Common use of Speculation Clause in Contracts

Speculation. seek a significant increase in principal • willing to accept a correspondingly greater degree of risk by investing in securities with high historical risk of loss of principal • lower-quality long-term fixed-income investments • initial public offerings (IPOs) • volatile or low-priced common stocks • equity or index options strategies such as puts or calls, spreads, straddles, and combinations • short-term or day-trading strategies • seek to take advantage of short-term trading opportunities (a high- risk strategy) • short-term purchases and sales of volatile or low-priced common stocks • equity or index options strategies such as puts or calls, spreads, straddles, and combinations • seek a mix of growing principal value and generating income from investments • willing to invest in securities with moderate historical risk of loss of principal while having the potential to pay income • common stocks • medium-term fixed-income investments • growth and Income mutual funds