Bleed
Slow steady erosion of P&L, premium or capital.
Definitions
Slow constant loss rather than a single blow-up. Long-vol books bleed theta every day the market doesn't move; a fund with bad fundraising bleeds AUM month after month. Death by a thousand cuts, not a margin call.
Bleed In A Sentence
Origin & Usage
People Also Ask
What does 'bleed' mean in trading?
In finance, to 'bleed' is to slowly and steadily lose P&L, premium, or capital over time.
How do you use 'bleed' in a sentence?
A trader might say, 'This position bleeds a little premium every day it sits open.'
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