Category: Finance Dictionary

Kind of insurance policy (like insurance of property but not accident or personal insurance) which only gets back the insured persons to their actual financial standing. They cannot benefit from it.

Surplus of the actual deal price over the concluding price of a deal (includes remedial work and allowed changes).

Legal kinship between parties of contract demonstrated by 1) a proposal, 2) proposal

In the US markets, the period between the filing of a final PROSPECTUS and the offering of a NEW ISSUE of securities to public investors. The cooling off period is typically 20

INFLATION that results from increased costs of production, including raw materials and labor. Higher production costs are priced into goods and services, leading labor to demand higher wages to meet the higher

A contra account that is used to fund EXPECTED CREDIT LOSSES. Reserves are established by deducting required amounts from operating revenues or current income, and are used when a COUNTERPARTY ceases to

A regulatory method of computing CREDIT RISK on a SWAP under the BANK FOR INTERNATIONAL SETTLEMENT

Restriction of the operation of sea, air, or other transport services within or into a particular country to that country’s own transport services.

Calls to premium rate numbers can be blocked by asking your phone company for a bar on premium rate calls. The bill payer needs to contact the phone company to arrange for

An OVERTHECOUNTER COMPLEX OPTION that grants the buyer a payoff based on the difference between a predefined STRIKE PRICE and the highest price achieved by the UNDERLYING reference ASSET over the life

A card bearing a person’s name and address, sent or left in lieu of a formal social or business visit.

A contract that may be cancelled at any time without penalty Usually requires a certain amount of days’ notice by the party cancelling before the contract is terminated.

Emissions trading (also known as cap and trade) is a market-based approach used to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants.

As a hedge fund strategy it involves structuring trades using different instruments relating to a single issuer. For example taking a long position in the debt of a company while shorting equity

Market capitalization/capitalisation (often market cap) is a measurement of size of a business enterprise (corporation) equal to the share price times the number of shares outstanding (shares that have been authorized, issued,

A car title loan, or simply title loan, is a loan where the borrower provides their car title as collateral for a loan.

A playing card is a piece of specially prepared heavy paper, thin cardboard, or thin plastic, figured with distinguishing motifs and used as one of a set for playing card games. Playing

The skills or benefits an employee brings to a career.

Code assigned by IATA and commonly used to identify a carrier. As the same code may have been assigned to different carriers over time, the code is not always unique.