The difference between the average dividend yield on equities and the average yield on long-dated government bonds.
A pension scheme with insufficient accumulated funds to meet expected future liabilities.
Economic definition and meaning of the term 'Strike Price'
An overview of the annuity rate, including its background, major frameworks, and related concepts.
A comprehensive understanding of financial securities, their types, and implications in economics.
A tranche is a specific class of bonds within an offering, separated according to their degree of risk.
Possession of assets in excess of liabilities for individuals or firms, ensuring their ability to meet financial obligations.
A comprehensive look at the concept of the mid-market price, its definitions, applications, and significance in financial markets.
An in-depth exploration of the term 'times covered' in the context of corporate finance.
An institution for offsetting interbank claims, minimizing fund transfers between banks.
A system of life insurance where the benefits to be received are linked to the level of an index of equity share prices.
Exchange rate quoted for delivery and payment on a specified future date.
The system by which an economy is provided with money, ensuring financial stability and economic growth.
A UK system, established in 1986, allowing tax-free investments in shares and unit trusts.
The situation when the number of shares applied for in a new issue exceeds the number on offer.
A detailed exploration of the -auditor-: a person or accountancy firm employed to check the accounts of a company, private trader, or association.
A comprehensive overview of Earnings Per Share (EPS), its significance, and its implications in economics and finance.
An overview of the internal rate of return (IRR) concept which determines the interest rate where the net present value of a project is zero.
A suspension of the obligation to repay debts, often instituted to allow time for refinancing and to prevent financial panic.
An exploration into the multiple meanings and contexts of the term 'return' within economics.
A detailed exploration of stochastic volatility in financial economics, its implications, and applications.
The function of money through which it can be preserved and used in the future without losing value.
The concept of opportunity cost deals with the cost of an opportunity forgone, measured by the benefits of the best alternative option.
An entry detailing the term 'Bond Default Swap' and its association with 'Credit Default Swap'.
An in-depth look into the system by which goods or services are provided for deferred payment
The agreed-upon price for future delivery of commodities, securities, or currencies under a forward contract.
The absence of opportunities to earn a risk-free profit with no investment, ensuring market equilibrium.
A reduction in the recorded value of an asset when its fair market value has significantly dropped below its carrying amount.
A measure of how variations in the return on a particular share correlate with variations in the return on a market index.
An overview of the term bid, including its definition and relevance in economics, particularly in relation to hostile and takeover bids.
Understanding the phenomenon of calendar effects and their implications in economics and finance
Debt rescheduling is the renegotiation of the terms of debt repayment between a borrower and lender.
A method of calculating the net present value of a stream of payments by adding the present discounted values of all net cash flows at various future dates.
The risk arising from the possibility that there will be no active market for the assets held by an economic agent.
A comprehensive examination of Moody's as a leading US credit-rating agency.
Debt obligations that represent a claim on the cash flow from a pool of mortgage loans, typically on residential properties.
A formal agreement between parties on the distribution of profit from a business venture.
An issue of new shares in a company which are first offered to existing shareholders in proportion to their present holdings.
Understanding the various sources from which businesses obtain their capital, including owner savings, borrowing, equity, depreciation allowances, trade credit, and government financing.
Understanding the term 'yield' in the context of fixed-interest securities and its different forms such as nominal yield, running yield, yield to maturity, and more.
An ordinary share in a company with no voting rights for the holder, typically traded at a lower price than voting shares.
An in-depth exploration of the AAA credit rating, its significance, and its role in economics.
Exploring the meaning and implications of acceptance in the context of a bill of exchange.
A financial firm that guarantees the payment of bills of exchange on their due date.
The period of time, normally a year, to which a set of company accounts refers.
An entry describing the concept of Accounts Payable, its meaning, and relevance in economics.
The management of a company in financial distress by a court-appointed administrator, aimed at keeping the company operational or maximizing asset value.
Understanding Alpha Stocks and Their Significance in the Stock Exchange Automated Quotation System
Explanation of amortization—the gradual buildup of a fund to replace an asset or repay a loan over a period.
Detailed account of a company's or organization's activities and financial performance over the past financial year.
A comprehensive guide to understanding the Annualized Percentage Rate (APR) of interest, its calculations, importance, and applications in economics.
The factor that converts a lump sum into recurring payments over a specified period of time
An account detailing the allocation of total available funds within an organization.
A financial strategy involving the simultaneous purchase and sale of an asset in different markets to profit from price differences.
A theory of asset pricing that assumes arbitrage ensures equilibrium and that asset prices are explained by a set of underlying factors.
Exploring the definition and meaning of an arbitrageur in economics, including its contexts and implications.
The total value that is overdue after failing to make one or more required payments on a financial contract.
A comprehensive model that demonstrates the existence of equilibrium in a competitive economy, incorporating decision-making by individual consumers and firms.
Overview and analysis of the Asian Infrastructure Development Bank (AIIB)
Possessions of value, both real and financial, that are owned by individuals or entities.
The conduct of monetary policy through channels that are not publicly observable.
The estimation recorded in the accounts by a creditor reflecting the anticipated write-offs of bad debts.
An exploration into the concept of bank deposits, their historical context, and relevance in various economic theories.
bank loan A loan from a bank to an individual or firm. Bank advances for large amounts or for business purposes are normally made against security, for example the title deeds of buildings or life insurance policies. Bank overdrafts or personal loans for small amounts are often unsecured if the customer is regarded as a good risk.
A comprehensive entry on the concept and application of a Banker's Draft in financial transactions.
The provision of payments facilities, credit, and capital to individuals, firms, and the government.
Measurement unit for changes or differences in interest rates, equal to 1 per cent of 1 percentage point.
An explanation of the BBB rating, a medium risk classification by Standard & Poor's for securities.
A security where the person or organization holding the certificate of title is entitled to receive any interest and redemption payments.
A measure of how variations in the return on a particular share correlate with variations in the return on a market index.
Shares in the second rank for frequency of trading on a stock exchange
Definition and meaning of a bill as a short-dated security maturing in under a year
A short-dated security used to finance foreign trade.
A security with a redemption date over a year later than its date of issue.
An overview of bond-rating agencies, their definitions, functions, and examples.
The act of incurring debts to finance spending, applicable to individuals, firms, and governments.
The profit or loss on an activity, typically shown at the foot of financial statements.
The sum a business could realize by ceasing operation entirely and selling off its assets.
A person or company who facilitates transactions between buyers and sellers in various markets for a commission.
The fee charged by a broker for facilitating a transaction between a buyer and a seller.
A US cooperative institution providing mortgage finance for homeowners, equivalent to a UK building society.
A comprehensive entry on building societies in the UK, focusing on their role in the financial system, historical development, and evolution.
Call money refers to money lent in the London money market that is repayable at very short notice.
An increase in the prices of the assets owned by an enterprise.
An overview of capital gains, their definitions, and implications across different economic frameworks.
Understanding Capital Gearing in Finance and Economics
Capital issues: The primary method through which new shares are created to fund companies.
Institutions where securities with an expected maturity of a year or more are bought and sold.
Comprehensive entry defining the Capital Asset Pricing Model (CAPM) in financial economics.
Understanding Cash Discounts, their purpose and implications on economic transactions.
