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

Category: Finance Dictionary

KICKER PATTERN

Trend reversal candlestick pattern. Rather reliable predictor that a change in the direction of a trend is occurring. The fundamentals of a company being researched begin to show change along side this

KNOCKED DOWN (KD)

An article taken apart, folded, or telescoped to reduce its shipping size by at least one third (33 1/3 percent) of its assembled bulk or size. Such articles, be they bicycles, fans,

KONDRATIEFF CYCLE

Russian economist Nikolai Dmitrijewitsch Kondratieff (1892-1938) propose this cycle. The usual boom-bust cycles characteristic of a capitalist economy plays out over a period of about 60 years of major capital goods expansion

LAGGING INDICATORS

Financial market, economic indicators that only change following economic change to a new trend or pattern. Usually six months precedes a shift in these indicators, trailing behind the overall economic cycle versus

LAPSE RATIO

Time-bound tally of expired insurance policies versus the tally of the same-period’s new policies written. An insurer’s measurement. Also known as expiration ratio.

LAST TRADING DAY

Trading for a particular delivery month ends on this final day under the rules of a futures exchange. At the end of this last trading day, making or taking delivery of the

LAUNDERING

Converting illegal funds into legal by absorbing it into legal commercial cash flow.

LAWFUL ENTRY

Going onto a piece of land or a premises under a claim or court order by a non-owner or non-occupant,

LEAD PIPE

Refers to an easy business operation or a virtually guaranteed success. A sale or trade is almost 100% certain to take place. A plumbing metaphor of a lead pipe attached to another

LEAN PRODUCTION

Employing ‘lean thinking’, doing more with less, continues efforts to eliminate or reduce ‘muda’, Japanese for waste or any activity that consumes resources without adding value to design, manufacturing, distribution, or customer

LEDGER ACCOUNT

Held as a ledger’s separate page. Classifies each as an asset, liability, or owners’ equity. Records each balance sheet item’s increases and decreases. Also known as an account.

LEGAL REMEDY

The way a right is enforced by a court of law when injury, harm, or a wrongful act is imposed upon another individual. The laws of remedies will be based on the

LENGTH OF STAY

Stay in a hospital or similar medical facility as a total length of days.

LETTER OF COLLECTION

Past-due customer prodding tool, urging the laggard to make a payment. Typically issued one after another. Tone and language get more direct (testy?) as additional letters go out, unless some money is

LETTER SECURITY

Securities sold directly by the issuer to a buyer. These must be unregistered stock or bonds, known as letter bonds. The buyer sends a signed letter of intent to the regulatory authorities

LEVEL PLAYING FIELD

All competitors follow the same rules to get equal opportunity to compete regardless of size or financial strength. Economic and legal environment.

LIAISON

1.Communicators for two entities; typically, a corporate situation. 2. Entity responsible for communications from one party to another. 3. Thickener substance for a stew or sauce.

LIFE CYCLE COSTING

Procurement, production, life-cycle costing technique. Cost to buy, install, operate, maintain and upgrade, and waste during the asset’s economic life are tracked to determine the lowest cost of ownership of a fixed

LIFE-CYCLE PLANNING

To assist with resource allocation planning to various projects, life cycle theory is applied to project planning, projections, and decisions.

LIGHTEN UP

1. To make something lighter. An example is taking inventory off a truck. 2. To liquidate a securities positions. Moving investment portfolio holdings to cash. Selling stocks or bonds to lighten up

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