New securities offered after a company has made it’s inaugural primary offering with the capital raised usually going towards refinancing or capital growth. Refer to addon.

Very liquid funds in excess of those required to be held as an emergency buffer.

Selling inventory to pay off an asset conversion loan that is secured or unsecured usually obtained for a product that is seasonally demanded. AKA asset conversion loan.

The graphing of the relationship between the risk and the return of a specific investment at a specific time with the slope of the line indicating the market risk.

The attempt of a takeover target to make itself look undesirable by threatening to liquidate or destroy assets in the event of a hostile takeover. Refer to crown jewel defense, dead hand

A captive with greater tax benefits that acts as expanded pure captive. Refer to agency captive, group captive, protected cell company, rentacaptive, and sister captive.

Liquidating a loan or derivative when a payment is not recieved. This causes contract or loan cancellation.

When all transactions are cancelled due to default. Both debtor and investor agree to this. Refer to novation and payment netting.

In the event a fraud is committed per a poorly written term of an insurance policy this clause protects the insurer from having to make a settlement payment. Legal fees and judgments

A list of registered new securities that don

A computation of the expected potential of loss to determine premium rates.

When syndicate members get a discount on new issues. This is half the underwriting spread.

A foreign company using the yen to make a transaction in Japan. Refer to daimyo, geisha, samurai, and shogun.

Borrowing securites to sell them short to protect the long position. This is a constructive sale and creates capital gains liability.

A nonyen bond issued by a foreign company in Japan. Refer also to Daimyo, Geisha, Samurai, and Shibosai.

A coupon associated with the first inerest payement on a bond or note. Any payments made afterward are done in a normal semiannual or annual monthly cycle.

When a short position is used to protect the long position. Refer to long hedge.

A position this is borrowed or sold that benefits from depreciation. When repurchased in the market profit is made. AKA short. Refer to long position, naked short, short sale, and short seller.

A corporate executive officer responsible for identifying the duties of the board of directors within the single board system in Japan.