Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: payroll, tax advisor, accounting, finance, investment, inventory, financial advisor, stock trading,
Definition of Euroclear
One of two principal clearing systems in the Eurobond market. It began operations in 1968, is
an amount or percentage deducted from an equity interest to reflect lack of marketability.
Abramsâ€™ model for calculating DLOM based on the interaction of discounts from four economic compOnents.
model for calculating DLOM for minority interests r the discount rate
A form of organization commonly used by foreign Banks to enter the U.S. market. An agency
Requirement that nOne of an order be executed unless all of it can be executed at the specified price.
An arrangement whereby a security issue is canceled if the underwriter is unable
An option is at-the-mOney if the strike price of the option is equal to the market price of the
markets in which the prevailing price is determined through the free interaction of
A collection of 32 regional electronic interBank networks used to
Notes issued by states and municipalities to obtain interim financing for
The time that elapses between when a check is deposited into a Bank account and when the funds are available to the depositor, during which period the Bank is collecting payment from the payer's Bank.
A convention used for quoting bids and offers for treasury bills in terms of annualized
A draft addressed to a Bank.
Line of credit granted by a Bank to a customer.
A computer message system linking major Banks. It is used not for effecting payments, but as a
A short-term credit investment created by a non-financial firm and guaranteed by a
Bank for International Settlements (BIS)
An international Bank headquartered in Basel, Switzerland, which
State of being unable to pay debts. Thus, the ownership of the firm's assets is transferred from
Bankruptcy cost view
The argument that expected indirect and direct Bankruptcy costs offset the other
The risk that a firm will be unable to meet its debt obligations. Also referred to as default or insolvency risk.
The argument that expected Bankruptcy costs preclude firms from being financed entirely
Any market in which prices are in a declining trend.
An illegal market.
A market where an intermediary offers search services to buyers and sellers.
Any market in which prices are in an upward trend.
The foreign market in the United Kingdom.
Call money rate
Also called the broker loan rate , the interest rate that Banks charge brokers to finance
The market for trading long-term debt instruments (those that mature in more than One year).
Capital market efficiency
Reflects the relative amount of wealth wasted in making transactions. An efficient
Capital market imperfections view
The view that issuing debt is generally valuable but that the firm's
Capital market line (CML)
The line defined by every combination of the risk-free asset and the market portfolio.
Cash flow from operations
A firm's net cash inflow resulting directly from its regular operations
Also called spot markets, these are markets that involve the immediate delivery of a security
Clearing House Automated Payments System (CHAPS)
A computerized clearing system for sterling funds
Clearing House Interbank Payments System (CHIPS)
An international wire transfer system for high-value
A member firm of a clearing house. Each clearing member must also be a member of the
Clearing house / Clearinghouse
An adjunct to a futures exchange through which transactions executed its floor are settled by a
An agreement between two or more countries that permits the free movement of capital
Common stock market
The market for trading equities, not including preferred stock.
Complete capital market
A market in which there is a distinct marketable security for each and every
A merchant Banking subsidiary set up by several Banks that may or may not be of the
A Eurobond that can be converted into another asset, often through exercise of
Corner A Market
To purchase enough of the available supply of a commodity or stock in order to
A market where traders specializing in particular commodities buy and sell assets for their
The market for trading debt instruments.
markets for derivative instruments.
Direct search market
Buyers and sellers seek each other directly and transact directly.
Part of a nation's internal market representing the mechanisms for issuing and trading
Dow Jones industrial average
This is the best known U.S.index of stocks. It contains 30 stocks that trade on
Efficient capital market
A market in which new information is very quickly reflected accurately in share
Efficient Market Hypothesis
In general the hypothesis states that all relevant information is fully and
In the interBank Eurodollar deposit market, an either-way market is One in which the bid
Eligible bankers' acceptances
In the BA market, an acceptance may be referred to as eligible because it is
The financial markets of developing economies.
Equilibrium market price of risk
The slope of the capital market line (CML). Since the CML represents the
A Bank that regularly accepts foreign currency denominated deposits and makes foreign currency loans.
A bond that is (1) underwritten by an international syndicate, (2) offered at issuance
The mOney market for borrowing and lending currencies that are held in the form of
European Monetary System (EMS)
An exchange arrangement formed in 1979 that involves the currencies
Excess return on the market portfolio
The difference between the return on the market portfolio and the
Export-Import Bank (Ex-Im Bank)
The U.S. federal government agency that extends trade credits to U.S.
Also referred to as the international market, the offshore market, or, more popularly, the
Fair market price
Amount at which an asset would change hands between two parties, both having
Federal Financing Bank
A federal institution that lends to a wide array of federal credit agencies funds it
Federal funds market
The market where Banks can borrow or lend reserves, allowing Banks temporarily
Federal Home Loan Banks
The institutions that regulate and lend to savings and loan associations. The
An organized institutional structure or mechanism for creating and exchanging financial assets.
The market for trading bonds and preferred stock.
Foreign banking market
That portion of domestic Bank loans supplied to foreigners for use abroad.
Foreign bond market
That portion of the domestic bond market that represents issues floated by foreign
Foreign equity market
That portion of the domestic equity market that represents issues floated by foreign companies.
Part of a nation's internal market, representing the mechanisms for issuing and trading
Foreign market beta
A measure of foreign market risk that is derived from the capital asset pricing model.
A market in which participants agree to trade some commodity, security, or foreign
Direct trading in exchange-listed securities between investors without the use of a broker.
Funds From Operations (FFO)
Used by real estate and other investment trusts to define the cash flow from
A market in which contracts for future delivery of a commodity or a security are bought or sold.
Generally Accepted Accounting Principals (GAAP)
A technical accounting term that encompasses the
Purchases and sales of Eurobonds that occur before the issue price is finally set.
MOney that moves across country borders in response to interest rate differences and that moves
Income statement (statement of operations)
A statement showing the revenues, expenses, and income (the
Index and Option Market (IOM)
A division of the CME established in 1982 for trading stock index
spread The spread between the interest rate offered in two sectors of the bond market for
Intermarket spread swaps
An exchange of One bond for another based on the manager's projection of a
The mechanisms for issuing and trading securities within a nation, including its domestic
Internally efficient market
Operationally efficient market.
International Bank for Reconstruction and Development - IBRD or World Bank
International Bank for Reconstruction and Development makes loans at nearly conventional terms to countries for projects of high
International Banking Facility (IBF)
International Banking Facility. A branch that an American Bank
Related: See external market.
International Monetary Fund
An organization founded in 1944 to oversee exchange arrangements of
International Monetary Market (IMM)
A division of the CME established in 1972 for trading financial
A put option that has a strike price higher than the underlying futures price, or a call option
Intramarket sector spread
The spread between two issues of the same maturity within a market sector. For
A futures market in which the nearer months are selling at price premiums to the more
Financial intermediaries who perform a variety of services, including aiding in the sale of
Joint clearing members
Firms that clear on more than One exchange.
Just-in-time inventory systems
systems that schedule materials/inventory to arrive exactly as they are
Law of one price
An economic rule stating that a given security must have the same price regardless of the
A legal proceeding for liquidating or reorganizing a business.
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.