Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

Category: E

EQUITY INSTRUMENT

Commonly held evidence of ownership by a share or stock certificate, a document issued by the company to the share investor. Refer to debt instrument and financial instrument.

EQUITY SECURITY

1. A vehicle that allows portioned investment in a company in trade for portioned ownership of that company. Stock or shares represent that ownership traded. Fluctuation in the value of the company

ESTABLISHED MARKET PRICE

Existing market price stated by a party not the manufacturer nor the supplier used by buyers and sellers to openly trade and bargain.

ESTOPPEL CERTIFICATE

Written, signed stipulation of previously established facts preventing subsequent contradiction or recant of these facts. An example in the mortgage industry specific information is stated in an estoppel certificate to preclude any

EURO OVERNIGHT INDEX AVERAGE (EONIA)

Benchmark rate in the European Banking Federation based on overnight weighted averages of market offers f or the markets . The rate is calculated by taking the weighted average of all the

EUROPEAN CURRENCY UNIT (ECU)

A unit of account, created by the European Economic Community in 1979 as part of the European Monetary System, based on a weighted average of the currencies of the member countries. The

EVENT ANOMALIES

Unusual occurrence of conditions generating an abnormal return opportunity. An example is the increase gain in a selling opportunity for an increase in share price due to a company announcing the involvement

EX RIGHTS

Means the shares buyer has no forthcoming rights issue. Contrast to cum rights.

EXCESS INSURANCE

Any INSURANCE coverage that an INSURED arranges over and above the primary insurance contract, such as an UMBRELLA POLICY. Excess insurance is generally designed to protect against losses from LIABILITY or unexpected

EXCLUSION RIDER

An attachment to a policy that eliminates coverage for certain hazards.

EXCURSION

A planned trip, ending where it starts, time-bound, following a specified route.

EXECUTIVE CHAMPION

Stakeholder-Advocate supporting certain activity, policy, process, view, etc. who is an executive in the organization.

EXHAUSTION GAP

A blank, noticeable space between price bars on a stock-price chart. A sudden price spike from panic buying or selling when a trend approaches a reversal point can cause this gap. Refer

EXPANSION BUS

Computer bus that either has additional slot to plug in more devices, or is a bus that plug into a bus to provide additional slots. that adds more expansion slots to its

EXPECTED RETURN

The method of predicting the likelihood, on average, of a gain from investing in a particular asset. Varying factors, representing market conditions and perceived asset worth, varies the predicted return.

EXPENSE CONSTANT

A fixed amount added to the premium amount. The cost of servicing certain policies is more than what premiums alone cover. This is a service charge most often applied to low premiums

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