LAW OF LARGE NUMBERS
A statistical rule which assumes that the average number of samples might reach the mean of the entire population as the figures escalate. In the financial sense, when a company’s revenue goes up, it will have a difficulty to maintain its growth. To continue expanding the firm, it has to grow more and more to sustain the percentage of growth.
Also known as Law of Averages.
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Transaction
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IRS Publication 596
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Depository Trust Company Tracking - DTCT
A service, used by underwriting firms, that provides a method of tracking the exact path of purchases and sales of newly issued securities.
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