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

CALL ON THE BEST OF N-ASSETS

An OVERTHECOUNTER COMPLEX OPTION that grants the buyer a payoff based on the difference between a predefined STRIKE PRICE and the best performing ASSET in a PORTFOLIO. See also CALL ON THE

CALL ON THE MAXIMUM

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

CALL ON THE WORST OF N-ASSETS

An OVERTHECOUNTER COMPLEX OPTION that grants the buyer a payoff based on the difference between a predefined STRIKE PRICE and the worst performing ASSET in a PORTFOLIO. See also CALL ON THE

CALL OPTION

A DERIVATIVE contract that gives the buyer the right, but not the obligation, to purchase an UNDERLYING ASSET from the seller at a set STRIKE PRICE at, or before, expiry. In exchange,

CALL OUT

An instance of being summoned, esp. in order to deal with an emergency or to do repairs.

CALL PREMIUM

Premium in price above the par value of a bond or share of preferred stock that must be paid to holders to redeem the bond or share of preferred stock before its

CALL PRICE

The price, specified at issuance, at which the issuer of a bond may retire part of the bond at a specified call date.

CALL PRIVILEGE

When dealing with securities trading, an issuer of a bond indenture gives the issuer the right to revoke or redeem outstanding bonds with a certain price on a specific call date.

CALL PROCESSING

In telecommunication, the term call processing has the following meanings: # The sequence of operations performed by a switching system from the acceptance of an incoming call through the final disposition of

CALL PROTECTION

Time during which a security, with a call provision, cannot be redeemed by the issuer. Corporate and municipal issuers typically have a call protection period of 10 years.

CALL REPORT

All regulated financial institutions in the United States are required to file periodic financial and other information with their respective regulators and other parties. For banks in the U.S.

CALL RISK

The risk that a bond will be called prior to its maturity date, causing the bond’s principal to be returned sooner than expected.

CALL SIGN

A message, code, or tune that is broadcast by radio to identify the broadcaster or transmitter.

CALL SPREAD

An OPTION position created by buying and selling CALL OPTIONS with the same expiry date but different STRIKE PRICES (i.e., the purchaser of a call spread buys a closertothemoney call option and

CALL SYSTEM

A system to allow residents (patients) to communicate with a nurses’ station from their rooms and from toilet and bathing facilities.

CALL-BACK PAY

Payments due an employee due to contacting the employee at a time other than the employee’s regular work schedule and requesting the employee to report for work and be ready to perform

CALLER ID

A facility that identifies and displays the telephone numbers of incoming calls made to a particular line.

CALLING CARD

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

CALLING PARTY PAYS (CPP)

A billing method in which a wireless phone caller pays only for making calls and not for receiving them. The standard American billing system requires wireless phone customers to pay for all

CALLS IN ARREARS

Money called up for shares, but not paid at the correct time. The shares may be forfeited or a special calls in arrears account is established to debit the sums owing.

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