Price Value of a Basis Point (PVBP) A technique of attributing to one basis point of yield the equivalent change in bond price. Also referred to as the basis point’s dollar value. … [Read more...]
Prices
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Prices Share price for common stock on a specific date. Highest and lowest prices depends on price traded on intraday. … [Read more...]
Price-Specie-Flow Mechanism
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Price-Specie-Flow Mechanism Used with gold standard. Fluctuations in prices in a country adjusted completely or partially by an inflow or outflow of gold or specie. This adjusts the price levels across borders and equalized them bringing balance in international transactions and … [Read more...]
Price-Volume Relationship
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Price-Volume Relationship Link between price and volume that shows that security prices may rise or fall in relation to the actual volumes that are traded in these securities. … [Read more...]
Pricing Efficiency
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Pricing Efficiency Phenomenon where the price of securities always reflects all the factors and various kinds of information that cause changes in the value of securities. Also known as external efficiency. … [Read more...]
Primary Market
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Primary Market Market where buyers transact directly with issuer of a security to purchase it. Subsequent transactions take place in the secondary market from other buyers and sellers. … [Read more...]
Primary Mortgage Market
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Primary Mortgage Market Mortgage transaction market that brings together borrowers and mortgage lenders to negotiate terms and complete transactions. … [Read more...]
Primary Offering
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Primary Offering Offer of a new issue by the firm to interested buyers. … [Read more...]
Primitive Security
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Primitive Security Stocks, bonds and other similar instruments where the payments or yield is dependent on the issuer’s financial state. … [Read more...]
Prime Rate
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Prime Rate Best rate possible at which banks offer loans to their prime (most valued) customers. However, a bank may offer loans below the prime rate for truly creditworthy customers. … [Read more...]
Principal
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Principal - Participant in a transaction who is impacted by the decisions of the agent in a deal between agent and principal. - The total sum of money changing hands in a loan. … [Read more...]
Principal of Diversification
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Principal of Diversification Concept that well diversified portfolios have very low unsystematic risk. Unsystematic risks can be eliminated in portfolios but systematic risks remain. … [Read more...]
Principal-Agent Relationship
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Principal-Agent Relationship An understanding between two parties or individuals wherein one party acts on behalf of the other, the principal, in the role of an agent. … [Read more...]
Principal Only (PO)
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Principal Only (PO) - MBS where holder can claim only cash flows related to principal on the mortgage pool on which the MBS is based. - In stripped MBS, the portion attributable to principal - Principal Only securities, where underlying assets are principal payments to be … [Read more...]
Private Export Funding Corporation (PEFCO)
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Private Export Funding Corporation (PEFCO) Finance mobilizing company that works with export of big value items from U.S based businesses by arranging private capital. Funds are raised by the company by purchasing medium and long-term obligations of importers yielding fixed interest … [Read more...]
Private-Label Pass-Throughs
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Private-Label Pass-Throughs Refer: Conventional pass-throughs. … [Read more...]
Private Mortgage Insurance
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Private Mortgage Insurance Protective insurance insulating lenders against risk of default by borrower. Typically, borrowers must take PMI when their loan exceeds 80% of the asset value. … [Read more...]
Private Unrequited Transfers
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Private Unrequited Transfers Remittance made by immigrant workers resident in foreign country back to their home country. Includes gifts, cash transfers, contributions and inheritances. … [Read more...]
Privatization
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Privatization Selling state managed and owned companies to private sector. Conversion of public sector enterprise to a private enterprise. … [Read more...]
Pro Forma Capital Structure Analysis
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Pro Forma Capital Structure Analysis Technique of assessing the influence of changes in capital structure on the credit status and financial results of a business. Used to evaluate if the business can make effective use of tax benefits projected. … [Read more...]
