Factor Portfolio

definition

Factor Portfolio Adequately and highly diversified portfolio constructed so as to have a beta of 1.0 over one factor and on other factors, beta of zero. … [Read more...]

Face value

definition

Face value See: Par value. Amount stated on bond/ stock certificate. … [Read more...]

Factor

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Factor Buyer of a company’s accounts receivables, who/ that also collects the debts. Normally, a financial institution carries out these activities. … [Read more...]

Factor Analysis

definition

Factor Analysis A procedure used in statistics that analyses a specific phenomenon. For example, an explanation for return on a common stock, given on basis of behavior of a class of factors that are predictive. … [Read more...]

Factor Model

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Factor Model Method used in breaking up the factors that impact a security's return rate into common influences and company -specific ones. … [Read more...]

Factory Orders

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Factory Orders Economic indicator showing the dollar value of fresh factory orders for durable and non-durable goods. The report is released by the Commerce Department’s Census Bureau every month and generally follows the durable goods orders report. … [Read more...]

Factoring

definition

Factoring The purchase of a company’s accounts receivable by a factor (financial institution). … [Read more...]

Fail

definition

Fail A fail occurs in a trade when the seller does not on deliver securities in the form agreed upon in the contract or buyer does not deliver funds in the form agreed upon in the contract. … [Read more...]

Fair Game

definition

Fair Game Zero risk premium investment prospect. … [Read more...]

Fair Market Price

definition

Fair Market Price Also called market price. Price at which the asset changes hands between parties who both have knowledge of all relevant information. … [Read more...]

Fair Price

definition

Fair Price Also termed theoretical futures price. Price of futures contracts that is deemed equilibrium price, equaling spot price when it is continuously compounded at the rate of cost of carry for a given period. … [Read more...]

Fair Price Provision

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Fair Price Provision Refer: appraisal rights. Shareholders’ rights to ask for independently appraised fair price for shares in a merger. … [Read more...]

Fair and Accurate Credit Transactions Act – FACTA

definition

Fair and Accurate Credit Transactions Act – FACTA Year 2003 U.S. resolution that aims to enhance protection measures for identity theft. It creates standards for handling sensitive data like credit card numbers. This act has established a nationwide alerts system and allows … [Read more...]

Fair-and-Equitable Test

definition

Fair-and-Equitable Test Requirements that are needed for a reorganization plan and are necessary for gaining the bankruptcy court’s approval. … [Read more...]

Fallout risk

definition

Fallout risk Mortgage pipeline risk generally arising when loans terms are established at the time that the sale terms are finalized. Risk arises from the chance that either party fails to complete the loan process or fails to close the loan. … [Read more...]

FASB

definition

FASB Stands for Financial Accounting Standards Board. Creates and establishes accounting standards that apply over businesses in the U.S. … [Read more...]

FASB No. 8

definition

FASB No. 8 Accounting standard (U.S.) that stipulated that firms should translate any foreign affiliates' accounts using the temporal method. Profits and losses arising from currency fluctuations were shown under current income. The rule was in force from 1975 to 1981 and was highly … [Read more...]

FASB No. 52

definition

FASB No. 52 An accounting standard used in the U.S. to replace the previously used FASB No. 8. Companies in U.S. need to translate overseas accounts by the prevailing rate and report any changes arising from currency fluctuations in a consolidated cumulative adjustment account. This … [Read more...]

FCIA

definition

FCIA Stands for Foreign Credit Insurance Association. U.S. consortium with private ownership that comprises of insurance companies. The FCIA provides trade credit insurance to exporters in U.S. in accordance with U.S. Export-Import Bank regulations. … [Read more...]

FCC

definition

FCC Stands for Federal Communications Commission – FCC, an independent U.S. government regulatory agency. It oversees all communications carried out at interstate and international level. The FCC maintains standards and consistency among various types of media and methods of … [Read more...]