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

Category: Finance Dictionary

NET LIQUID ASSETS

The valued instrument amount easily converted to cash after deducting operating expenses from total income.

NET SALES

Returns and discounts subtracted from gross sales revenue gives this amount. In an income statement, this amount is shown under sales revenue.

NETTING

Mutual obligations settled among involved parties. Two involved parties is known as a bilateral netting. With three or more parties acting as a clearing house, it is known as a multilateral netting.

NEUTRAL PH

Chemical solution that has an exact pH of 7.0, being neither acidic nor alkaline. Pure water is such a solution. Also refer to pH scale.

NEW YORK STOCK EXCHANGE (NYSE)

Founded in 1792 and located on the Wall Street in New York City. Largest and oldest US stock exchange, and largest exchange in the world in terms of dollar volume. It is

NEWTON METER (NM)

Torque metric (SI) unit. Torque is a force’s tendency to cause rotation. It is also a unit of energy. One newton meter equals about 0.74 pound-foot.

NITRIDING

Ammonia decomposition releases nitrogen that reacts with metal to make iron nitride, an hardening substance. In the presence of ammonia, a nitrogen and hydrogen compound, this specific metallurgical process hardens the alloy

NO LIMIT ORDER

at any price the investor can, to buy or sell a specific security count as stated in a broker’s client order. Contrast to limit order.

NOISY CHAOS

A disruptive element altering linear equation series’ results, known as a dynamical system. Also refer to system noise or observational noise.

OLIGOPOLY

A market with very few sellers controling the price.

OPTION REPRICING

When an option is turned into its intrinisic value and it than in the money.

PASSIVE INVESTMENT STRATEGY

When a portfolio is managed using minimum effort. This occurs when an index seldom moves their assets. Refer to active index strategy and index fund.

PETRODOLLARS

Cash flow paid to oil producing nations. It is rerouted to the western banking system.

PORTFOLIO

Assets managed together to reduce risks and improve investment opportunities. Refer to diversification, risk, and theory.

PREEMPTIVE RIGHT

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.

Topic Archives:

Disclaimer

This site contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.