Financial Terms Main Page

This site contains comprehensive definitions for a wide range of terms that cover topics such as financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit...

Browse terms by the Alphabetical Index:
1 4 A B C D E F G H I J K L M N O P Q R S T U V W Y Z
Search terms for definitions using keywords:

Keyword(s):

Our proprietary algorithm provides many related definitions for each term, helping you better understand the subject.

Monthly Financial Term Picks:

AIBD

Association of International Bond Dealers.

Cash-surrender value

An amount the insurance company will pay if the policyholder ends a whole life
insurance policy.

DCF

See: Discounted cash flows.

Debt displacement

The amount of borrowing that leasing displaces. Firms that do a lot of leasing will be
forced to cut back on borrowing.

Demand shock

An event that affects the demand for goods in services in the economy.

Dividend rate

The fixed or floating rate paid on preferred stock based on par value.

International Banking Facility (IBF)

International Banking Facility. A branch that an American bank
establishes in the United States to do Eurocurrency business.

Parameter

A representation that characterizes a part of a model (e.g. a growth rate), the value of which is
determined outside of the model. See: exogenous variable.

Project loans

Usually FHA-insured and HUD-guaranteed mortgages on multiple-family housing complexes,
nursing homes, hospitals, and other development types.

Portfolio Diversification

See diversification

Lambda

The percentage change in the price of an option relative to a 1%
change in the price of the underlying security. Also known as Elasticity.

Aggregate Demand Curve

Combinations of the price level and income for which the goods and services market is in equilibrium, or for which both the goods and services market and the money market are in equilibrium.

Depletion

The systematic and rational allocation of the cost of natural resources over their useful
lives. Refer also to amortization and depreciation.

Bin

A storage area, typically a subdivision of a single level of a storage rack.

Front End Fees

Fees paid when for example a financial instrument such as a loan is arranged.