Strong-Form Efficiency

Strong-Form Efficiency The highest form of pricing efficiency where a security’s price reflects all public and private information about it. Random Finance Terms for the Letter S Street Name Strike Index Strike Price Strip Mortgage Participation Certificate (Strip … [Read more...]

Structured Arbitrage Transaction

Structured Arbitrage Transaction A series of self-financed, self-hedged transactions where the primary assets utilized are mortgage securities. Random Finance Terms for the Letter S Street Name Strike Index Strike Price Strip Mortgage Participation Certificate (Strip … [Read more...]

Structured Portfolio Strategy

Structured Portfolio Strategy Design of a portfolio such that the expected returns match the pre-determined liabilities that have to be paid in the future. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured Settlement Subject Subject to … [Read more...]

Structured Settlement

Structured Settlement In a lawsuit settlement, it is an agreement that involves making specific payments over a certain time duration. Companies sometimes purchase insurance policies to cover the risks and costs of structured settlements, in case of an eventuality. Random … [Read more...]

Subject

Subject An offer or bid that requires a confirmation from the customer before it can be executed. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured Settlement Subject Subject to Opinion Subjective Probabilities Subordinated Debenture … [Read more...]

Subject to Opinion

Subject to Opinion Auditor’s opinion that the company’s financial statements are fairly presented subject to future uncertainties that cannot be estimated, measured or provided at the time the opinion is provided. Random Finance Terms for the Letter S Structured … [Read more...]

Subjective Probabilities

Subjective Probabilities Determination of probabilities subjectively, using personal judgment and past experience as opposed to statistical samplings and formal calculations. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured … [Read more...]

Subordinated Debenture Bond

Subordinated Debenture Bond Unsecured bonds that have a lower priority than other debt. In a bankruptcy/liquidation process, such bonds will be repaid after secured debts, debenture bonds and other creditors have been repaid. Random Finance Terms for the Letter … [Read more...]

Subordinated Debt

Subordinated Debt In a bankruptcy process, the senior debt holds priority over the subordinated debt. Only after the senior debt has been paid off will the subordinated debtholders get payments. Random Finance Terms for the Letter S Structured Portfolio … [Read more...]

Subordination Clause

Subordination Clause In a debt contract, it is a clause that states that the current debt in the contract will be prioritized over all other debts should the debtor go bankrupt in the future. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured … [Read more...]

Subpart F

Subpart F A category of unearned income from a foreign source, which is presently taxed by the IRS regardless of whether or not it is sent back to the United States. Random Finance Terms for the Letter S Structured Portfolio Strategy Structured … [Read more...]

Subprime Loan

Subprime Loan A loan offered to a high risk borrower with a poor credit history. Such loans are offered at above prime rates, as borrowers do not qualify for prime rates. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute … [Read more...]

Subscription Price

Subscription Price In a rights issue, it is the price that shareholders can pay for one share of stock. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution Swap Sum-Of-The-Years-Digits Depreciation Sunk … [Read more...]

Subsidiary

Subsidiary A company that is fully or partially owned by a larger corporation. More than 50% of a wholly owned subsidiary’s stock is held by the parent company. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute … [Read more...]

Substitute Sale

Substitute Sale The sale of interest rate futures or a short-sale of securities to hedge price risk. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution Swap Sum-Of-The-Years-Digits Depreciation Sunk … [Read more...]

Substitution Swap

Substitution Swap A money manager may swap one bond for another which has the same maturity, credit quality and other terms, but has a higher yield/return. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution … [Read more...]

Sum-Of-The-Years-Digits Depreciation

Sum-Of-The-Years-Digits Depreciation A technique of accelerated depreciation, where bigger deductions for depreciation are made for an asset in early years. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution … [Read more...]

Sunk Costs

Sunk Costs Money that the company has already spent or the cost incurred that is irreversible. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution Swap Sum-Of-The-Years-Digits Depreciation Sunk Costs Super … [Read more...]

Super Hedging

Super Hedging It is hedging strategy involving high risk because hedging of positions is done through self financing. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution Swap Sum-Of-The-Years-Digits … [Read more...]

Supermajority

Supermajority A requirement as laid down in a company’s charter, that certain changes require the approval of a majority (say 65%-90%) of shareholders. Random Finance Terms for the Letter S Subprime Loan Subscription Price Subsidiary Substitute Sale Substitution … [Read more...]