on shorts).

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