Outrageously Funny Word Dictionary :: Underspreading

👉 Underspreading in finance refers to a situation where an investor invests more than they can afford and loses money due to market fluctuations. This could happen because the investor has bought too many shares of a stock or mutual fund, which is not enough for them to cover their initial investment and keep up with the market's movements. The term "underspreading" comes from the German word "undersetzen," which means "to divide."

underspreading