Category: Finance Dictionary

When a customer’s order annuls any previous orders.

A borrowing agreement in which the person who received the loan pays a cap fee so that they can keep the interest rate below a specified limit regardless of the market rate.

The act of changing the capital structure of a company by combining or dividing shares to create shares of a different value.

Interest cost incurred during the time necessary to bring an asset to the condition and location for its intended use and included as part of the historical cost of acquiring the asset.

The percentage of generated secondary materials actually recovered from a household or business.

Any substance, radionuclide or radiation, that is an agent directly involved in causing cancer. This may be due to the ability to damage the genome or to the disruption of cellular metabolic

Occurs when an employee has reached the highest position level he or she can possibly obtain within an organisation and has no future prospect of being promoted due to a lack of

in finance, is a share of the profits of a successful partnership that is paid to the manager of the partnership (a private equity fund or hedge fund) as a form of

Paperboard is a thick paper based material. While there is no rigid differentiation between paper and paperboard, paperboard is generally thicker (usually over or 10 points) than paper.

A defined benefit retirement plan that maintains hypothetical individual employee accounts like a defined contribution plan.

In business, a cash cow is a product or a business unit that generates unusually high profit margins: so high that it is responsible for a large amount of a company’s operating

In INSURANCE, a pricing strategy where the PREMIUM charged is less than the EXPECTED LOSS LEVEL. The intent is to generate a large amount of premiums through the underpricing and use proceeds

A bond that requires cash to be paid as well as an exchange of common stock, typically at the investor’s option to exchange the bond at particular times over the bond’s life,

A BINARY OPTION that grants the buyer a payoff equal to a fixed cash amount if the price of the UNDERLYNG market reference breaches the STRKE PRICE at expry See also ALLORNOTHING

Events whose consequences are extremely harsh in their severity, relating to one or more losses such as bankruptcy, total loss of assets, or loss of life.

Statistically, it is a horizontal line generated to represent the estimated long-term mean of a process in a control chart.

A slang term for CEOs being removed from their positions and replaced with someone new in a quick turnaround fashion in their organizations.

When certifying that the release of a lien on the borrower’s property because payment satisfaction of all due obligations, this formal document is issued by the lender.

Forces in a balance for driving or impeding change in a community, organization, or society.

Mathematical bases of a system where irregular and erratic fluctuations in economic cycles, financial markets, weather, other complex phenomenon, or nonlinear systems with many variables are due to sensitivity to initial changes