Relative Value Measure of quality of an investment instrument by comparing risk, liquidity, return and maturity of one against another. Within the same instrument class, relative value measures different maturity terms. Random Finance Terms for the Letter S Regulatory … [Read more...]
Specific Issues Market
Filed Under: s by
Specific Issues Market It is a market characterized by dealers who start reversing in securities that they plan to short in future. Random Finance Terms for the Letter S Soft Dollars Sole Proprietorship Sovereign Risk Span Special Dividend Special Drawing Rights … [Read more...]
Official Statement
Filed Under: o by
Official Statement Document giving details of a new municipal security and a description of the issuer. Presented to public by the issuer. Random Finance Terms for the Letter O Objective (mutual funds) Odd Lot Odd Lot Dealer Off-Balance-Sheet Financing Offensive … [Read more...]
Bill of Exchange
Filed Under: b by
Bill of Exchange Refers to any document containing a payment demand. … [Read more...]
Effective Spread
Filed Under: e by
Effective Spread Spread derived in gross underwriting after taking into account the impact of common stock offer announcement on the share price of a firm. … [Read more...]
P&S
Filed Under: p by
P&S Statement showing purchase and sale, given by broker. Shows the final position of customer’s account after last transaction has been executed. Random Finance Terms for the Letter P P&L P&S P2P P/E P/E Ratio P/E Effect PSA Pac-Man Strategy Pairoff Paper … [Read more...]
Management Fee
Filed Under: m by
Management Fee An advisory fee for investment charged by a financial advisor and payable by a fund. Amount depends on average assets of the fund, but sometimes calculated using a sliding scale that moves downward when the fund’s dollar value is on the rise. … [Read more...]
Series Bond
Filed Under: s by
Series Bond A type of bond that is issued in many series under a written agreement between the issuer and investor/bondholder. Random Finance Terms for the Letter S Separation Property Separation Theorem Serial Bonds Serial Covariance Series Bond Series Set of … [Read more...]
Risk Premium Approach
Filed Under: r by
Risk Premium Approach Portfolio management strategy that involves selecting high risk investments that give higher yields to compensate. Random Finance Terms for the Letter S Risk Controlled Arbitrage Risk Indexes Risk Lover Risk Management Risk Neutral Risk … [Read more...]
Eurocredits
Filed Under: e by
Eurocredits Eurocurrency loans of intermediate-term that are given to corporates and government by banking syndicates. … [Read more...]
Economic Assumptions
Filed Under: e by
Economic Assumptions The conditions of the economy that are expected to prevail throughout the term of the financial plan outlined by a company. … [Read more...]
Short Position
Filed Under: s by
Short Position Establishing a market position by selling a contract but not closing out the position by buying later and offsetting the purchase. Random Finance Terms for the Letter S Sharpe Benchmark Sharpe Ratio Shelf Registration Shirking Shogun … [Read more...]
Dividend Recapitalization
Filed Under: d by
Dividend Recapitalization Also termed dividend recap. Payment of special dividend by a company from a new debt taken for this purpose. … [Read more...]
Liquidity Preference Hypothesis
Filed Under: l by
Liquidity Preference Hypothesis Concept that when all else is equal, higher liquidity is valuable. Also refers to the concept that the future interest rate is lower than forward rates. … [Read more...]
Opening Bell
Filed Under: o by
Opening Bell Bell that is rung to signify the start of trading in an exchange. Random Finance Terms for the Letter O Open Position Open Repo Open-End Fund Open End Lease Open-End Mortgage Open-Market Operation Open-Market Purchase Operation Open-Outcry Opening, … [Read more...]
Discount Window
Filed Under: d by
Discount Window Federal Reserve facility allowing banks which are members, to take loans through government issued securities or other types of acceptable paper, against collateral. … [Read more...]
Checks and Balances
Filed Under: c by
Checks and Balances Procedures established to reduce mistakes or unethical behavior. Ensure that no individual or department has complete decision making authority. … [Read more...]
Euroyen Bonds
Filed Under: e by
Euroyen Bonds Eurobond that has a Japanese yen denomination. … [Read more...]
Variable Rate Demand Note (VRDN)
Filed Under: v by
Variable Rate Demand Note Debt instruments representing borrowed funds which are payable on demand and accumulate interest depending on some current benchmark, like the prime lending rate. Random Finance Terms for the Letter V Variable Rate CDs Variable Rated Demand … [Read more...]
Different Types of Mortgage Loans
Filed Under: Basics by
A home is usually the most valuable asset for a family. The home for many people symbolizes the juncture in life, when they have ‘settled’ and established themselves financially. The possession of a home is often an indicator to many lenders that the borrower is financially sound and … [Read more...]
