48-Hour Rule PSA Uniform Practices rule that all pool information in To-Be-Announced (TBA) transactions be informed to buyers by the seller 48-hours before the agreed date of trade. … [Read more...]
Forward Contract
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Forward Contract Transaction where delivery of the commodity occurs after the contract is made. Such contracts are non-standardized and cannot be traded on organized exchanges. The actual delivery takes place in future, but during the initial trade the price is established. … [Read more...]
Forward Cover
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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...]
Forward Delivery
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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
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Forward Differential Percentage difference in annualized form between forward and rates. … [Read more...]
Forward Discount
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Forward Discount A situation wherein forward price is lower than the spot price of a currency. … [Read more...]
Forward Earnings
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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
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Forward Exchange Rate Rate of exchange fixed in present day for actual exchange at a date in future. … [Read more...]
Forward Fed Funds
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Forward Fed Funds Federal funds traded for delivery at future dates. … [Read more...]
Forward Forward Contract
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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
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Forward Interest Rate Rate of interest fixed in current time for a loan that will be made in future. … [Read more...]
Forward Looking Multiple
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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
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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
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Forward Premium Trades in any currency where spot price is lower than forward price. … [Read more...]
Forward Rate
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Forward Rate Future interest rates projected based on the yield curve or spot rates. … [Read more...]
Forward Rate Agreement (FRA)
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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
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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
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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
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Fourth Market Trading of exchange-listed securities directly between various investors where broker’s services are not used. … [Read more...]
Fractional Share
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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...]
