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The process used when an auction finds no sellers — the defaulting seller is charged the higher of the peak price over the relevant period or a percentage above the settlement price.

This one is not written up yet

The definition above is the short version. A full explanation — how it works, a worked example and the exam traps — is still being written. In the meantime the chapter below covers it in context.

Written up from the same chapter

Where this is taught

Free preparation for NISM Series VII
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