Listen to a Business English Dialogue About Not held
Madelyn: Hi William, have you heard about “not held” in finance?
William: No, I haven’t. What does it mean?
Madelyn: “Not held” is a type of order given by investors to brokers, where the broker has discretion over executing the trade but isn’t held responsible for the outcome.
William: Oh, I see. So, it’s like giving the broker flexibility to make decisions based on market conditions?
Madelyn: Exactly. It allows the broker to use their expertise to execute the trade in the best way possible without being bound by specific instructions from the investor.
William: Are there any risks associated with using “not held” orders?
Madelyn: Yes, there are risks since the investor is essentially trusting the broker’s judgment, which may not always align with the investor’s objectives or expectations.
William: I understand. So, it’s important for investors to have a clear understanding of the risks and implications before using “not held” orders?
Madelyn: Absolutely. Investors should carefully consider their risk tolerance and trust in their broker before using “not held” orders.
William: Thanks for explaining, Madelyn. I have a better understanding of “not held” now.
Madelyn: No problem, William. I’m glad I could help. Let me know if you have any more questions about business and finance topics.