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

Category: F

FORWARD CURVE

Using forward interest rate values to evaluate the time value of money. The values are calculated over various periods of time.

FORWARD PREMIUM

A FORWARD PRICE (or rate) for future delivery of an ASSET that is higher than the SPOT PRICE (or rate) for immediate delivery. See also FORWARD DISCOUNT.

FORWARDS SCHEDULING

To find a date when the work will be finished, working forwards from the current date, this is a method of determining a production schedule. Refer also to backwards scheduling.

FRACTAL MARKET HYPOTHESIS (FMH)

New capital-market theory to explain and predict market behavior. Done by combining fractals and chaos theory with traditional quantitative methods. Daily randomness of the market and anomalies such as market crashes and

FRAMING

Scoping, boundary setting. Achieving a desired result or obtaining a precise answer by presenting a context around an idea or an event, an approach or query to influence perception.

FREE BSD

Free Berkeley Software Distribution (BSD). Developed at the Berkeley campus of the University Of California. Available online for downloading at no cost under an open source license. Popular Unix-like computer operating system.

FREE MACHINING

Lower power, improved surface finish, minimizes small metal chips, and longer tool life are machining operations characteristics of such a metal alloy. for example, a free machining type of copper is Alloy

FREE TRADE AGREEMENT OF THE AMERICAS (FTAA)

FTAA members are: Antigua & Barbuda, Argentina, Bahamas, Barbados, Belize, Bolivia, Brazil, Canada, Colombia, Chile, Costa Rica, Dominica, Dominican Republic, Ecuador, El Salvador, Grenada, Guatemala, Guyana, Haiti, Honduras, Jamaica, Mexico, Nicaragua, Panama,

FREEMIUM

A consumer gets basic services for free and premium services are paid for. One example is cable services. Basic is typically free, but the consumer pays for all premium channels. Or, a

FREIGHT COST

The price to transport goods. Packing, palletizing, documenting, insurance, and loading / unloading expenses are included.

FRESH WATER

Water with an average low solids content. Measured at less than 1,000 milligrams or 1 gram of dissolved solids per liter or 1,000 grams or 1 kilogram water.

FRONT END LOAD

1. In Banking, this is beginning cost of a loan, like a mortgage, when interest charges and fees are higher. As time progresses, this cost or interest charge decreases, as seen in

FROZEN COLLATERAL

Collateral rendered unusable by legal ruling. Often occurs when a question of who owns the collateral arises. Situation causing the ruling needs to be resolved, or a change in the situation causes

FULL ASSESSMENT

Compliance with regulatory standards in all areas, for all scenarios, under all conditions is thoroughly checked. Records, interviews, and direct observations occur to determine that specific personnel, facilities, processes, and operations exist

FULL RECOURSE LOAN

A LOAN with repayment that may come from the proceeds of the project/ASSET being financed or the sale of specific COLLATERAL, or from the resources of the borrower if project/ collateral CASH

FUNCTIONAL BENCHMARKING

Establishing a baseline by comparing specific business functions in the same industry using two or more organizations

FUNCTIONALLY ORIENTED LAYOUT

Grouping equipment by function like machining vs. welding vs. finishing. Contrast to grouping by the sequence of operations performed, like on a manufacturing line in an auto factory.

FURTHEST MONTH

An EXCHANGETRADED DERIVATIVE contract with the longest maturity date featuring trading volume; contracts with even longer maturity dates that are inactive or dormant are not considered to be the furthest month contract.

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