Economic Think Tank

Economic Think Tank Organization that analyses and reports on economic issues. Primarily focus is on development of proper, effective strategies and policies that will help the economy. These organizations may be run on private funds. … [Read more...]

Economic Union

Economic Union Formal understanding between countries that facilitates free flow of labor, capital, services and goods, and encompasses fusion and harmonization of policies that are social, monetary or fiscal. … [Read more...]

Economies of Scale

Economies of Scale Decline in the production related marginal cost when the scale of business operations of a firm increases. … [Read more...]

Economies of Scope

Economies of Scope A situation in an economy wherein one investment is able to support several profitable activities at a lower cost when they are grouped together than when undertaken singly. … [Read more...]

Economist

Economist Experts who undertake studies of the society's resources and its relationship to production or output. These may be small local communities, nations or worldwide economies. The findings help design policies pertaining to interest rates, taxation, employment schemes, … [Read more...]

EDGAR

EDGAR Stands for Electronic Data Gathering, Retrieval system. This system is used by the SEC to transmit documents required in filings by companies. … [Read more...]

Edge Corporations

Edge Corporations Banking institutions, chartered by U.S. Federal Reserve and authorized by it. Such corporations carry out transactions with a foreign or worldwide characteristic. Interstate banking restrictions do not apply on such corporations. Foreign banks with operations in … [Read more...]

Effective Annual Interest Rate

Effective Annual Interest Rate Yearly measure of money in terms of time value that reflects the compounding effects entirely. … [Read more...]

Effective Annual Yield

Effective Annual Yield Rate of interest obtainable on securities, in annualized form, determined using techniques pertaining to compound interest calculations. … [Read more...]

Effective Call Price

Effective Call Price In optional redemption provisions, strike price quoted in the option plus the interest accrued up to the date of redemption. … [Read more...]

Effective Convexity

Effective Convexity Bond convexity calculated by making use of fund flows that fluctuate as yield changes. … [Read more...]

Effective Date

Effective Date The date when a swap begins to accrue interest, in the context of interest rate swaps. … [Read more...]

Effective Debt

Effective Debt The entire outstanding debt of a company. The figure also includes, in capitalized form, any regular payments made by the company in addition to standard debt borne by it. … [Read more...]

Effective Duration

Effective Duration Calculation of duration for an embedded option bond through the formula for determining approximate duration. The duration thus calculated reflects the expectation of fluctuation in cash flow owing to the existence of the option. Evaluates the sensitivity of price … [Read more...]

Effective Margin (EM)

Effective Margin (EM) Term used in measuring SAT performance. Refers to amount equaling the net spread earned/ margin of income derived from the assets that is earned above and beyond costs of financing for a particular given rate of prepayment and interest. … [Read more...]

Effective Rate

Effective Rate Evaluation of money in terms of its time value when effects of interest rate compounding are fully reflected. … [Read more...]

Efficiency

Efficiency Denotes the energy wasted in any process. … [Read more...]

Efficient Capital Market

Efficient Capital Market Markets where the prices of shares accurately reflect fresh information immediately after such information is disseminated. … [Read more...]

Efficient Diversification

Efficient Diversification Principle that states that risk-wary investors will look for the maximum expectation in terms of return for risk of any level in the portfolio. This principle forms the basis of modern portfolio theory. … [Read more...]

Effective Duration

Effective Duration Calculation method for bonds with embedded options. Assumption is that expected cash flows will show fluctuation in sync with changes in interest rates. … [Read more...]