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Definition
| loan to a firm, government, or individual |
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| securities selling for less than par value |
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| discounted debt insgtruments issued by the U.S. government |
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Definition
| an arrangement where one firm sells some of its financial assets to another firm with a promise to repurshcase the securites at a later date. |
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Definition
| overnight loans from one bank to another |
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Term
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Definition
| an instrument issued by a bank that obligates the bank to pay a specifed amount at some future date. |
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Definition
| a discounted instrument that is a type of promissory note, or leagal, IOU, issued by large, finanacially sound firms. |
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Definition
| an interest-earning time deposit at a bank or other financial intermediary. |
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Definition
| certificate of deposit that can be traded to other investors prior to maturity; redelption is made by the investor who owns the cd at maturity. |
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Definition
| a deposit in af oreign bnak that is denominated in u.s. dollars. |
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Term
| noney market mutual funds |
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Definition
| pools of funds managed by investment companies that are primarily invested in short-term financial assets. |
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Term
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Definition
| a loan, generally obtained from a bank or insurance company, on which the borrower agrees to make as eries of payments consisting of interest and principal |
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Term
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Definition
| a long-term debt instrument |
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Term
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Definition
| interst paid on a bond or other deb instrument stated as a percentage of its face, or maturity, value. |
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Term
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Definition
| debt issued by federal state, or local governments |
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Term
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Definition
| bond issued by state or local governments. |
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Term
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Definition
| a municipal bond that gernerates revenue, which in turn can be used to make interest payments and repay the principal |
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Term
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Definition
| a municipal bond backed by the local government's ability to impose taxes. |
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Term
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Definition
| long-term debt instruments issued by corporations |
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Term
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Definition
| long-term bond that is not secured by a mortgage on specific property. |
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Term
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Definition
| a bond that has a claim on assets only after the senior debt has been paid off in the event of liquidation. |
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Term
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Definition
| a bond that pays interest to the holder only if the interest is earned by the firm |
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Term
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Definition
| a bond that can be redeemed at the bondholder's option |
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Term
| indexed (purchasing power) bond |
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Definition
| a obond that has interst payments based on an inflation index to protect the holder from inflation. |
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Term
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Definition
| a bond that pays no annual interst but is sold at a dicoutn below par thus providing compensation to investors in the form of capital appreciation. |
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Term
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Definition
| a high-risk, high-yield bond used to finance mergers, leveraged buyouts, and troubled companies. |
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Term
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Definition
| a formal agreement between th issuer of a bond and the bondholders |
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Term
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Definition
| an official who ensures that the bondholders' interests are protected and that the ters of the indenture are carreid out. |
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Term
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Definition
| a provision in a debt contract that constrains the actinos of the borrower. |
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Term
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Definition
| a provision in a bond contract that gives the issuer the right to redeem the bonds under specified terms prior to the normal maturity date. |
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Term
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Definition
| a requried anual payment designed to amortize a bond or preferred stock issue. |
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Term
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Definition
| permits bondholders to exchange their inestmnets for a fixed number of shares of common stock. |
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Term
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Definition
| a bond rated A or triple-B; many banks and oher institutional investor s are permitted by law to hold only bonds rated investment-grade or better. |
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Term
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Definition
| a protective feature on preferred stock that requires preferred dividends previously not paid to be disbursed before any common stock dividends can be paid. |
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Term
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Definition
| the amount in ecess of par value that a company must pay when it calls a security. |
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Term
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Definition
| stocks of firms that traditionally pay large, relatively constant dividends each year |
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Term
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Definition
| stocks that generally pay little or no dividends as to retain earnings to help fund growth opportunities. |
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Term
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Definition
| a document giving one person the authority to act for another, typically the power to vote shares of common stock. |
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Term
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Definition
| an attempt by a person or group of people to gain control of a firm by getting its stockholders to grant that person or group the authority to vote their shares so as to change the management team. |
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Term
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Definition
| an aaction whereby a person or group succeeds in outsting a firm's management and taking control of the company. |
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Term
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Definition
| a provision in the corporate charter or bylaws that gives common stockholders the right to purchase on a pro rata basis new issues of comon stock. |
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Term
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Definition
| common stock that is given a special designation, such as class a, class b and so forth to meet special needs of the ocmpany. |
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Term
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Definition
| stock owned by the firm's founders that has sole voting rights but generally pays out only restricted dividends fo ra specified number of years |
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Term
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Definition
| financial assets whos values depend on the values of other assets, such as stocks or bonds |
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Term
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Definition
| a contract that gives the option holder the right to buy or sell an asset at some predetermined price within a specified period of time |
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Term
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Definition
| an option to buy shares of stock at a certain price within a secified time |
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Term
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Definition
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Term
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Definition
| the price that must be paid for a share of common stock when an option is exercised |
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Term
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Definition
| a security usually a bond or preferred stock that is exchangeable at the option of the holder for the common stock of the issuing firm. |
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Term
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Definition
| an arragnement for delivery of an intem at some date in the future wehre deliery detailes are determined when the contract is created. |
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Term
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Definition
| an agreement to exchange or swap cash flows or assets at some time in the future. |
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Term
| American depository receipts (ADRs) |
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Definition
| certificates representing ownership in stocks of foreign companies that are held in trust by a bank located in the country the stock is traded. |
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Term
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Definition
| a debt instrument sold by a foreign borrower but the denominated in the currency of the country in which it is sold. |
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Term
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Definition
| debt sold in a country other than the one in whose currency the debt is denominated |
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Term
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Definition
| the London InterBank Offer Rate; the interest reate offered by the best london banks on deposits of other larege, very creditworthy banks. |
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