![]() |
|
Financial Terms | |
Market conversion price |
Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: financial, business, credit, inventory, inventory control, investment, tax advisor, payroll, Also see related: home, homebuyer, property, homebuying, condo, financing, first time homebuyer, insurance, home insurance, |
Definition of Market conversion priceMarket conversion priceAlso called conversion parity price, the price that an investor effectively pays for
Related Terms:Conversion parity priceRelated:market conversion price Arm's length priceThe price at which a willing buyer and a willing unrelated seller would freely agree to Ask priceA dealer's price to sell a security; also called the offer price. Auction marketsmarkets in which the prevailing price is determined through the free interaction of Bargain-purchase-price optionGives the lessee the option to purchase the asset at a price below fair market Basis priceprice expressed in terms of yield to maturity or annual rate of return. Bear marketAny market in which prices are in a declining trend. ![]() bear marketA market in which stock or bond prices are generally Bear MarketA prolonged period of falling stock market prices. Bid priceThis is the quoted bid, or the highest price an investor is willing to pay to buy a security. Practically Black marketAn illegal market. Brokered marketA market where an intermediary offers search services to buyers and sellers. Bull marketAny market in which prices are in an upward trend. bull marketA market in which stock or bond prices are generally rising. Bull MarketA prolonged period of rising stock market prices. Bulldog marketThe foreign market in the United Kingdom. ![]() Call priceThe price, specified at issuance, at which the issuer of a bond may retire part of the bond at a Call priceThe price for which a bond can be repaid before maturity under a call provision. Capital marketThe market for trading long-term debt instruments (those that mature in more than one year). Capital marketThe market in which investors buy and sell shares of companies, normally associated with a Stock Exchange. Capital MarketA market that specializes in trading long-term, relatively high risk Capital MarketThe market in which savings are made available to those needing funds to undertake investment projects. A financial market in which longer-term (maturity greater than one year) bonds and stocks are traded. Capital market efficiencyReflects the relative amount of wealth wasted in making transactions. An efficient Capital market imperfections viewThe 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. capital marketsmarkets for long-term financing. Cash conversion cycleThe length of time between a firm's purchase of inventory and the receipt of cash ![]() cash conversion cyclePeriod between firm’s payment for materials Cash marketsAlso called spot markets, these are markets that involve the immediate delivery of a security Clean priceBond price excluding accrued interest. Common marketAn agreement between two or more countries that permits the free movement of capital Common stock marketThe market for trading equities, not including preferred stock. Complete capital marketA market in which there is a distinct marketable security for each and every Consumer Price Index (CPI)The CPI, as it is called, measures the prices of consumer goods and services and is a Consumer Price Index (CPI)An index calculated by tracking the cost of a typical bundle of consumer goods and services over time. It is commonly used to measure inflation. conversionthe process of transformation or change ConversionThe act of changing from one type of life insurance policy to another, without having to give evidence of insurability. conversion costRefers to the sum of manufacturing direct labor and overhead conversion costthe total of direct labor and overhead cost; Conversion factorsRules set by the Chicago Board of Trade for determining the invoice price of each Conversion premiumThe percentage by which the conversion price in a convertible security exceeds the Conversion ratioThe number of shares of common stock that the security holder will receive from Conversion RightTerm life insurance products are offered as non-convertible or convertible to a certain time in the future. The coversion right has a time limit, usually to the policy holder's age 60 or possibly even age 70. This right means that the policy holder has the right to convert their existing policy to another specific different plan of permanent insurance within the specified time period, without providing evidence of insurability. There is a slightly higher cost for a term policy with the conversion priviledge but it is a valuable feature should a policy holder's health change for the worst and continued insurance coverage becomes a necessity. Conversion valueAlso called parity value, the value of a convertible security if it is converted immediately. Convertible priceThe contractually specified price per share at which a convertible security can be Corner A MarketTo purchase enough of the available supply of a commodity or stock in order to Dealer marketA market where traders specializing in particular commodities buy and sell assets for their Debt marketThe market for trading debt instruments. Delivery priceThe price fixed by the Clearing house at which deliveries on futures are in invoiced; also the Derivative marketsmarkets for derivative instruments. Devaluation A decrease in the spot price of the currency
Direct search marketBuyers and sellers seek each other directly and transact directly. Dirty priceBond price including accrued interest, i.e., the price paid by the bond buyer. DLOM (discount for lack of marketability)an amount or percentage deducted from an equity interest to reflect lack of marketability. Dollar price of a bondPercentage of face value at which a bond is quoted. Domestic marketPart of a nation's internal market representing the mechanisms for issuing and trading Effective call priceThe strike price in an optional redemption provision plus the accrued interest to the Efficient capital marketA market in which new information is very quickly reflected accurately in share efficient capital marketsFinancial markets in which security prices rapidly reflect all relevant information about asset values. Efficient Market HypothesisIn general the hypothesis states that all relevant information is fully and Efficient Markets HypothesisThe hypothesis that securities are typically in equilibrium--that they are fairly priced in the sense that the price reflects all publicly available information on the security. Either-way marketIn the interbank Eurodollar deposit market, an either-way market is one in which the bid Emerging marketsThe financial markets of developing economies. Equilibrium market price of riskThe slope of the capital market line (CML). Since the CML represents the Equity marketRelated:Stock market Escalating Price OptionA nonqualified stock option that uses a sliding scale for Eurocurrency marketThe money market for borrowing and lending currencies that are held in the form of Excess return on the market portfolioThe difference between the return on the market portfolio and the Exercise priceThe price at which the underlying future or options contract may be bought or sold. Exercise priceThe price set for buying an asset (call) or selling an asset (put). External marketAlso referred to as the international market, the offshore market, or, more popularly, the Fair market priceAmount at which an asset would change hands between two parties, both having Fair market valueThe price that an asset or service will fetch on the open market. Fair Market ValueThe highest price available, expressed in terms of cash, in an open and unrestricted market between informed, prudent parties acting at arm's length and under no compulsion to transact. Fair priceThe equilibrium price for futures contracts. Also called the theoretical futures price, which equals Fair price provisionSee:appraisal rights. Farm Improvement and Marketing Cooperatives Loans ActSee here Federal funds marketThe market where banks can borrow or lend reserves, allowing banks temporarily Federal Open Market Committee (FOMC)Fed committee that makes decisions about open-market operations. Financial marketAn organized institutional structure or mechanism for creating and exchanging financial assets. financial marketsmarkets in which financial assets are traded. Fixed-income marketThe market for trading bonds and preferred stock. Fixed price basisAn offering of securities at a fixed price. Fixed-price tender offerA one-time offer to purchase a stated number of shares at a stated fixed price, Flat price (also clean price)The quoted newspaper price of a bond that does not include accrued interest. Flat price riskTaking a position either long or short that does not involve spreading. Forced conversionUse of a firm's call option on a callable convertible bond when the firm knows that the Foreign banking marketThat portion of domestic bank loans supplied to foreigners for use abroad. Foreign bond marketThat portion of the domestic bond market that represents issues floated by foreign Foreign equity marketThat portion of the domestic equity market that represents issues floated by foreign companies. Foreign Exchange MarketA worldwide market in which one country's currency is bought or sold in exchange for another country's currency. Foreign marketPart of a nation's internal market, representing the mechanisms for issuing and trading Foreign market betaA measure of foreign market risk that is derived from the capital asset pricing model. Forward Exchange MarketA market in which foreign exchange can be bought or sold for delivery (and payment) at some specified future date but at a price agreed upon now. Forward marketA market in which participants agree to trade some commodity, security, or foreign Fourth marketDirect trading in exchange-listed securities between investors without the use of a broker. Full priceAlso called dirty price, the price of a bond including accrued interest. Related: flat price. Futures marketA market in which contracts for future delivery of a commodity or a security are bought or sold. Futures priceThe price at which the parties to a futures contract agree to transact on the settlement date. Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit. |