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Spread management refers to the strategies and practices used by financial institutions or traders to optimize the difference between the buying and selling prices of securities, known as the spread. It involves analyzing market conditions, adjusting pricing strategies, and managing inventory to minimize risks and enhance profitability. Effective spread management can help firms improve their liquidity and maintain competitive advantage in volatile markets. Ultimately, it aims to balance risk and reward while ensuring efficient execution of trades.

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5mo ago

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