Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: financial, credit, financial advisor, money, inventory, business, finance, tax advisor,
Definition of Street name
Describes securities held by a broker on behalf of a client but registered in the name of the Wall street firm.
In mutual funds, the ability to transfer shares between funds in the same family by
Brokers, dealers, underwriters, and other knowledgeable members of the financial community; from
Generic term for firms that buy, sell, and underwrite securities.
Related: Sell-side analyst.
A nickname for the New York Stock Exchange. Also known as The Exchange. More than 2,000
A nickname for the New York stock exchange. Also known as the Big Board. More than
Liquidating an existing position and simultaneously reinstating a position in another futures
Central bank switching of government deposits between the central bank and commercial banks.
an amount or percentage deducted from an equity interest to reflect lack of marketability.
model for calculating DLOM for minority interests r the discount rate
A bond covenant that specifies certain actions the firm must take.
securities certificates issued in the U.S. by a transfer agent acting on behalf of the foreign
For investment companies, the management fee and "other expenses,"
Formal request for funds for capital investment project.
also called surplus management, the task of managing funds of a financial
Number of shares authorized for issuance by a firm's corporate charter.
Checks deposited by a company that have not yet been cleared.
An investment company that invests in stocks and bonds. The same as a balanced mutual fund.
Balanced mutual fund
This is a fund that buys common stock, preferred stock and bonds. The same as a
Base probability of loss
The probability of not achieving a portfolio expected return.
Beta (Mutual Funds)
The measure of a fund's or stocks risk in relation to the market. A beta of 0.7 means
Beta equation (Mutual Funds)
The beta of a fund is determined as follows:
The Treasury and federal agencies are moving to a book-entry system in which securities are not represented by engraved pieces of paper but are maintained in computerized records at the
An individual who is paid a commission for executing customer orders. Either a floor broker who
Broker loan rate
Related: Call money rate.
A market where an intermediary offers search services to buyers and sellers.
Changes in Financial Position
Sources of funds internally provided from operations that alter a company's
Communication barrier between financiers (investment bankers) and traders. This barrier is
The grouping of investors who have a preference that the firm follow a particular financing
An investment company that sells shares like any other corporation and usually does not
A broker on the floor of an exchange acts as agent for a particular brokerage house and
Common stock/other equity
Value of outstanding common shares at par, plus accumulated retained
he written statement that follows any "trade" in the securities markets. Confirmation is issued
Conflict between bondholders and stockholders
these two groups may have interests in a corporation that
Contingent deferred sales charge (CDSC)
The formal name for the load of a back-end load fund.
Contingent pension liability
Under ERISA, the firm is liable to the plan participants for up to 39% of the net
Corporate financial management
The application of financial principals within a corporation to create and
Corporate financial planning
financial planning conducted by a firm that encompasses preparation of both
Cost of funds
Interest rate associated with borrowing money.
Country financial risk
The ability of the national economy to generate enough foreign exchange to meet
Cumulative probability distribution
A function that shows the probability that the random variable will
An entity that stands ready and willing to buy a security for its own account (at its bid price) or sell
Overnight, collateralized loan made to a dealer financing his position by borrowing from a
A market where traders specializing in particular commodities buy and sell assets for their
Over-the-counter options, such as those offered by government and mortgage-backed
IOUs created through loan-type transactions - commercial paper, bank CDs, bills, bonds, and
Depository transfer check (DTC)
Check made out directly by a local bank to a particular firm or person.
The practice of reporting conflicting or markedly different information in official
Swap between two LIBO rates of interest, e.g. yen LIBOR for dollar LIBOR. Payments are
Non-interest-bearing money market instruments that are issued at a discount and
A group of shareholders who prefer that the firm follow a particular dividend policy. For
Dividend yield (Funds)
Indicated yield represents return on a share of a mutual fund held over the past 12
Dupont system of financial control
Highlights the fact that return on assets (ROA) can be expressed in terms
Electronic depository transfers
The transfer of funds between bank accounts through the Automated
Employee stock fund
A firm-sponsored program that enables employees to purchase shares of the firm's
Investment funds established for the support of institutions such as colleges, private
Instruments exempt from the registration requirements of the securities Act of 1933 or the
Federal agency securities
securities issued by corporations and agencies created by the U.S. government,
Non-interest bearing deposits held in reserve for depository institutions at their district Federal
Federal funds market
The market where banks can borrow or lend reserves, allowing banks temporarily
Federal funds rate
This is the interest rate that banks with excess reserves at a Federal Reserve district bank
also called securities analysts and investment analysts, professionals who analyze
Claims on real assets.
The management of a firm's costs and expenses in order to control them in relation to
Events preceding and including bankruptcy, such as violation of loan contracts.
Financial distress costs
Legal and administrative costs of liquidation or reorganization. also includes
Combining or dividing existing instruments to create new financial products.
A contract entered into now that provides for the delivery of a specified asset in exchange
Institutions that provide the market function of matching borrowers and lenders or
Long-term, non-cancelable lease.
Use of debt to increase the expected return on equity. financial leverage is measured by
Financial leverage clientele
A group of investors who have a preference for investing in firms that adhere to
Financial leverage ratios
Related: capitalization ratios.
An organized institutional structure or mechanism for creating and exchanging financial assets.
Objectives of a financial nature that the firm will strive to accomplish during the period
A financial blueprint for the financial future of a firm.
The process of evaluating the investing and financing options available to a firm. It
That portion of the media devoted to reporting financial news.
The result of dividing one financial statement item by another. Ratios help analysts interpret
The risk that the cash flow of an issuer will not be adequate to meet its financial obligations.
Refers to an order to buy or sell that can be executed without confirmation for some fixed period. also,
Firm commitment underwriting
An undewriting in which an investment banking firm commits to buy the
Firm's net value of debt
Total firm value minus total firm debt.
See:diversifiable risk or unsystematic risk.
Fixed-charge coverage ratio
A measure of a firm's ability to meet its fixed-charge obligations: the ratio of
Flat price (also clean price)
The quoted newspaper price of a bond that does not include accrued interest.
A member who is paid a fee for executing orders for clearing members or their customers. A
Foreign exchange dealer
A firm or individual that buys foreign exchange from one party and then sells it to
Annualized percentage difference between spot and forward rates.
Forward Fed funds
Fed funds traded for future delivery.
Fully diluted earnings per shares
Earnings per share expressed as if all outstanding convertible securities
Set of funds with different investment objectives offered by one management company. In many
Security analysis that seeks to detect misvalued securities by an analysis of the firm's
The product of a statistical model to predict the fundamental risk of a security using not
In the model for calculating fundamental beta, ratios in risk indexes other than
Debt maturing after more than one year.
The ratio of a pension plan's assets to its liabilities.
Related: interest rate risk
Funds From Operations (FFO)
Used by real estate and other investment trusts to define the cash flow from
A mutual fund that can invest anywhere in the world, including the U.S.
Negotiable U.S. Treasury securities.
A fund that may employ a variety of techniques to enhance returns, such as both buying and
High-coupon bond refunding
Refunding of a high-coupon bond with a new, lower coupon bond.
A mutual fund providing for liberal current income from investments.
Investment fund designed to match the returns on a stockmarket index.
A mutual fund that can invest only outside the United States.
International Monetary Fund
An organization founded in 1944 to oversee exchange arrangements of
Intrinsic value of a firm
The present value of a firm's expected future net cash flows discounted by the
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.