Definitions for "Purchasing Power"
The extent to which a sum of money or benefit can retain its ability to purchase physical assets. Investors generally aim to improve or at least to preserve the purchasing power of their money or assets against increase in the inflation rate over time.
The capacity to use money, either cash or borrowed, as a means to purchase goods.
or buying power - the amount of goods and services that money can buy at a given time.
The amount of credit available for securities trading in a margin account, after taking margin requirements into consideration.
The amount of security value acquirable in a margin account solely from use of existing equity in excess of current federal requirements.
A Friedberg Direct customer's margin excess, which determines what orders may be placed. Purchasing Power is calculated as the difference between adjusted total equity and the current Initial margin requirement. This is a measure of the equity in the account that has not already been pledged as collateral, or margin, on existing open positions.
A measure of a family's or individual's disposable income.