![]() |
|
Financial Terms | |
Variable rated demand bond (VRDB) |
Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: investment, tax advisor, business, payroll, financial, finance, financial advisor, money, Also see related: home financing, homes, homebuyer, property, mortgage, homebuying, condo, home, insurance, |
Definition of Variable rated demand bond (VRDB)Variable rated demand bond (VRDB)Floating rate bond that can be sold back periodically to the issuer.
Related Terms:Accelerated cost recovery system (ACRS)Schedule of depreciation rates allowed for tax purposes. Accelerated depreciationAny depreciation method that produces larger deductions for depreciation in the accelerated depreciation(1) The estimated useful life of the fixed asset being depreciated is Accelerated depreciationAny of several methods that recognize an increased amount Accrual bondA bond on which interest accrues, but is not paid to the investor during the time of accrual. Aggregate DemandTotal quantity of goods and services demanded. Aggregate Demand CurveCombinations 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. ![]() Bearer bondbonds that are not registered on the books of the issuer. Such bonds are held in physical form by Bondbonds are debt and are issued for a period of more than one year. The U.S. government, local BONDA long-term, interest-bearing promissory note that companies may use to borrow money for periods of time such as five, ten, or twenty years. BondA long-term debt instrument in which the issuer (borrower) is bondSecurity that obligates the issuer to make specified payments BondA financial asset taking the form of a promise by a borrower to repay a specified amount (the bond's face value) on a maturity date and to make fixed periodic interest payments. BondUsually a fixed interest security under which the issuer contracts to pay the lender a fixed principal amount at a stated date in the future, and a series of interest payments, either semi-annually or annually. Interest payments may vary through the life of bond. bondA debt security issued by a government or company. You receive regular interest payments at specified rates while you hold the bond and you receive the face value when it matures. Short-term bonds mature in less than five years; medium-term bonds mature in six to ten years; and long-term bonds mature in eleven years or greater. BondFixed interest security issued by a corporation or government, having a specific maturity date. ![]() Bond agreementA contract for privately placed debt. Bond covenantA contractual provision in a bond indenture. A positive covenant requires certain actions, and Bond-equivalent basisThe method used for computing the bond-equivalent yield. Bond equivalent yieldbond yield calculated on an annual percentage rate method. Differs from annual Bond-equivalent yieldThe annualized yield to maturity computed by doubling the semiannual yield. Bond Equivalent Yieldbond yield calculated on an annual percentage rate method Bond indentureThe contract that sets forth the promises of a corporate bond issuer and the rights of Bond indexingDesigning a portfolio so that its performance will match the performance of some bond index. Bond pointsA conventional unit of measure for bond prices set at $10 and equivalent to 1% of the $100 face Bond valueWith respect to convertible bonds, the value the security would have if it were not convertible BONDPARA system that monitors and evaluates the performance of a fixed-income portfolio , as well as the ![]() Bonds payableAmounts owed by the company that have been formalized by a legal document called a bond. Brady bondsbonds issued by emerging countries under a debt reduction plan. Bull-bear bondbond whose principal repayment is linked to the price of another security. The bonds are Bulldog bondForeign bond issue made in London. Callable bondA bond that allows the issuer to buy back the bond at a callable bondbond that may be repurchased by the issuer before maturity at specified call price. Canada Savings BondsA bond issued each year by the federal government. These bonds can be cashed in at any time for their full face value. Collateral trust bondsA bond in which the issuer (often a holding company) grants investors a lien on Completion bondingInsurance that a construction contract will be successfully completed. computer integrated manufacturing (CIM)the integration of two or more flexible manufacturing systems through the use of a host computer and an information networking system Conflict between bondholders and stockholdersThese two groups may have interests in a corporation that Continuous random variableA random value that can take any fractional value within specified ranges, as convertible bondbond that the holder may exchange for a specified number of shares. Convertible bondsbonds that can be converted into common stock at the option of the holder. Convertible eurobondA eurobond that can be converted into another asset, often through exercise of Corporate bondsDebt obligations issued by corporations. Coupon BondAny bond with a coupon. Contrast with discount bond. Cushion bondsHigh-coupon bonds that sell at only at a moderate premium because they are callable at a Debenture bondAn unsecured bond whose holder has the claim of a general creditor on all assets of the decision variablean unknown item for which a linear programming Deep-discount bondA bond issued with a very low coupon or no coupon and selling at a price far below par DemandAn amount desired, in the sense that people are willing and able to pay to obtain this amount. Always associated with a given price. Demand DepositA bank deposit that can be withdrawn on demand, such as a deposit in a checking account. Demand depositsChecking accounts that pay no interest and can be withdrawn upon demand. Demand line of creditA bank line of credit that enables a customer to borrow on a daily or on-demand basis. Demand LoanA loan which must be repaid in full on demand. Demand Management PolicyFiscal or monetary policy designed to influence aggregate demand for goods and services. Demand master notesShort-term securities that are repayable immediately upon the holder's demand. Demand-Pull InflationInflation whose initial cause is excess demand rather than cost increases. See also cost-push inflation. Demand shockAn event that affects the demand for goods in services in the economy. dependent variablean unknown variable that is to be predicted Discount bondDebt sold for less than its principal value. If a discount bond pays no interest, it is called a Discount BondA bond with no coupons, priced below its face value; the return on this bond comes from the difference between its face value and its current price. Discrete random variableA random variable that can take only a certain specified set of discrete possible Dollar bondsMunicipal revenue bonds for which quotes are given in dollar prices. Not to be confused with Dollar price of a bondPercentage of face value at which a bond is quoted. Endogenous variableA value determined within the context of a model. Equivalent bond yieldAnnual yield on a short-term, non-interest bearing security calculated so as to be EurobondA bond that is (1) underwritten by an international syndicate, (2) offered at issuance EurobondA debt security issued in a market other than the home market of eurobondbond that is marketed internationally. Eurodollar bondsEurobonds denominated in U.S.dollars. Euroyen bondsEurobonds denominated in Japanese yen. Excess DemandA situation in which demand exceeds supply. Exogenous variableA variable whose value is determined outside the model in which it is used. Also called Extendable bondbond whose maturity can be extended at the option of the lender or issuer. Flower bondGovernment bonds that are acceptable at par in payment of federal estate taxes when owned by Foreign bondA bond issued on the domestic capital market of anther company. Foreign bond marketThat portion of the domestic bond market that represents issues floated by foreign Full coupon bondA bond with a coupon equal to the going market rate, thereby, the bond is selling at par. General obligation bondsMunicipal securities secured by the issuer's pledge of its full faith, credit, and Global bondsbonds that are designed so as to qualify for immediate trading in any domestic capital market Government bondSee: Government securities. Hedging demandsdemands for securities to hedge particular sources of consumption risk, beyond the usual High-coupon bond refundingRefunding of a high-coupon bond with a new, lower coupon bond. High-yield bondSee:junk bond. Income bondA bond on which the payment of interest is contingent on sufficient earnings. These bonds are independent variablea variable that, when changed, will Indexed bondbond whose payments are linked to an index, e.g. the consumer price index. Industrial revenue bond (IRB)bond issued by local government agencies on behalf of corporations. Insured bondA municipal bond backed both by the credit of the municipal issuer and by commercial internally generated fundsCash reinvested in the firm; depreciation plus earnings not paid out as dividends. International bondsA collective term that refers to global bonds, Eurobonds, and foreign bonds. Investment grade bondsA bond that is assigned a rating in the top four categories by commercial credit Junk bondA bond with a speculative credit rating of BB (S&P) or Ba (Moody's) or lower is a junk or high junk bondbond with a rating below Baa or BBB. key variablea critical factor that management believes will Level-coupon bondbond with a stream of coupon payments that are the same throughout the life of the bond. Limited-tax general obligation bondA general obligation bond that is limited as to revenue sources. Long bondsbonds with a long current maturity. The "long bond" is the 30-year U.S. government bond. Long bondsbonds with a long current maturity. The "long bond" is the 30-year U.S. government bond. Low-coupon bond refundingRefunding of a low coupon bond with a new, higher coupon bond. Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit. |