Forward Cover Sale or purchase of forward foreign currency so as to balance out a predictable future flow of cash inwards or outwards. … [Read more...]
Archives for 2010
Forward Delivery
Filed Under: f by
Forward Delivery Transactions where the actual settlement occurs on a predetermined future date and price for such transaction is determined at that time. … [Read more...]
Forward Differential
Filed Under: f by
Forward Differential Percentage difference in annualized form between forward and rates. … [Read more...]
Forward Discount
Filed Under: f by
Forward Discount A situation wherein forward price is lower than the spot price of a currency. … [Read more...]
Forward Earnings
Filed Under: f by
Forward Earnings Estimated, earnings of a company as predicted by analysts or from sources within the company. Different from trailing earnings owing to the fact that these are mere expectations and not actual figures. … [Read more...]
Forward Exchange Rate
Filed Under: f by
Forward Exchange Rate Rate of exchange fixed in present day for actual exchange at a date in future. … [Read more...]
Forward Fed Funds
Filed Under: f by
Forward Fed Funds Federal funds traded for delivery at future dates. … [Read more...]
Forward Forward Contract
Filed Under: f by
Forward Forward Contract Term used in Eurocurrencies. Refers to contracts where a fixed term deposit is agreed upon for future delivery at fixed price. … [Read more...]
Forward Interest Rate
Filed Under: f by
Forward Interest Rate Rate of interest fixed in current time for a loan that will be made in future. … [Read more...]
Forward Looking Multiple
Filed Under: f by
Forward Looking Multiple Abridged expression for a Price/Earnings ratio. Based on expected or forward earnings instead of earnings seen historically. … [Read more...]
Forward Points
Filed Under: f by
Forward Points Basis points used for determination of forward rate. By adding or removing these basis points from spot rate, the forward rate is calculated. … [Read more...]
Forward Premium
Filed Under: f by
Forward Premium Trades in any currency where spot price is lower than forward price. … [Read more...]
Forward Rate
Filed Under: f by
Forward Rate Future interest rates projected based on the yield curve or spot rates. … [Read more...]
Forward Rate Agreement (FRA)
Filed Under: f by
Forward Rate Agreement (FRA) A formal agreement to lend or borrow funds at an interest rate determined at present. The actual borrowing or lending is carried out on a predetermined future date. … [Read more...]
Forward Sale
Filed Under: f by
Forward Sale A price hedge carried out to reduce risk. It encompasses an agreement between investor and lender to sell specific loan types at a specified future date and price. … [Read more...]
Forward Trade
Filed Under: f by
Forward Trade Transaction wherein the settlement shall take place at a given future date. The price is to be agreed upon at the time of the actual transaction. … [Read more...]
Fourth Market
Filed Under: f by
Fourth Market Trading of exchange-listed securities directly between various investors where broker’s services are not used. … [Read more...]
Fractional Share
Filed Under: f by
Fractional Share Equity share that is less than a full share. Usually come about when stock splits are announced or from dividend reinvestment plans. Generally, such shares are not available directly in the market. … [Read more...]
Freddie Mac (Federal Home Loan Mortgage Corporation)
Filed Under: f by
Freddie Mac (Federal Home Loan Mortgage Corporation)m Corporation created by Congress charter that buys residential mortgages from S&Ls, mortgage bankers and banks in the secondary market. These are then sold in the capital markets after securitization. … [Read more...]
Free Cash Flows
Filed Under: f by
Free Cash Flows Funds that are not needed for operations or reinvestment. Earnings before interest (present in income statement along with operating income) minus capital expenditures minus the working capital change. … [Read more...]
