Floating-Rate Contract Contract for investment that is guaranteed and has a credit rating that is linked to a floating rate of interest benchmark. A Treasury yield of a specific maturity may be used as benchmark. … [Read more...]
Floating-Rate Note (FRN)
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Floating-Rate Note (FRN) A note that carries variable interest payment that is linked to short-term rates of interest. … [Read more...]
Floating-Rate Payer
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Floating-Rate Payer Term used with interest rate swaps. Refers to the counterparty paying the rate based on the reference rate. Normally a fixed-rate payment is made in exchange. … [Read more...]
Floating-Rate Preferred
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Floating-Rate Preferred Dividend paying preferred stock wherein the dividend varies in line with interest rates for short term investments. … [Read more...]
Floor Broker
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Floor Broker Exchange member who gets a fee for execution of orders given by clearing members or customers of such members. Such a broker requires CFTC license. … [Read more...]
Floor Loan
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Floor Loan In construction business, the minimum amount that can be taken from lenders by the builder to start his project. Floor loans are used in relation to buildings that will be occupied by tenants. … [Read more...]
Floor Planning
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Floor Planning Inventory finance arrangement. A finance company purchases inventory, and this is then given to the user to be held in trust. … [Read more...]
Floor Trader
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Floor Trader Also termed as "local". Exchange member who normally trades for himself, or an account that he controls or who instructs that such trades be made. … [Read more...]
Flower Bond
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Flower Bond Bonds issued by the Government and owned by a deceased individual at the time of death, which are accepted at par to fulfill federal estate taxes payable. … [Read more...]
Flow-Through Basis
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Flow-Through Basis Accounting system used for presenting all benefits in income statement of the credit in the acquisition year, instead of spreading them over the acquired asset’s life. … [Read more...]
Flow-Through Method
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Flow-Through Method System used in presenting financial statements to shareholders. Here, straight-line depreciation is used for shareholder reporting and accelerated depreciation is used for tax purposes. Lower income taxes paid are ‘flowed thru’ in the statements. … [Read more...]
Force Majeure Risk
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Force Majeure Risk Risk arising from the fact that operations may be interrupted for a significant period due to Acts of God like flood, fire, storm, or other factors that cannot be controlled by the sponsors of a financed project. … [Read more...]
Foreign Bank Supervision Enhancement Act – FBSEA
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Foreign Bank Supervision Enhancement Act - FBSEA 1991 Act that enhanced the authority of the Federal Reserve over foreign banks seeking entry into the U.S. Under the provision of this act, the Fed can supervise authorization to such banks during application stage and also supervise … [Read more...]
Foreign Banking Market
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Foreign Banking Market Share of domestic bank loans that is supplied for overseas use to foreigners. … [Read more...]
Foreign Bond
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Foreign Bond Bond issued by overseas borrower in domestic markets, denominated in the domestic currency. … [Read more...]
Foreign Bond Market
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Foreign Bond Market Segment of bond market in home country that represents foreign company issues made to governments. … [Read more...]
Foreign Currency Option
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Foreign Currency Option Option giving the right to sell or purchase a given sum of foreign currency in a time period at a predetermined price. … [Read more...]
Foreign Direct Investment (FDI)
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Foreign Direct Investment (FDI) Acquisition of physical assets overseas, including factory, equipment, machinery. The operating control rests with the parent entity. … [Read more...]
Foreign Earned Income Exclusion
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Foreign Earned Income Exclusion Income earned from foreign source that can be legally excluded from taxation in home country. Such exclusion can only be availed of by individuals fulfilling the foreign residence/ physical presence rules, who own a tax home in an overseas location, … [Read more...]
