10-K It is the company annual report required by Securities Exchange Commission, which needs to be filed within 3 months of the end of fiscal year. It gives a comprehensive view of the company’s business performance. … [Read more...]
12b-1 Funds
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12b-1 Funds These are mutual funds that levy no back end or upfront commission. To cover the costs of marketing and selling, they instead keep up to 1.25% of daily assets of the funds every year. This arrangement is valid according to SEC regulations. … [Read more...]
12B-1 Fees
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12B-1 Fees The mutual fund assets’ percentage used to bear the distribution and marketing expenses. This free is generally mentioned in the fund’s sales statement or prospectus. There are some true ‘no load’ funds, which do not have either 12B-1 fees or a sales charge. … [Read more...]
Spectail
Filed Under: s by
Spectail A securities dealer who is more focused on funding and getting his/her own speculative positions and also engages in retail on the side. Random Finance Terms for the Letter S Soft Dollars Sole Proprietorship Sovereign Risk Span Special Dividend Special … [Read more...]
EAD- Exposure at Default
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EAD- Exposure at Default The total exposure a bank faces at default. Every underlying exposure is assigned an EAD value within a bank's internal system. Using the IRB method, banks determine their EAD systems using their own default models for risk management. … [Read more...]
Subperiod Return
Filed Under: s by
Subperiod Return An investment/portfolio return over a time period that is shorter than evaluation period set by the money manager. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured Settlement Subject Subject to Opinion Subjective … [Read more...]
APY- Annual Percentage Yield
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APY- Annual Percentage Yield Effective annual return rate, when compounding effect is accounted for. Calculated as one plus the periodic return rate and raising it to total number of periods over the year. … [Read more...]
Negative Pledge Clause
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Negative Pledge Clause Stipulation or covenant in a bond requiring borrower or issuer to give lenders a claim or lien that equals what is offered to current unsecured lenders in future. … [Read more...]
Derivative Markets
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Derivative Markets Marketplace where derivative instruments are traded. … [Read more...]
Term Insurance
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Term Insurance No cash value is built through investments and offers only death benefit. Random Finance Terms for the Letter T Term Bonds Tenor Term Fed Funds Term Life Insurance Term Loan Term Insurance Term Repo Term Structure of Interest Rates Term to … [Read more...]
Performance Shares
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Performance Shares Proportion of stock disbursed to managers as a reward for performance. Performance is measured in terms of earnings per share and other parameters. Helps motivate management to actively work towards the goal of shareholders in improving business. … [Read more...]
Settlement Rate
Filed Under: s by
Settlement Rate A FASB 87 suggested rate to discount a pension plan’s obligations. Pension benefits can be settled off at this rate in the case of termination of pension obligation. Random Finance Terms for the Letter S Settlement Rate Settlement Risk Seykota … [Read more...]
Leading Economic Indicators
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Leading Economic Indicators Data pertaining to or signifying economic factors, that rise or fall before the rest of the economy follows suit. … [Read more...]
Delivery Options
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Delivery Options Options such as timing option, quality option and wild card option that the seller of a future contract with interest rates can use. There is uncertainty in the exact kind of T bond delivered or exact date owing to delivery options. … [Read more...]
Liability Driven Investment – LDI
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Liability Driven Investment - LDI Investing strategy where primary goal is to invest in sufficient assets to meet all current and future liabilities. Commonly found with defined-benefit pension plans. … [Read more...]
Yield Spread Strategies
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Yield Spread Strategies Tactics using which a portfolio is positioned to take advantage of anticipated changes in spread of yields between different bond market sectors. Random Finance Terms for the Letter Y Yankee Bonds Yankee CD Yankee Market Yard Yield Yield … [Read more...]
Passive Portfolio Strategy
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Passive Portfolio Strategy Investment strategy aiming at diversifying the portfolio in line with an index to ensure good returns. Here securities are simply chosen to match the index rather than on any study of their future prospects. For e.g.: a portfolio consisting of all S&P 500 … [Read more...]
Yield to Maturity
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Yield to Maturity Rate of return (in percentage) paid on a note, fixed income security or bond if it is bought and held till its maturity date. It is based on the assumption that the coupon interest paid over the bond’s life shall be reinvested at a similar rate. YTM is calculated … [Read more...]
Loan Amortization Schedule
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Loan Amortization Schedule The due dates specified under a schedule for a loan for making interest and principal repayments. … [Read more...]
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