Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: investment, stock trading, credit, business, financial, payroll, inventory control, financial advisor,
Definition of eurodollars
Dollars held on deposit in a bank outside the United States.
Deposits denominated in U.S. dollars but held in banks located outside the United States, such as in Canada or France.
An agreement permitting a bank customer to borrow either domestic dollars from the
In the Euromarket, a period over which eurodollars are sold is said to be neutral if it does not
A bank depositing eurodollars with (selling eurodollars to) another bank is often said to be
Fed regulation currently requiring member banks to hold reserves against their net borrowings
In the interbank Eurodollar deposit market, an either-way market is one in which the bid
International Banking facility. A branch that an American bank
A syndicated confirmed credit line with attached options.
An agreement by which a syndicate of banks indicates a willingness to accept
Bank borrowing facility to provide finance while the firm replaces U.S. commercial paper
A loan facility on a customers account at a financial institution allowing the customer to overdraw up to a certain agreed limit for an agreed period.
Abrams’ model for calculating DLOM based on the interaction of discounts from four economic components.
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
Certificates issued by a U.S. depositary bank, representing foreign
An option is at-the-money if the strike price of the option is equal to the market price of the
Brokerage house clerical operations that support, but do not include, the trading of stocks and
BAN (Bank anticipation notes)
Notes issued by States and municipalities to obtain interim financing for
Bank collection float
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.
Bank discount basis
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
A contract for privately placed debt.
To obtain or receive money on loan with the promise or understanding that it will be repaid.
In the mortgage pipeline, the risk that prospective borrowers of loans committed to be
Bretton Woods Agreement
An agreement signed by the original United Nations members in 1944 that
Call money rate
Also called the broker loan rate , the interest rate that banks charge brokers to finance
Cash deficiency agreement
An agreement to invest cash in a project to the extent required to cover any cash
Certificate of deposit (CD)
Also called a time deposit, this is a certificate issued by a bank or thrift that
Clearing House Interbank Payments System (CHIPS)
An international wire transfer system for high-value
An understanding between a company and the host government that specifies the
A merchant banking subsidiary set up by several banks that may or may not be of the
Controlled foreign corporation (CFC)
A foreign corporation whose voting stock is more than 50% owned
Checking accounts that pay no interest and can be withdrawn upon demand.
Depository transfer check (DTC)
Check made out directly by a local bank to a particular firm or person.
Depository Trust Company (DTC)
DTC is a user-owned securities depository which accepts deposits of
Domestic International Sales Corporation (DISC)
A U.S. corporation that receives a tax incentive for
Part of a nation's internal market representing the mechanisms for issuing and trading
agreement between two countries that taxes paid abroad can be offset against
Dow Jones industrial average
This is the best known U.S.index of stocks. It contains 30 stocks that trade on
Electronic depository transfers
The transfer of funds between bank accounts through the Automated
Eligible bankers' acceptances
In the BA market, an acceptance may be referred to as eligible because it is
Equity contribution agreement
An agreement to contribute equity to a project under certain specified
A bank that regularly accepts foreign currency denominated deposits and makes foreign currency loans.
A short-term fixed rate time deposit denominated in a currency other than the local
European Monetary System (EMS)
An exchange arrangement formed in 1979 that involves the currencies
Export-Import Bank (Ex-Im Bank)
The U.S. federal government agency that extends trade credits to U.S.
Federal Deposit Insurance Corporation (FDIC)
A federal institution that insures bank deposits.
Federal Financing Bank
A federal institution that lends to a wide array of federal credit agencies funds it
Federal Home Loan Banks
The institutions that regulate and lend to savings and loan associations. The
Fiscal agency agreement
An alternative to a bond trust deed. Unlike the trustee, the fiscal agent acts as an
Foreign banking market
That portion of domestic bank loans supplied to foreigners for use abroad.
A bond issued on the domestic capital market of anther company.
Foreign bond market
That portion of the domestic bond market that represents issues floated by foreign
Foreign currency option
An option that conveys the right to buy or sell a specified amount of foreign
Foreign currency translation
The process of restating foreign currency accounts of subsidiaries into the
Foreign direct investment (FDI)
The acquisition abroad of physical assets such as plant and equipment, with
Foreign equity market
That portion of the domestic equity market that represents issues floated by foreign companies.
Currency from another country.
Foreign exchange controls
Various forms of controls imposed by a government on the purchase/sale of
Foreign exchange dealer
A firm or individual that buys foreign exchange from one party and then sells it to
Foreign exchange risk
The risk that a long or short position in a foreign currency might have to be closed out
Foreign exchange swap
An agreement to exchange stipulated amounts of one currency for another currency
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.
Foreign Sales Corporation (FSC)
A special type of corporation created by the Tax Reform Act of 1984 that
Foreign tax credit
Home country credit against domestic income tax for foreign taxes paid on foreign
Forward rate agreement (FRA)
agreement to borrow or lend at a specified future date at an interest rate
Gross domestic product (GDP)
The market value of goods and services produced over time including the
Head & shoulders
In technical analysis, a chart formation in which a stock price reaches a peak and declines,
Money that moves across country borders in response to interest rate differences and that moves
Interest rate agreement
An agreement whereby one party, for an upfront premium, agrees to compensate the
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
International Depository Receipt (IDR)
A receipt issued by a bank as evidence of ownership of one or more
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
Financial intermediaries who perform a variety of services, including aiding in the sale of
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.
Limitation on subsidiary borrowing
A bond covenant that restricts in some way a firm's ability to borrow at
Management/closely held shares
Percentage of shares held by persons closely related to a company, as
A book-entry depository for GNMA securities. The depository was initially operated by
A British term for a bank that specializes not in lending out its own funds, but in providing
Gold held by governmental authorities as a financial asset.
Actions taken by the Board of Governors of the Federal Reserve System to influence the
Monetary / non-monetary method
Under this translation method, monetary items (e.g. cash, accounts
Composed of currency and coins outside the banking system plus liabilities to the deposit money banks.
Money center banks
banks that raise most of their funds from the domestic and international money markets, relying less on depositors for funds.
Related: Investment management.
Related: Investment manager.
Money markets are for borrowing and lending money for three years or less. The securities in
Money market demand account
An account that pays interest based on short-term interest rates.
Money market fund
A mutual fund that invests only in short term securities, such as bankers' acceptances,
Money market hedge
The use of borrowing and lending transactions in foreign currencies to lock in the
Money market notes
Publicly traded issues that may be collateralized by mortgages and MBSs.
Money purchase plan
A defined benefit contribution plan in which the participant contributes some part and
Money rate of return
Annual money return as a percentage of asset value.
M1-A: Currency plus demand deposits
Negotiated certificate of deposit
A large-denomination CD, generally $1MM or more, that can be sold but
In a Treasury auction, the amount by which the par value of the securities offered exceeds that of
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.