When the cost of borrowing money to pay for a securities purchase is less than the yield on the securities. For instance, if funds are borrowed at a cost of 6 percent, and the stock or bond investment yields 8 percent, there is a positive carry. The inverse is a negative carry.
positive carry - Investment & Finance Definition
Webster's New World Finance and Investment Dictionary Copyright © 2010 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
Used by arrangement with John Wiley & Sons, Inc.
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"positive carry." YourDictionary, n.d. Web. 15 July 2019. <https://www.yourdictionary.com/positive-carry>.
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positive carry. (n.d.). Retrieved July 15th, 2019, from https://www.yourdictionary.com/positive-carry
