OVER THE WALL
When bankers tell analysts about new developments.
Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.
When bankers tell analysts about new developments.
When interest increases and decreases equally on a yield curve.
When a company unexpectedly retains risk leading to losses. This usually occurs when they are not properly managing their reserves or self insurance. Refer to retention and risk retention
A guarantee of payment to a third party if the purchaser cannot.
The amount of capital reinvested that are not paid to shareholders in the form of dividends.
How a portfolio is managed. Risk and returns are measured to create diversification strategies.
A shareholders right at first choice on buying stocks. Any left are available to the market at large. AKA antidilution provision and subscription priviledge. Refer to rights issue.
The time a company is preparing to file for bankruptcy. Directors try to preserve value as the creditors will paid first.
A fund that invests only in loans having a prime interest rate. They are corporate loans with limited liquidity due to the secondary market.
Insurance that shifts the time of loss in the future. It is a risk financing vehicle. Refer to retrospective finite policy.
The way premium on property and causality insurance is calculated. Premium loading factors are not used in the process. AKA standard risk. Refer to speculative risk.
An options whose profits are from derivative into foreign currency. The investor can participate in the foreign markets and still be protected from risk. AKA guaranteed exchange rate option and quantity adjusted
The way insurance companies get their premiums. These rates are made to cover loss and still be fair. Refer to expense loading, premium loading, and pure premium.
Cancelling insurance due to fraud or misrepresentation.
Loss that occurs when business rules are not followed. This is a subcategory of process risk.
When bankruptcy is files this occurs. The company is analyzed by trustee to liquidate assets and pay off claims. This is done before a court decides what to do with the company.
A difference in asset returns from the security market line computed by calculating the return at a certain time and comparing it to the market portfolio at that same time. Refer to
The total, unadjusted return generated for shareholders by a firm during an identified period of time. Refer to risk adjusted return on capital.
A six month to fiveplus years, secured or unsecured line of credit that can be reused over and over again. AKA line of credit and revolver. Refer to bank line, committed funding,
Loss control, loss financing, and risk reduction methods used to manage risks.