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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

Cost of carry  

Definition 1.

Out-of-pocket costs incurred while an investor has an investment position. Examples include interest on long positions in margin account, dividend lost on short margin positions, and incidental expenses. Related: Net financing cost.
 

Definition 2.

Costs incurred because of an investment position.
 

Definition 3.

Expenses incurred while a position is being held; for example, interest on securities bought on margin, dividends paid on short positions, and other expenses.
 
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