A Bank Confirmation Letter (BCL): What Is It? A letter from a bank or other financial organization verifying the existence…
Archives: Directory
Bank Capital: What Is It? The difference between a bank’s assets and liabilities is known as bank capital, and it…
What is the BBSW or bank bill swap rate? A short-term interest rate called the Bank Bill Swap Rate (BBSW),…
Banking Works, Types of Banks, and How To Choose the Best Bank for You A bank is a type of…
The Bandwagon Effect: What Is It? The bandwagon effect is a psychological phenomenon where people follow the actions of others…
Bancassurance: What Is It? A bank and insurance business can offer their goods to the bank’s customer base through a…
The Baltic Dry Index (BDI): What Is It? The London-based Baltic Exchange developed the maritime and commerce index, the Baltic…
A Ballpark Figure: What Is It? A ballpark figure is a rough approximation or numerical estimate of an unknown amount.…
A Balloon Payment: What Is It? The total amount owing on a debt designed to be repaid over time in…
Could you explain what the International Swaps and Derivatives Association (ISDA) is? The International Swaps and Derivatives Association (ISDA) is…
What does an International Securities Identification Number stand for? ISIN is An International Securities Identification Number. A 12–digit code of…
What is ISO, or the International Organization for Standardization? An international non-governmental organization called the International Organization for Standardization (ISO)…
What is the International Money Market? There is a part of the Chicago Mercantile Exchange (CME) called the International Monetary…
Do you know what the International Monetary Fund (IMF) is? The International Monetary Fund (IMF) is a global organization that…
Balloon Loan: What It Is, How It Works, Example, and Pros & Cons A debt that does not fully amortize…
A Balanced Scorecard (BSC): What Is It? A strategic management performance indicator called the balanced scorecard (BSC) is used to…
The International Maritime Organization (IMO) is what it sounds like. The United Nations has a unique organization called the International…
For what reason was the International Labour Organization (ILO) formed? The International Labor Organization (ILO) is a part of the…
What Does International Bond Mean? As part of a diversified portfolio, international bond means choosing global financial instruments. Many people…
What does the International Fisher Effect mean? The International Fisher Effect (IFE) is an economic theory that says the difference…
What are IFRS, or International Financial Reporting Standards? International Financial Reporting Standards (IFRS) are rules for how public companies should…
Could you explain what the International Finance Corporation (IFC) is? The International Finance Corporation (IFC) helps private businesses invest in…
What does international finance mean? International finance, also called “international macroeconomics,” studies how money moves between two or more countries.…
A Look at the International Depository Receipt (IDR) A bank gives a tradable document called an international depository receipt (IDR).…
To what does the International Chamber of Commerce (ICC) belong? More than one thousand different kinds of businesses belong to…
What is a bond to another country? An International Bond Investing is a way to invest in debt from a…
How do you explain an International Banking Facility (IBF)? An international banking facility lets U.S. depository institutions give deposits, loans,…
What Is the International Bank of Reconstruction and Development? The International Bank for Reconstruction and Development (IBRD) is what it…
What is an IBAN (International Bank Account Number)? IBAN, an “international bank account number,” is a standard way to identify…
What are IAS or International Accounting Standards? International Financial Reporting Standards (IFRS) replaced International Accounting Standards (IAS) as the rule…
What does internalization mean? When a business handles a transaction instead of sending it to someone else, it is called…
Do you know what the Internal Revenue Service (IRS) is? The Internal Revenue Service (IRS) is a government agency that…
Do you know what the Internal Revenue Code (IRC) is? Internal Revenue Code is called Title 26 of the U.S.…
What does the Internal Rate of Return (IRR) stand for? In financial analysis, the internal rate of return (IRR) determines…
Inside Growth Rate (IGR): What Is It? An internal growth rate (IGR) is the fastest rate of growth a business…
What are Internal Controls? Internal controls are the accounting and reviewing procedures that a company’s finance department uses to ensure…
A Balanced Fund: What Is It? A balanced fund is a mutual fund that usually includes equities and bonds. An…
A Balanced Budget: What Is It? In financial planning or the budgeting process, a balanced budget is one in which…
A Balance Sheet: What Is It? A balance sheet is a type of financial statement that shows a business’s assets,…
What is the BOT, or balance of trade? The difference between a nation’s import and export values during a specific…
The Balance of Payments (BOP): What is it? A summary of all the transactions that have occurred during a certain…
A Balanced Investment Strategy: What Is It? A balanced investing strategy mixes several asset types in a portfolio to strike…
Bait and Switch: What Is It? A morally dubious sales technique known as “bait and switch” involves luring clients in…
A Bailout: What Is It? A bailout is when a corporation, a person, or the government gives struggling businesses money…
A Bail-In: What Is It? A bail-in requires the forgiveness of obligations due to depositors and creditors, therefore assisting a…
What is a Bond for Bail? A bail bond is an agreement to show up for court proceedings or pay…
A Bad Debt Expense: What Is It? An insufficient debt charge is recorded when a customer’s inability to pay an…
What is a bag holder? An investor who owns a holding in a security that loses value and eventually becomes…
Bad Credit: Definition, Examples, How to Improve Bad credit results from a person’s past late payments and the probability that…
Backwardation: What Is It? When an underlying asset’s spot or current price is more significant than those traded in the…
How does backward integration work? Backward integration is a type of vertical integration that occurs when a corporation extends its…
Backup Withholding: Definition, How It Works, and Who Is Subject When an investor withdraws their investment income, backup withholding is…
Backtesting: Definition, How It Works, and Downsides Backtesting is a broad technique that can determine the ex-post performance of a…
Backorder: Definition, Causes, Example, Vs. Out-of-Stock An order for an item or service that cannot be fulfilled at this time…
What is bad debt? Write-Offs and Methods for Estimating If a borrower fails on a loan, a creditor is required…
Backlog Definition, Implications, and Real-World Examples An accumulation of unfinished work is called a backlog. The word “backlog” is used…
Backflush Costing: Definition and How System Works for Inventory A just-in-time (JIT) inventory system often uses the product costing method…
A Backdoor Roth IRA: What Is It? Rather than being an official kind of individual retirement account, a backdoor Roth…
Back-to-Back Letters of Credit: Definition in Banking and Example Back-to-back LoCs fund a transaction. They are primarily used in overseas…
How Do You Liquidate? Liquidate refers to selling real estate or other assets on the open market to convert them…
Back Stop: Definition, How It Works in Offering, and Example A backstop (also known as a backstop) in corporate finance…
Back Office: What It Means in Business, With Examples The part of a business comprising administrative and support staff that…
What’s the ratio at the back end? The debt-to-income ratio, or back-end ratio, measures the percentage of a person’s monthly…
A Baby Boomer: What Is It? The phrase “baby boomer” refers to those born between 1946 and 1964. The baby…
Baby Bonds: What Are They? Issued in small-dollar denominations with a par value of less than $1,000, a baby bond…
Axe: Definition and Meaning in Securities Trading A trader’s interest in purchasing or disposing of a security that is usually…
The Average True Range (ATR): What Is It? Market specialist J. Welles Wilder Jr. established the average true range (ATR).…
Average Selling Price (ASP): Definition, Calculation and Examples The price at which a specific type of item or service is…
Average Return: Meaning, Calculations and Examples The average return is the straightforward mathematical mean of a set of returns produced…
What Is the Typical Consumption Propensity? The average propensity to consume is the percentage of income spent rather than saved,…
The Average Outstanding Balance: What Is It? The unpaid, interest-bearing sum of a loan or loan portfolio averaged over a…
Average Life: Definition, Calculation Formula, and Maturity The average life of a debt issuance refers to how long the principal…
Average Directional Index (ADX): Definition and Formula Some traders use the average directional index (ADX) as a technical analysis indicator…
What is the Average Daily Volume of Trading (ADTV)? The average number of shares traded in a specific stock on…
Average Daily Rate (ADR): Definition, Calculation, and Examples To determine the average income received for an occupied room on a…
The Average Daily Balance Method: What is it? The average daily balance method is one approach that credit card issuers…
Average Cost Method: What Is It? The average cost approach divides the entire cost of products produced or acquired in…
Average Cost Basis Method: Definition, Calculation, and Alternatives The value of mutual fund holdings held in taxable accounts is calculated…
How Long Does a Collection Usually Take? Regarding accounts receivable (AR), the average collection period is the time it takes…
Average Inventory: Definition, Calculation Formula, and Example Average inventory estimates the quantity or worth of a particular commodity or collection…
What is the annual average return, or AAR? When presenting historical returns, such as the three-, five-, and 10-year average…
Average Annual Growth Rate (AAGR): Definition and Calculation When an investment, portfolio, asset, or cash flow is valued annually, the…
Average Age of Inventory: Overview and Calculations The average number of days a company takes to sell off its inventory…
Available-for-Sale Securities: Definition vs. Held-for-Trading A debt or equity instrument bought to sell before it matures or is retained for…
Why do you need an internal auditor (IA)? An internal auditor (IA) is a trained professional that companies hire to…
Available Balance: Definition and Comparison to Current Balance The entire amount the account holder is free to utilize immediately is…
What Does an Internal Audit Mean? Internal audit looks at the internal controls of a business, such as its accounts…
What is good in the middle? An intermediate good is a product used to make an end or consumer good.…
What Does an Interim Statement Mean? A financial report for less than a year is called an interim statement. Before…
What is a Dividend in Between? An interim dividend is a dividend payment made before a company’s annual general meeting…
What does a swap in interest rates mean? Any interest rate swap is a forward deal where one stream of…
What does “interest rate sensitivity” mean? Interest rate sensitivity is when interest rates change; the price of a fixed-income asset…
What does rate risk mean? Interest rate risk is when rates for new debt instruments go up, there is a…
How do I understand interest rate parity (IRP)? The idea of interest rate parity (IRP) says that the difference in…
What is an interest rate option? When interest rates change, an interest rate option gives the person who owns it…
How do you read an interest rate for the future? An interest rate future is a futures contract based on…
What Does the Interest Rate Floor Mean? An IRF is a rate everyone agrees on in the lower range of…
What Is Interest Differential? An interest rate differential (IRD) compares the difference in interest rates between two things that pay…
What does a derivative of the interest rate mean? An interest rate derivative is a security whose value changes based…
What does a collar for interest rates mean? An interest rate collar is a reasonably cheap way to control interest…
Do you know what an interest rate call option is? The person who owns an interest rate call option can…
What does the interest rate mean? The interest rate is how much a lender charges a borrower. It is expressed…
What is a mortgage that only pays interest? A mortgage where the renter only has to pay the interest on…
What is interest expense? An interest Interest expense is the cost a business must pay to borrow money. The interest…
The interest coverage ratio? The interest coverage ratio measures a company’s capacity to pay interest on its outstanding debt. To…
Interest: What Is It? It costs money to borrow money, and that money is called interest. The amount of interest…
What does the Intercontinental Exchange (ICE) stand for? Intercontinental Exchange (ICE) is an American business that owns and runs exchanges…
What is the interbank rate? This is the interbank rate that U.S. banks charge each other for short-term loans. Banks…
What did the Interbank Network for Electronic Transfer (INET) stand for? The Interbank Network for Electronic Transfer (INET) handled credit…
What is the market between banks? Financial institutions use the interbank market, a global network, to trade currencies and other…
What Are Deposits Between Banks? If two banks agree that one will hold money in an account for the other,…
What does interactive media mean? Interactive media is a way to talk to people where the outputs of a computer…
Do you know what the Inter-American Development Bank (IDB) is? The Inter-American Development Bank (IDB) is a joint development bank…
What is a grantor trust that is intentionally broken? Intentionally defective grantor (IDGT) trusts are a way to plan your…
What is the value of ideas? Intellectual capital is the value of employees’ knowledge, skills, business training, and other confidential…
What does “intangible personal property” mean? Some valuable things can’t be touched or handled. This kind of property is called…
What does an intangible asset mean? An intangible asset is something that can’t be seen or touched. Intangible assets can’t…
Insurtech: What Is It? “Insurtech” refers to using new technologies to make the insurance business more efficient and save money.…
What is an underwriter for insurance? An insurance underwriter is a trained worker who looks at the risks of insuring…
What is an insurance premium? A person or business pays money for insurance coverage. This is called an insurance premium.…
What is insurance coverage? When someone or something buys insurance, the amount of risk or damage covered is called insurance…
How do you file an insurance claim? An insurance claim is a policyholder’s request to their insurance company for coverage…
What does insurance do? When someone buys insurance, they sign a contract called a policy that says the insurance company…
What does “insurable interest” mean? When you put in something with insurable interest, you can protect it from losing money.…
What are NSFs (not enough funds)? Non-sufficient funds show If you don’t have enough money in your checking account to…
What does an instrument do? Something of value can be moved, held, or done with the help of an instrument.…
What is an Institutional Investor? An institutional investor is a business or group that invests money for other people. Some…
What does the Institutional Brokers’ Estimate System (IBES) stand for? The Institutional Brokers’ Estimate System (IBES) is a database that…
How do you get to the Institute of Management Accountants? One of the best groups for financial experts is the…
What does the Institute for Supply Management (ISM) stand for? The Institute for Supply Management (ISM) is a supply management…
What is a debt that goes over time? A loan paid back in regular payments is called an installment debt.…
What are insolvencies? Insolvencies are when a person or business can’t pay their creditors when their bills are due. Before…
What does insider information mean? Insider information is knowledge about a public company’s plans or finances that hasn’t been shared…
What do inside sales mean? People who work for a business and talk to people on the phone, email, or…
Just what is indemnity? Indemnity is a broad type of insurance that pays for damage or loss. Regarding the law,…
What Does an Inside-Day Pattern Mean? The inside-day pattern is that the price range for the second day is precisely…
How do I use INSEAD? INSEAD is one of the best college business schools in the world. It has campuses…
What does “input-output analysis” mean? The input-output type of macroeconomic analysis looks at how different economic sectors or businesses affect…
What does inorganic growth mean? Inorganic growth doesn’t come from the company doing more business but from mergers or takeovers.…
A first public offering, or IPO, is what it is. Giving shares of a private company to the public for…
What does the initial margin mean? The initial margin is the amount of money you need to put down as…
What is a First Coin Offering, or ICO? An initial coin offering (ICO) is like an initial public offering (IPO)…
How do I get an inherited IRA? An inherited IRA is an account that is started when someone gets an…
How do I pay inheritance tax? Some states charge people who receive money or property an inheritance tax. In contrast…
What is an inheritance? When someone dies, they leave their property to their family and friends as an inheritance. An…
What does inherent risk mean? Raw risk is one type of inherent risk. This type of risk is any risk…
What does infrastructure mean? The basic physical systems of a business, area, or country are called its infrastructure. It is…
What does the information ratio (IR) stand for? If you want to know how much a portfolio’s returns differ from…
What does the information coefficient (IC) stand for? One way to judge the skill of an investment analyst or active…
What is an inflation point? An inflection point is an event that causes a significant shift in the progress of…
Why is there an inflationary gap? The inflationary gap is the difference between the actual gross domestic product (GDP) and…
What is an inflation swap? An inflation swap is when two parties trade fixed cash amounts; they trade the risk…
What is an Inflation Hedge? An inflation hedge is an investment to protect against the loss of buying power from…
What is the inflation-adjusted return? This measure of return considers the inflation rate during the period. The inflation-adjusted return measure…
How do you figure out inflation? Inflation accounting is a unique way to examine how the rising or falling prices…
What is price inflation? Inflation means prices rise, which can also be considered money losing its buying power over time.…
What is an inferior good? “Inferior good” is an economic term for good people who buy less when their incomes…
What does the infant-industry theory mean? The infant industry theory says that new businesses in developing nations must be shielded…
What is an inefficient market? An inefficient market is one where the prices of goods don’t correctly reflect their actual…
What Does Industry Life Cycle Analysis Mean? Industry life cycle analysis looks at an industry at any given stage. It…
What is the industry life cycle? The term “industry life cycle” refers to how a business or industry changes over…
What is an industry? An industry is a group of companies that do similar things for a business. There are…
What does industrialization mean? Through industrialization, the economy of a country or area changes from relying on farming to relying…
What did the Industrial Revolution mean? The Industrial Revolution started in Great Britain in the middle of the 18th century…
What are industrial revenue bonds (IRBs)? Industrial revenue bonds (IRBs) are municipal debt securities that the government issues on behalf…
What does the Industrial Production Index (IPI) stand for? The industrial production index (IPI) is an economic indicator released every…
What does industrial organization mean? Industrial organization is an area of economics that studies how businesses make decisions, government rules,…
What do industrial goods mean? Stocks of companies that make capital goods used in manufacturing, resource extraction, and building are…
What are industrial banks or loan companies? Industrial banks or loan companies are state-licensed banks not regulated by a federal…
What does an IRA do? An individual retirement account (IRA) is a long-term savings account that people with jobs can…
How does an indirect tax work? In contrast to direct tax, indirect tax is levied against a person or thing…
What is an Indirect Quote? An indirect quote is a currency quote on the foreign exchange market that shows how…
What Does the Indirect Method Mean? There are two ways to make a cash flow statement: the straight method and…
What is an indirect loan? An indirect loan could be a monthly loan where the lender is not related to…
What is a curve of indifference? Indifference curves show how people can choose between two things or commodities. The consumer…
What Does Know Your Client (KYC) Mean? In the financial industry, Know Your Client (KYC) is a standard that guarantees…
What is land? In the business sense, land can refer to real estate or property, sans buildings and equipment, designated…
What is indicative net asset value (iNAV)? Its indicative net asset value (iNAV) displays a property’s net asset value (NAV)…
Why would someone show interest (IOI)? An indication of interest is an underwriting statement that shows a possible but not…
What is the Indian Rupee (INR)? India’s money is called the Indian rupee (INR). There is an International Organization for…
What is indexing? In a broad sense, indexing means using a standard or reference measure or sign as a scale…
What does an indexed annuity mean? An indexed annuity is an annuity deal that bases its interest rate on how…
What does indexing mean? Indexation is a system or method businesses or governments use to link prices and asset values.…
What does an index option mean? An index option is a derivative financial instrument that lets the user choose whether…
What is an index-linked bond? An index-linked bond is one where the interest paid on the capital is tied to…
What does index investing mean? Index investing is a passive way to get results like a broad market index. Investors…
What Do Index Futures Mean? Today, people can buy or sell futures contracts based on a financial index that will…
What are index funds? Index funds are a form of mutual fund or ETF that track a financial market index,…
What is an index? A financial index takes in things like the prices of different assets and gives out a…
What is an independent contractor? An independent contractor is a self-employed person or business that agrees to work for or…
What does “indentured servitude” mean? People are forced to work without pay to return a loan or indenture within a…
What is indenture? An indenture is a legally binding deal, contract, or piece of paper between two or more people.…
What Does Indemnity Insurance Cover? Indemnity insurance is a type of insurance policy that protects individuals or organizations from financial…
What Should Be Reported But Isn’t (IBNR)? IBNR stands for “incurred but not reported.” It is a type of reserve…
What is Incumbent? “Incumbent” refers to someone currently holding a specific business or government agency position. If someone holds an…
What is a Certificate of Incumbency? A corporation or limited liability company (LLC) issues an incumbency certificate, also known as…
What does incremental cost mean? Companies incur an incremental cost when they produce an additional product unit. We calculate incremental…
What does incremental cash flow mean? An organization receives incremental cash flow from taking on a new project. ICF is…
The Incremental Cost of Capital: What Is It? The average cost a business incurs to issue one extra unit of…
What does the Incremental Capital Output Ratio (ICOR) stand for? They often use the incremental capital-output ratio (ICOR) when people…
What does incremental analysis mean? Incremental analysis is a business tool that compares their actual costs and decides which business…
What Do Incoterms Mean? International Commercial Terms (Incoterms) are rules the International Chamber of Commerce (ICC) puts out to make…
What Does Incorporation Mean? Incorporation is the proper way to turn an idea into a business. A corporation is the…
What is an Incontestability Clause? An incontestability clause in most life insurance policies prevents the provider from voiding coverage due…
What Does Income Tax Payable Mean? Income tax payable refers to the income tax a business or an individual owes…
What’s income tax? Governments levy an “income tax” on enterprises and individuals in their jurisdiction. Taxpayers must file an annual…
What Is An Income Stock? An income stock is an asset with consistent and often rising dividends. Investors choose these…
How do I read an income statement? The income statement is one of the three primary financial statements used to…
Describe Kanban. A method of inventory control used in just-in-time (JIT) production is called Kanban. Taiichi Ohno, a Toyota industrial…
Wha Is Income smoothing? Income smoothing smooths out changes in net income between periods using accounting techniques. Companies use this…
What is an income property that brings in money? An income property is a piece of land bought or improved…
How much does each person make? The amount of money each person makes in a country or area is called…
Why is there inequality in income? When people in a group don’t have the same amount of money, this is…
What is Income for a Deceased Person? If someone died, they may have made or been entitled to income that…
What is an income fund? An income fund is a mutual fund or exchange-traded fund (ETF) that focuses on current…
What does it mean to have “income from operations”? When you write IFO, you also write operating income, also known…
Do you know what the income elasticity of demand is? In this case, “income elasticity of demand” means how much…
How does the income effect change things? In the field of microeconomics, the income effect is the change in demand…
How Are You Going About Making Money? The income approach, also sometimes called the income capitalization approach, is a way…
What is an annuity that pays out money? The policy activates and starts giving out income as soon as a…
Income is when you get paid money for your work or goods. Different fields, like taxes, financial accounting, and economic…
What Are Incidental Expenses (IE)? Examples of incidental expenses include gratuities and other small costs that come up while doing…
How often does it happen? The rate at which a new event happens over time is called its incidence rate.…
Why do people get incentive stock options (ISOs)? A business benefit called an incentive stock option (ISO) lets an employee…
What Does In the Money (ITM) Mean? The word In the Money (ITM) refers to an option that has value…
What Does Specie Mean? “In specie” means to give or receive an object in its current form instead of changing…
What is a withdrawal while in service? When an employee gets money from a qualified, employer-sponsored retirement plan, like a…
What Does In-house Financing Mean? When a store or other business gives a customer financing directly, this is called “in-house…
What Does “In-House” Mean? When a company does something itself instead of hiring someone else to do it, that’s called…
What Is Held in an Escrow? “In escrow” refers to the temporary state of an item given to a third…
How do I buy things via In-App Purchasing? You can buy things like apps and services inside an app on…
What Does Imputed Interest Mean? In tax law, “imputed interest” means that even though the lender doesn’t charge interest on…
What Does Imputed Value Mean? If the actual value of an item is not known or available, it is given…
What is the pattern of an impulse wave? An impulse wave pattern shows that the price of a financial asset…
Just what is essential? A business uses an imprest, a cash account, to pay for everyday small costs. The money…
What does an impression mean? An online impression is a way to count how often a digital piece of content,…
What Is a Justified Wage? A “justified wage” is money based on how the market works, work experience, education, and…
What is ISI, or Import Substitution Industrialization? The economic theory of import substitution industrialization (ISI) is usually followed by developing…
What Does “Just Say No” Mean? A “just say no” defense is a way for board directors to stop aggressive…
Why Do We Pay import duty? A country’s customs officials charge a tax on some exports and imports, called an…
What Does “Just-in-Time” (JIT) Mean? Just-in-time (JIT) inventory systems are a way to handle inventory that makes sure that orders…
What does “Just in Case” (JIC) mean? Just in case (JIC) is a way for businesses to manage their stock…
What is an import? When you buy something in one country that was made in another, that’s called an import.…
What is just compensation? When the government takes someone’s land for public use, they should give them “just compensation.” In…
What is the risk of jurisdiction? Jurisdiction risk is the danger that can happen when doing business in a different…
What is a Juris Doctor (JD)? A Juris Doctor (JD) is an American law degree that takes three years to…
What does a junk fee mean? When you close on a mortgage, the lender will charge you “junk fees.” The…
What is a junk bond? A junk bond is riskier than most bonds released by businesses and the government. A…
What Is Junior Security? When someone is a junior security officer, they are not as crucial as other security officers.…
How do I get a junior mortgage? A junior mortgage is a loan that comes after a first or upper…
What does junior equity mean? When a company issues stock, junior equity is the stock that stands at the very…
What does junior debt mean? If a company doesn’t pay its debts, junior debt includes shares and other types of…
What Does a Junior Company Do? It is a junior company if it is a small business growing or wants…
What is a Junior Capital Pool (JCP)? A junior capital pool (JCP) is a type of corporate capital arrangement that…
What Does a Junior Accountant Do? A junior accountant keeps financial reports and statements up-to-date and puts them together in…
What is the Jumpstart Our Business Startups (JOBS) Act? President Obama signed the Jumpstart Our Business Startups (JOBS) Act into…
What is a Jumbo Pool? A Ginnie Mae II mortgage-backed security (MBS) pass-through and collateralized by numerous issuer pools is…
What is a jumbo loan? A jumbo loan, often called a jumbo mortgage, is a kind of financing that surpasses…
What is a Jumbo Certificate of Deposit (CD)? A jumbo certificate of deposit is a type of CD where the…
American businessman and former hedge fund manager Julian Robertson is most renowned for starting Tiger Management in 1980 and seeing…
What is Judo’s business strategy? A business strategy that leverages Judo’s speed and agility to counteract the impact of competition…
What Does a Judicial Foreclosure Mean? Judicial foreclosure refers to foreclosure proceedings on a property where the mortgage lacks a…
What Does Judgmental Credit Analysis Mean? Judgemental credit analysis allows lenders to decide whether to give or not give credit…
What is judgment proof? Judgment proof is a description of a person who does not have enough assets for a creditor to seize when…
What is a judgment lien? A judgment lien is a court order that lets a creditor take back a debtor’s…
What is a judgment? A judgment is a court order that spells out the court’s decision about a disagreement between…
What is the Cambridge Judge Business School? Cambridge University is in Cambridge, UK, and has a senior business school called…
What is a journal? A journal records all the money in and out of a business. You can match up…
A new Keynesian economist from the United States is named Joseph Stiglitz. Stiglitz won the Nobel Prize in Economics in…
Joseph Alois Schumpeter was an economist, economic historian, and author born in Austria who died in 1950. People consider him…
What does the Joseph Effect mean? The word “Joseph Effect” comes from the Old Testament story of Joseph telling the…
From 2002 to 2012, Josef Ackermann was CEO and chair of Deutsche Bank. From 2014 to 2019, he was chair…
What is the Jordanian dinar (JOD)? The currency sign for the Jordanian dinar is JOD. The Jordanian dinar is the…
What does the Jones Act do? The Jones Act is a government rule controlling businesses on the United States’ water.…
What does it mean to “jointly and severally”? The legal word “jointly and severally” refers to a company or any…
What does a joint venture (JV) mean? A joint venture (JV) is all about joining forces to complete a job.…
What is a Joint Tenant With Right of Survivorship (JTWROS)? Commonly known as “JTWROS,” this is a way of legally…
What are Joint Tenants in Common (JTIC)? Joint tenants in common (JTIC) is a formal relationship where two or more…
What does joint tenancy mean? “Joint tenancy” means that two or more people own a place together, with each person…
What Does Implied Volatility (IV) Mean? Indicators that show how the market thinks the price of an investment will change…
What is the Implied Rate? There is a gap between the spot and interest rates for the forward or future…
What does an implied contract mean? An implied contract is a legally binding duty from the actions, behavior, or circumstances…
What does an implied contract mean? An implied contract is a legally binding duty from the actions, behavior, or circumstances…
What does “implied authority” mean? Someone with implied authority can do things reasonably necessary for a group to reach its…
What does “implicit cost” mean? What does an implicit cost mean? Any cost that has already occurred but isn’t always…
What Does an Imperfect Market Look Like? Any economic market that doesn’t meet the strict requirements of the made-up “perfectly”…
What does imperfect competition mean? Imperfect competition occurs when a meal or imagined market deviates from the general rules of…
What Does Impeachment Mean? While Article II, Section 4 of the U.S. Constitution says that Congress can bring charges of…
What is Impairment in Accounting? A corporate asset is impaired in accounting when its value drops permanently. It might be…
How do you fix Impaired Credit? When someone, a business, or another organization has impaired credit, it is usually considered…
What exactly is an impaired asset? An impaired asset has a market value less than the value indicated on the…
The goal of impact investing is to generate financial returns while simultaneously improving some social or environmental metric. There is…
What Does Immunization Mean? Immunization, also called multi-period immunization, is a way to reduce risk by matching the time of…
Why do we need joint supplies? In economics, a “joint supply” is a good or service that can produce more…
What does a joint-stock company do? In a joint-stock company, investors own the business. Each owner has a share of…
What does a joint return mean? Couples who are married and filing jointly (MFJ) or a widow or widower filing…
What does joint probability mean? Joint probability is a scientific measure that determines how likely it is that two events…
What Is Property With Two Owners? Joint-owned property is anything that more than one person owns together. These two people…
What Is a Joint Life With Last Survivor Annuity? A joint life with last survivor annuity is insurance that gives…
How do I get a joint-life payout? A joint-life payout is a way for pensions and retirement plans to pay…
How do you do joint endorsements? A shared signature may be needed on a check made out to more than…
What is joint credit? With joint credit, two or more people can get different types of loans based on their…
What does a joint bond mean? When someone buys a joint bond, at least two people promise to repay the…
Joint and several liability is a legal term for when two or more people are responsible for the same thing…
What does a joint account mean? A joint account is a bank or trading account that more than one person…
What Does Joint Mean? Joint is a legal term for a deal or exchange in which two or more people…
What is the S.C. Johnson Graduate School of Management? Cornell Johnson is the name of the graduate business school at…
John Stuart Mill was an influential philosopher, economist, politician, and high-level employee of the East India Company. He lived from…
An economist from Britain named John Richard Hicks was a neo-Keynesian. Hicks was born in the UK in 1904 and…
John Maynard Keynes was a British economist who lived from 1883 to 1946. He founded Keynesian economics and is the…
American scientist John F. Nash Jr. was one of the first to study differential geometry and partial differential equations. He…
Many people know Fiat, Chrysler, and Ferrari, but John Elkann may not be well-known. Elkann has made a name for himself…
John Bogle started the Vanguard Group and greatly supported index trading. Bogle, known as “Jack,” changed the world of mutual…
Who is John B. Taylor? John B. Taylor is the Mary and Robert Raymond Professor of Economics at Stanford University.…
What does the Johannesburg Interbank Average Rate (JIBAR) stand for? People in South Africa use the Johannesburg Interbank Average Rate…
How much is the Jobseeker’s Allowance? (JSA) The Jobseeker’s Allowance (JSA) is a payment for people in the U.K. who…
What does job growth mean? The U.S. Bureau of Labor Statistics (BLS) reports monthly job growth by looking at the…
What is the JGTRRA? The Jobs and Growth Tax Relief Reconciliation Act (JGTRRA) was a tax law that Congress passed…
What Does Jobless Recovery Mean? A jobless recovery is when the economy returns from a slump but the unemployment rate…
Unveiling the Meaning of Jobless Claims The U.S. Department of Labor releases a crucial statistic each week called “jobless claims,”…
Introduction In the dynamic realm of finance, the term “jobber” plays a pivotal role in influencing trading landscapes and market…
What is the Job Openings and Labor Turnover Survey (JOLTS)? In the ever-evolving landscape of economic indicators, the Job Openings…
What is the job market? The job market is where employers search for employees and employees search for jobs. The…
What Does a Job Lot Mean? In economics, a “job lot” is a futures contract for a commodity that has…
What is the JMD (Jamaican Dollar)? With 100 cents, the Jamaican dollar (JMD) is the official currency of the island…
What is Jitter? A jitter is a way to stop skimming that changes the speed or motion of the card…
What Does a Jitney Do? If a broker doesn’t have direct access to an exchange, they rely on another broker…
Sam Walton started Walmart Inc., and his youngest son is Jim Walton. From 2005 to 2016, he was on Walmart’s…
As a former hedge fund manager, TV show host, and star of CNBC’s “Mad Money,” Jim Cramer now runs the…
What Is a Jewelry Floater? You can protect your valuable property with extra insurance and a jewelry floater. People often buy…
A vital stock dealer in the early 1900s was Jesse L. Livermore. Even though he didn’t go to school, he…
What is Jesse H? Jones Graduate School of Business? This phrase refers to the graduate school of business at Rice…
Who is Jerry A. Hausman? Jerry A. Hausman is a professor of economics at MIT and the head of the…
What is Jerome Kerviel? Before he left Société Générale, Jerome Kerviel worked as a junior futures trader for the company.…
What does Jensen’s measure mean? Jensen’s measure, also called Jensen’s alpha, is a way to look at the average return…
What is a payment annuity that starts right away? A person enters into a contract with an insurance company for…
What do Jekyll and Hyde mean? Using a literary allusion, the term “Jekyll and Hyde” refers to a stock market…
Professor and economist Jean-Baptiste Say was from France. He was a classical liberal. Say was born in Lyon and had…
How do I understand an Immediate or Cancel Orders (IOC)? Immediate or cancel orders (IOCs) are purchase or sell orders…
What does the Jarrow Turnbull Model mean? The Jarrow Turnbull model is one of the first simplified models for figuring…
What does JPY stand for? JPY stands for the Japanese yen, which is Japan’s currency. ¥ is a common way…
What is a Japanese Government Bond (JGB)? A Japanese Government Bond, or JGB, is a bond that the Japanese government…
Immediate family? Most of us define “immediate family” in our thoughts, but legal papers and workplace regulations may do otherwise.…
What does Japan, Inc. do? Japan, Inc. is a name for the country’s modern, highly organized economy and its plan…
What is an ETF for Japan? The term Japan ETF refers to an exchange-traded fund (ETF) that invests the majority of its…
The Japan Credit Rating Agency The Japan Credit Rating Agency (JCR) rates corporate debt for Japanese and foreign bond issuers.…
What is the Japan Association of Securities Dealers Automated Quotation (Jasdaq)? The Japan Association of Securities Dealers Automated Quotation (Jasdaq) …
The January Effect is the idea that stock prices go up every January because it’s that time of year. Analysts…
What is the barometer for January? “January Barometer” refers to the idea that some traders have that the S&P 500…
Jan Tinbergen was a Dutch economist who shared the first Nobel Memorial Prize in Economics with Ragnar Frisch in 1969.…
James Tobin was a neo-Keynesian economist who won the Nobel Prize in Economics in 1981 for his work on the…
James M. Buchanan Jr. was an American economist who won the Nobel Prize in 1986 for his work on public…
James H. Clark is a famous businessman and computer scientist. He may be best known for starting Netscape with Marc…
How do I get to the Indonesia Stock Exchange (IDX)? In Indonesia, the Indonesia Stock Exchange (IDX) handles trades in…
What is the Jackson Hole Economic Symposium? The Federal Reserve Bank of Kansas City has put on the Jackson Hole…
What is a jackpot? The word “jackpot” refers to a big win from gaming. Regarding money, “jackpots” are significant gains…
Back in 1981–2001, Jack Welch was the chair and CEO of General Electric (GE). Welch raised GE’s market value from…
What Does a J-Curve Mean? A J-curve is a trendline showing a loss at the beginning and a considerable gain…
What Does a J Curve Mean? If certain assumptions are accurate, the J-curve economics theory says that a country’s trade…
What does J mean? Nasdaq-listed stocks with the symbol “J” have the right to vote. The name is the fifth…
How does hysteresis work? When it comes to economics, hysteresis is an event in the economy that keeps happening even…
What does hypothesis testing mean? Researchers in statistics use hypothesis testing, also known as significance testing, to test a theory…
What does hypothecation mean? Hypothecation is putting up an item as security for a loan. The owner of the asset…
What Does HyperText Markup Language (HTML) Mean? When you add markup symbols or codes to a file you want to…
What is a hypermarket? A hypermarket is a store that has both a department store and a food store. Hypermarkets,…
What is Hyperledger Iroha? If your company employs distributed ledger technology, you should look at Hyperledger Iroha, a blockchain platform…
What is Hyperledger Fabric? The Hyperledger Fabric is an enterprise-focused modular blockchain architecture that lays the groundwork for private-sector blockchain…
What exactly is Hyperledger Explorer? Hyperledger Explorer is an open-source blockchain utility module that lets users build a user-friendly web-based application…
What is Hyperledger Composer? Hyperledger Composer is a framework that facilitates the development of blockchain applications. Hyperledger Composer is a…
How does Hyperledger Burrow work? One such framework for permission-based blockchain-intelligent contract execution is Hyperledger Burrow. Hyperledger, an incubator for…
What Is Hyperinflation? A state of hyperinflation is characterized by general price rises that are excessive, happen too quickly, and…
What is hyperdeflation? Hyperdeflation occurs when an economy experiences a degree of exceedingly significant and reasonably rapid deflation. Explanation of…
What is a hydrocarbon? A hydrocarbon is an organic chemical molecule with two elements—hydrogen and carbon—as its only constituents. Crude…
What does a hydraulic fracture mean? In hydraulic fracturing, people often use the term “fracking” to inject high-pressure liquid into…
What is hybrid security? Combining elements of many financial instruments into one security is known as a hybrid security. Hybrid…
What is a hybrid fund? Diversification over two or more asset classes is the defining characteristic of a hybrid fund,…
What is a hybrid ARM? Mixing features of both fixed-rate and adjustable-rate mortgages, a hybrid adjustable-rate mortgage (or “fixed-period ARM”)…
What is a hybrid annuity? One way to invest for retirement income is with a hybrid annuity, which allows you…
What is hurricane insurance? There isn’t a distinct policy type known as hurricane insurance. Typically, people refer to the extra…
What is a hurdle rate? A hurdle rate is the minimal return required for a project or investment as a…
What Are Hung Convertibles? Hung convertibles refer to convertible securities in which the market value of the underlying security falls…
What is an issuer? An issuer is a legal entity that creates, registers, and sells securities to fund their activities.…
What is an Issuer Identification Number (IIN)? Payment card issuer identification number (IIN) identifies the bank or financial organization that…
What Are Itemized Deductions? An itemized tax deduction reduces taxable income and lowers taxes by subtracting expenses from your adjusted…
What Is a Humped Yield Curve? A humped yield curve is unusual when medium-term fixed-income assets have more excellent interest…
What is human resources (HR)? Companies’ Human Resources (HR) departments seek, screen, and train job candidates. Additionally, it manages employee…
What is Human Resource Planning (HRP)? Human Resource Planning (HRP) is a systematic planning approach that maximizes an organization’s most…
What Is the Human-Life Approach? The human-life methodology determines the necessary life insurance for a family based on the financial…
What is the Human Development Index (HDI)? The UN has calculated the Human Development Index (HDI) since 1990 to assess…
What is human capital? Human capital refers to the economic worth of a worker’s experience and talents. Human resources comprise…
What is the Hull-White Model? The Hull-White model prices interest rate derivatives using a single component. The Hull-White model assumes…
What is a Hulbert rating? The Hulbert rating measures the performance of an investing newsletter over time. Paid investment newsletters…
What is Hungarian Forint (HUF)? The Hungarian forint (HUF) is Hungary’s official currency. Hungary’s central bank, Magyar Nemzeti Bank, issues…
What is a HUD-1 Form? HUD-1 Settlement Statements are standardized mortgage financing documents. In a consumer credit mortgage transaction, creditors…
What Is Hubris? Hubris is excessive confidence or arrogance that makes people think they can do no wrong. Hubris creates…
What is Hubbert’s Peak Theory? According to Hubbert’s peak hypothesis, world crude oil output will peak and drop in a…
What is the Hubbert curve? The Hubbert curve predicts the possible production rate of a finite resource over time. It…
What is a Hub and Spoke Structure? Investment businesses employ hub-and-spoke models to combine assets, reduce expenses, and boost efficiency.…
What is an HSA custodian? The HSA custodian is an IRS-approved financial institution such as banks, credit unions, insurance companies,…
What is the Howey Test? An asset must fulfill four Howey Test conditions to be an “investment contract.” A security…
What is a housing unit? An individual or household can eat, sleep, and live in a housing unit. The unit…
What Are Housing Starts? “Housing starts” means building a new home. This phase is significant since it starts building a…
What’s Illiquid? Stocks, bonds, and other assets that cannot be sold or exchanged for cash without a significant loss are…
NAHB/Wells Fargo Housing Market Index (HMI)? The monthly NAHB/Wells Fargo Housing Market Index (HMI) surveys home builders’ moods. The index…
A housing expense ratio? The housing expense ratio compares housing costs to pre-tax income. Often, lenders use it to evaluate borrowers for…
What’s a housing bubble? Housing prices rise until they burst due to demand, speculation, and extravagant spending. The housing bubble…
What Are Housing Authority Bonds? State or municipal governments issue housing authority bonds to support affordable rental housing construction or…
What is the Housing and Economic Recovery Act (HERA)? The Housing and Economic Recovery Act (HERA) targeted the 2008 subprime…
What is household income? Household income is the total gross income of all members above a certain age. Household income…
Household expenses? Household expenses are per-person living costs. They cover accommodation, home meals, utilities, and other expenses. To get each…
Definition of Household Employee A household employee is an employee at their employer’s home. Employers decide what homeworkers do and…
What is the House Price Index (HPI)? The House Price Index (HPI) tracks U.S. single-family home prices. This program tracks…
What’s House Poor? “House poor” refers to those who spend significant income on homeownership, including mortgage payments, property taxes, upkeep,…
What is idle time? Idle time is paid when an employee or machine is unproductive for reasons management can control.…
Idiosyncratic Risk? Whether it’s a company’s stock, a sector, or a specific asset class, idiosyncratic risk is a sort of…
What’s identity theft? Identity theft is stealing someone else’s personal or financial information to perpetrate fraud, such as unlawful purchases.…
Is an asset identifiable? An identifiable asset is a commercial or fair asset that can be quantified at a particular…
What is Ideation? Ideation is creating and communicating prescriptive concepts, usually in business. It describes the mental process from concept…
What is ICON (ICX)? ICON facilitates community connections among independent blockchains. ICON defines a community as a network of nodes…
What’s the House Money Effect? The house money effect explains why investors take on more risk when reinvesting investment profits…
House maintenance requirements? A house maintenance requirement is the minimum margin of account equity a brokerage business needs. House upkeep…
What is a house call? A house call is when a brokerage firm requests that an account holder deposit sufficient…
What is Hotelling’s Theory? Hotelling’s theory states that nonrenewable resource owners will only manufacture essential commodities if they can earn…
What’s a hot wallet? Hot wallets are always online and linked to cryptocurrency networks. Hot wallets enable you to transfer…
What is Ichimoku Kinko Hyo? The Ichimoku Kinko Hyo, or Ichimoku, is a technical indicator that predicts momentum, future support,…
What’s the Ichimoku Cloud? The Ichimoku Cloud is a technical indicator set that indicates support, resistance, momentum, and trend direction.…
The Hot Waitress Economic Index? The insulting and doubtful hot waitress economic index ranks attractive servers. The appealing server index…
What’s hot money? Hot money is a currency that often travels across financial markets, allowing investors to get the most…
What is a hot IPO? A hot IPO is an initial public offering with high demand. Popular IPOs get investor and…
What is a hot issue? A “hot issue” in finance refers to a forthcoming IPO popular among investors. Investors often oversubscribe…
Which hand is hot? The “hot hand” theory states that a streak of achievement makes one more likely to succeed.…
What Is a Hostile Takeover Bid? A hostile takeover offer involves acquiring a controlling stake in a public business without…
What Is a Hostile Takeover? “Hostile takeover” refers to a firm acquired by another against its desires. A hostile takeover…
What is a Hostile Bid? Hostile Bid: Bidders offer hostile takeover bids directly to target business shareholders when management opposes the…
What is a hospital revenue bond? A hospital revenue bond is a municipal bond that supports building new or upgraded…
What is the Hospital Insurance Trust Fund? The Federal Hospital Insurance Trust Fund, often known as Medicare Part A, provides…
What is a horizontal well? A horizontal well is directional drilling that digs an oil or gas well at least…
What is a horizontal spread? Horizontal spread is simultaneously long and short positions in derivatives with the same underlying asset…
What is a horizontal merger? A horizontal merger is an industry-related company consolidation. Higher competition among similar companies leads to…
Definition of Horizontal Market Products in a horizontal market are diverse enough to fulfill the demands of several industries. Horizontal…
What is a horizontal line? Technical analysis uses a horizontal line on price charts to indicate support or resistance zones.…
Iceberg Order: How to Identify It?An iceberg order? An iceberg order is a huge single order broken into smaller limit…
What is horizontal integration? Horizontal integration involves acquiring a firm in the same industry that produces or provides similar goods…
What’s horizontal equity? Horizontal equity holds that people with equal income and assets should pay the same taxes. Equal people…
What is a horizontal channel? The horizontal channel is a trendline connecting pivot highs and lows, indicating the price between resistance…
What’s horizontal analysis? In financial statement analysis, horizontal analysis compares historical data across accounting periods, such as ratios or line…
What is a horizontal acquisition? Horizontal acquisition occurs when one business buys another in the same industry and production stage.…
What’s a horizon analysis? Horizon analysis evaluates the discounted returns of an asset or investment portfolio over many periods or…
What is the Hope Now Alliance? Hope Now Alliance is a public-private project to prevent house foreclosures caused by the…
What Was Hope Credit? The Hope Benefit, or Hope Scholarship Tax Credit, was a nonrefundable education tax benefit for qualifying…
What’s a hook reverse? Hook reversals are short-term candlestick patterns that indicate a trend reversal. The pattern is characterized by…
What is an honorarium? Honoraria are voluntary payments for services that are not legally or historically required. Honoraria, often used…
What’s Hong Kong SAR, China? Chinese and regional financial leaders Hong Kong is the primary financial and business hub. Hong…
What is the Hong Kong Monetary Authority Investment Portfolio? The Hong Kong Monetary Authority Investment Portfolio is its investment portfolio.…
What is the Hong Kong Monetary Authority (HKMA)? Founded in 1993, the Hong Kong Monetary Authority (HKMA) manages inflation and…
What Is the Hong Kong Interbank Offered Rate (HIBOR)? In Hong Kong, the Hong Kong Interbank Offered Rate (HIBOR) is…
What is HKEx? Hong Kong Exchanges and Clearing Limited (HKEx) is a global market operator and publicly listed holding business.…
What Is Homoskedastic? In a regression model, homoskedasticity (also known as “Homoskedastic”) occurs when the variance of the residual, or…
What Are “Homogeneous Expectations”? “Homogeneous expectations” in Harry Markowitz’s Modern Portfolio Theory (MPT) imply that all investors make the same…
What’s homo economicus? Some economists use the term “homo economicus” to refer to a rational human being. Some neoclassical economic…
Definition of Homestead Exemption A homestead exemption reduces property taxes for homeowners. In several places, a legal provision protects a…
What is the Homeowners Protection Act? The Homeowners Protection Act of 1998 aims to eliminate the wasteful use of private…
What’s homeowner’s insurance? Homeowners insurance protects against losses and damages to a house, including furniture and other possessions. Owners insurance…
What is a Homeowners Association (HOA) Fee? The phrase “homeowners association (HOA) fee” refers to the monthly payment some residential…
What is a Homeowners Association (HOA)? A homeowner association (HOA) sets and enforces regulations for residents and properties in a…
What Is Homemade Leverage? Individual investors utilize homemade leverage to manipulate corporation leverage. Individuals investing in a firm without leverage…
What Are Homemade Dividends? Individuals might make homemade dividends by selling a piece of their investment assets. These assets differ…
What’s a home warranty? A home warranty covers the expense of servicing household systems or equipment for a defined period.…
What does a home office cost? Home office Expenses refer to expenses incurred from running a company or doing employment-related…
What is a home office? A home office is a business area in a house. It accommodates freelancers and distant…
What Is a Mortgage Interest Deduction? Deducting mortgage interest from taxable income is a frequent itemized deduction for homeowners who…
What is the Home Mortgage Disclosure Act (HMDA)? The federal Home Mortgage Disclosure Act (HMDA) requires mortgage lenders to retain…
What Is a Home Mortgage? A house mortgage is a loan from a bank or financial institution to acquire a…
What is a home modification? Home modification refers to alterations done to a home to accommodate those with physical disabilities,…
What’s the home market effect? Staffan Linder proposed the home market effect in 1961, and Paul Krugman formalized it in…
What is a home inspection? Real estate sales frequently include a house inspection to assess its condition and safety. A certified…
What is a home equity loan? A home equity loan often called an equity loan, installment loan, or second mortgage,…
What is a Home Equity Conversion Mortgage (HECM)? A FHA-insured home equity conversion mortgage (HECM) is a reverse mortgage. Seniors…
What is home equity? Home equity is a homeowner’s financial stake in their home. Essentially, it is the property’s market…
What Is Home Country Bias? Home Country bias is that investors favor domestic enterprises over foreign ones. Investing locally is…
What is the Home Buyers’ Plan (HBP)? The Home Buyers’ Plan (HBP) in Canada allows RRSP holders to borrow up to CAD…
What’s home bias? The term home bias refers to the tendency for investors to invest the majority of their portfolio…
What is home banking? Instead of visiting branches, home bankers handle transactions. Home banking often includes mobile, online, telephone, or…
What is the Home Affordable Refinance Program (HARP)? The Home Affordable Refinance Program (HARP) , a Federal Housing Finance Agency…
What is a home? A home is a physical building where a person or household lives. A home is a…
Definition of Holographic Will A holographic will is a handwritten, testator-signed document that can replace a lawyer-produced will. Not all…
What is the Hollywood Stock Exchange (HSX)? At the Hollywood Stock Exchange (HSX), “investors” anticipate the success of numerous entertainment…
Hollowing Out What? Hollowing out refers to a country’s manufacturing industry deteriorating as firms choose low-cost facilities abroad. Eliminating this…
What are holdovers? The phrase “holdovers” in finance refers to unprocessed transactions, such as checks. Check holdovers usually last one…
A holdover tenant is what? Holdover tenants stay in a property after the lease ends. If the landlord accepts rent,…
What’s Holding? Holdings refer to the investments owned by individuals or entities, such as mutual funds or pension funds. Investment…
What holds the market? “Holding the market” refers to putting active or pending orders for an asset in a falling…
The Holding Period Return/Yield? The holding period return is the overall return on an asset or portfolio over a specific…
What is the holding period? The holding period is the time between an investor’s acquisition and sale of securities. The…
What Are Holding Costs? Holding costs refer to the expenses of holding unsold merchandise. Total inventory expenses include these charges…
What was a Holding Company Depository Receipt (HOLDR)? A holding company depository receipt (HOLDR) enables investors to trade several equities…
What’s a holding company? The holding company is generally a corporation or LLC. Holding companies seldom manufacture, market, or operate…
What is a Hold Harmless Agreement? A keep harmless provision in a contract releases one party from obligation for another’s…
What’s Holdco? Holdco, which stands for “holding company,” controls one or more other companies. Holdco does this by acquiring shares…
What’s the record holder? The holder of record is the registered owner of securities and has ownership rights, advantages, and…
What is a hold? An analyst recommends holding a stock. A hold recommendation means a firm should perform like the…
What’s Holacracy? Holacracy is a corporate governance structure where team members collaborate to achieve company goals through unique, independent, and…
What is the Hodrick-Prescott (HP) filter? The Hodrick-Prescott (HP) filter smooths the data. Applying the HP filter during analysis removes…
The Meaning of HODL HODL, a misspelling of “hold,” refers to buying and holding cryptocurrency like Bitcoin. Crypto investors use…
What Is a Hockey Stick Chart? A hockey stick chart is a price line chart that shows abrupt increases post-quiescence…
Definition of Hobby Loss The IRS defines hobby loss as a loss from a company considered a hobby or recreational…
What’s Hoarding? Hoarding is when a speculator buys and stores enormous amounts of a product to profit from future price…
What Is H.M. Revenue & Customs HMRC? The U.K. tax authority is HM Revenue & Customs (HMRC). The agency collects…
What Is Hit the Bid? Traders use the term “hit the bid” to sell at the maximum price a buyer…
What is Historical Volatility (HV)? Historical volatility (HV) statistically measures the return distribution for a securities or market index over…
What are historical returns? Historical returns refer to the previous performance of a security or index, such as the S&P…
What’s the historical cost? Accounting uses historical costs to reflect the asset value on the balance sheet at their original…
What is a Historic Structure? Historic structures are subcategories of historic properties on the National Register of Historic Places. A…
What’s historic pricing? Historic pricing is a unit pricing approach that uses the latest determined valuation point to determine asset…
What is a histogram? A histogram displays data points in user-specified ranges. Like a bar graph, the histogram simplifies data…
What is a hiring freeze? A hiring freeze is when a business temporarily ceases hiring to cut costs. Financial difficulties…
What is a Hire Purchase Agreement? Buy pricey products using a hire purchase, where the buyer pays a down payment…
What is the HIPAA Authorization Waiver? HIPAA Authorization Waiver: A legal instrument allowing the use or disclosure of personal health information…
What Is Hindsight Bias? Due to hindsight bias, people might convince themselves that they foresaw an occurrence afterward. This might…
What is the Hindenburg Omen? The Hindenburg Omen is a technical indicator that predicts a stock market disaster. The indicator…
Describe the Hikkake pattern. Technical analysts and traders utilize the hikkake pattern to predict market direction. One configuration implies a…
What is a Highly Leveraged Transaction (HLT)? A highly leveraged transaction (HLT) is a bank loan to debt-laden companies. They…
What is a Highly Compensated Employee (HCE)? The IRS defines a highly compensated employee (HCE) as one who fits one or…
What is Highest In, First Out (HIFO)? The highest-in, first-out (HIFO) inventory distribution and accounting use the inventory with the most…
What is the 1965 Higher Education Act? The Higher Education Act of 1965 (HEA) helps postsecondary students and strengthens U.S.…
What is a high-yield investment program (HYIP)? A high-yield investment program (HYIP) is a scam that promises substantial returns. To attract…
A high-yield bond spread? High-yield bond spreads are the percentage difference in current yields between various classes of bonds and…
What is a high-yield bond? Junk bonds, often known as high-yield bonds, have worse credit ratings than investment-grade bonds and…
Definition of High-Water Mark An investment fund or account’s high-water mark is its highest value peak. They are often used…
What’s the High Street Bank? High Street Bank is a central retail bank with several branch locations. The central business…
What Is a High-Speed Data Feed? High-speed data streams enable real-time examination of price quotations and yields in high-frequency trading…
What Is a High-Ratio Loan? A high-ratio loan is a loan with a high loan value compared to the collateral…
What is an HNWI? A high-net-worth individual (HWNI) is a financial sector classification that refers to individuals with liquid assets…
What Is High Minus Low (HML)? The value premium, or High Minus Low (HML), is one of three components in…
What is the High-Low Index? The high-low index compares equities at 52-week highs and lows. Investors and traders use the…
What is High-Frequency Trading (HFT)? High-frequency trading (HFT) is a trading approach that employs sophisticated computer systems to process several…
What is a High-Deductible Health Plan (HDHP)? A high-deductible health plan (HDHP) is a health insurance plan with a high…
What Are High Earners Not Rich Yet (HENRYs)? Henrys are people with high discretionary income and the potential for future…
What’s high-close? Stock manipulators utilize a high-close method to make minor trades at high prices appear successful in the closing…
What is a high beta index? A high beta index is a stock basket with higher volatility than a broad…
What is the hierarchy of GAAP? The hierarchy of GAAP is a four-level framework ranking FASB, SEC, and AICPA guidance…
The hierarchy-of-effects hypothesis explains how advertising affects consumers’ behavior towards a product or service. The hierarchy shows how advertising affects…
A Hierarchical Deterministic (HD) wallet? A hierarchical deterministic (HD) wallet stores digital keys for cryptocurrency holders like Bitcoin and Ethereum.…
What are hidden values? A company’s balance sheet may undervalue hidden values, which may not affect its share price. Value…
What is a hidden tax? Consumers are unaware of hidden levies on things they purchase. The hidden tax is based…
What’s Heuristics? Heuristics are mental shortcuts often employed to simplify difficulties and prevent cognitive overload. The human brain developed and…
What is heteroscedasticity? Heteroscedasticity in statistics refers to the nonconstant standard deviations of a predicted variable over distinct, independent variables…
Definition of Heteroskedastic Heteroskedasticity occurs when the residual term, or error term, in a regression model has significant variation. If…
What is heterodox economics? Researching economic ideas outside conventional or orthodox schools of thought is known as heterodox economics. Heterodox…
What is the Heston model? The Heston Model, named after Steve Heston, is a stochastic volatility model for pricing European…
What is the Hersey-Blanchard Model? The Hersey-Blanchard Model offers no superior leadership style. The idea argues that leaders should tailor…
What’s the Herrick Payoff Index? The Herrick Payoff Index is a technical analysis tool that measures price, volume, and open…
What’s the Hero Act? The 2006 Heroes Earned Retirement Opportunities (HERO) Act enables military members to build their IRAs using…
What is the Heritage and Stabilization Fund (HSF)? The Trinidad and Tobago government created the Heritage and Stabilization Fund in…
What is herd instinct? Herd instinct is when people join organizations and follow others’ behaviors, assuming they’ve done their studies.…
Who was Herbert A. Simon? In 1978, American economist and political scientist Herbert A. Simon (1916–2001) received the Nobel Memorial…
What’s Henry Hub? The Henry Hub pipeline near Erath, Louisiana, is the official delivery destination for NYMEX futures contracts. Sabine…
What is the University of Iowa Tippie College of Business? The University of Iowa Tippie College of Business is the…
What is the Help-Wanted Index? The Conference Board’s Help-Wanted Index (HWI) assesses businesses’ job-matching efficiency with the jobless, a critical…
What Is a Hell or High Water Contract? A hell or high water contract (sometimes called a promise-to-pay contract) is…
What is a helicopter drop (helicopter money)? Milton Friedman coined the term “helicopter drop” to suggest that monetary policy transmission…
Definition of Held-to-Maturity Securities (HTM) Investors buy held-to-maturity (HTM) assets to hold till maturity. A company’s management may buy a…
What’s Order Held? A held order is a market order that needs rapid execution for fulfillment. This differs from a…
A Held-by-Production Clause? A “hold-by-production” clause in an oil or natural gas lease permits the lessee, often an energy corporation,…
What’s an heir? A legal heir is an individual who inherits the inheritance of a deceased person who died intestate,…
What is the Heikin-Ashi Technique? The Heikin-Ashi approach averages price data to eliminate market noise and generate Japanese candlestick charts.…
What’s hedonic regression? Hedonic regression uses a regression model to quantify variables’ impact on an item’s price or demand. In…
Define hedonic pricing Hedonic pricing establishes price variables based on the idea that internal and external influences impact price. Hedonic pricing…
Definition of Hedging Transaction An investor uses a hedging transaction to reduce the risk of losing money or incurring a…
What is a hedged tender? An investor uses a hedged tender technique to sell a portion of their shares, expecting…
What is the hedge ratio? The hedge ratio compares the value of a hedged position to the total size of…
What is a hedge fund manager? Hedge fund managers oversee operations, make investment choices, and administer funds. The possibility of…
What’s a hedge fund? A hedge fund is a limited partnership of private investors managed by professionals who utilize various…
What’s a hedge clause? A hedging clause in a research report attempts to free the writer of responsibility for the…
Define Hedge Accounting Hedge accounting treats inputs to change the fair value of a security and its opposing hedge as…
What is a hedge? In finance, to hedge is to balance an existing position with an asset or investment to…
What is the Heckscher-Ohlin Model? The Heckscher-Ohlin model suggests that nations export their most efficient and abundantly produced goods. The…
What is heavy industry? High capital costs, entrance obstacles, and limited transportability characterize heavy industry. The phrase “heavy” alludes to…
What’s a heatmap? A heatmap is a two-dimensional color depiction of data with distinct values. Use heatmaps to analyze data such…
The Heath-Jarrow-Morton (HJM) Model? The Heath-Jarrow-Morton Model (HJM) helps predict future interest rates. Modeling these rates with an existing interest…
What is Heating Degree Day (HDD)? Heating degree day (HDD) assesses building energy use. The average daily temperature below 65°…
What is the healthcare sector? Businesses in the healthcare industry provide medical services, manufacture medical equipment or pharmaceuticals, provide medical…
Definition of Healthcare Power of Attorney A healthcare power of attorney (HCPA) permits someone to delegate medical decisions to another…
What is a Health Savings Account (HSA)? The Health Savings Account (HSA) is tax-advantaged for individuals with a high-deductible health…
What is a Health Reimbursement Arrangement (HRA)? Employers finance a health reimbursement arrangement (HRA) to compensate employees for eligible medical…
What are the health plan categories? Federal health plan categories are four types of insurance plans distinguished by the average…
What is a Health Maintenance Organization (HMO)? Individuals seeking health insurance might locate many suppliers with distinct qualities. A prominent…
What is the Health Insurance Portability and Accountability Act (HIPAA)? In 1996, Congress passed the Health Insurance Portability and Accountability…
What is the ACA Health Insurance Marketplace? The Health Insurance Marketplace covers individuals, families, and small companies. The Affordable Care…
What is health insurance? Companies and consumers contract for health insurance. The corporation covers the insured’s healthcare expenditures in exchange…
What Is a Heads of Agreement? A “heads of state” agreement is a non-binding contract that specifies the fundamental elements…
What Is Headline Risk? Headline risk is the risk that a news article may hurt a stock or commodity. Headline…
What is headline inflation? The Bureau of Labor Statistics (BLS) releases the Consumer Price Index (CPI) monthly to measure headline…
The headline effect? Negative press coverage affects a company or economy through its headline effect. Many economists think unfavorable news…
What are headline earnings? Headline earnings show business results solely based on operating, trade, and capital investment activity from the…
A Headhunter-What? A headhunter recruits employees for an employer. Companies engage headhunters to uncover candidates who satisfy job criteria. Headhunters, often…
What is a Head Trader? A head trader manages a trading business’s positions, risk, and profitability. A registered securities firm’s…
What is the Head of Household (HOH)? Unmarried taxpayers who support and house an eligible individual file as heads of…
What is a head-fake trade? A head-fake transaction happens when a security’s price initially swings one way, then the other.…
What is the Head and Shoulders Pattern? Using a head-and-shoulders pattern in technical analysis This chart pattern suggests a bullish-to-bearish…
What is a hazardous activity? Life and disability insurance policies consider hazardous activity and high-risk recreational pursuits. The activities are…
What is the hazard rate? The hazard rate is the death rate for an object of a certain age (x).…
What is Hazard Insurance for Homeowners? Hazard insurance protects property owners from damage from natural catastrophes such as fires, severe…
What is the Hawthorne Effect? According to the Hawthorne Effect, subjects of an experiment or research are more likely to…
What Is Hawk Inflation? A hawk in inflation or economics is a policymaker or counselor focused on the influence of interest…
What is Hawala? Hawala is an informal way to transmit money without cash. The term means “money transfer without money…
What’s Hashgraph Consensus? Hashgraph consensus is a blockchain consensus alternative or next-generation technology. A protocol that leverages node communication records…
What Is a Hashed Timelock Contract (HTLC)? Hashed timelock contracts (HTLCs) are blockchain smart contracts. Using a cryptographic passcode to…
What are hash functions? The mathematical function hash turns an arbitrary input into an encrypted output of a defined length.…
What’s the harvest strategy? A harvest strategy is a marketing and business plan that reduces or eliminates investments in a…
What is the Harvard MBA Indicator? A contrarian long-term stock market indicator, the Harvard MBA Indicator, measures the percentage of…
What is the Harvard Business School? Harvard Business School at Harvard University in Boston, Massachusetts, is world-renowned. Founded in 1908,…
What is the Hart-Scott-Rodino Antitrust Improvements Act of 1976? Under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, significant firms must…
Nobel Prize-winning American economist Harry Markowitz (1927) pioneered Modern Portfolio Theory (MPT), recognizing the importance of a portfolio over individual…
What is the Harmonized Sales Tax (HST)? Customers and companies in Canada pay the harmonized sales tax (HST) on consumption.…
Which is the Harmonized Index of Consumer Prices? The Harmonized Index of Consumer Prices (HICP) measures EU inflation. Prices paid…
What Is a Harmless Warrant? A harmless warrant is a clause that requires bondholders to relinquish their existing bond to…
What Is a Hardship Withdrawal? The IRS defines a hardship withdrawal as an emergency withdrawal from a retirement plan for…
What was the hardship exemption? People who couldn’t afford health insurance due to personal or financial difficulty received a hardship…
What’s Harden? A hardening market refers to rising securities prices and decreasing volatility in a particular financial market. Generally, the…
What Is a Hard-To-Borrow List? Brokerages utilize a hard-to-borrow list to identify equities that are challenging to borrow for short…
What’s Hard Stop? Brutal halt is a notion, not an order type. A hard stop suggests a price level that,…
What is a hard skill? Job-related hard skills are mainly technical. We learn and improve them through education and experience.…
What’s hard selling? An advertising or sales technique with direct and demanding language is hard to sell. A complex sale…
What is a hard money loan? Real property secures a hard-money loan. Hard-money loans are “last resort” or bridge loans.…
What’s hard money? Initially called metallic money, hard money is more complicated than paper cash. The phrase “cold, hard cash”…
What’s a hard loan? Hard loans are international loans that require payment in a stable and economically strong nation’s currency.…
What’s Hard Landing? A hard landing is a sharp economic fall after fast expansion. Aviation uses the phrase “hard landing”…
Definition of Hard Inquiry A hard inquiry is a lender requesting your credit report from a credit agency. When you…
What Is a Hard Fork? In blockchain technology, a hard fork is a significant protocol update that validates invalid blocks…
What Exactly Are Hard Dollars? The term “hard dollars” refers to the monetary fees or payments an investor or client…
What’s hard currency? Hard currency comes from politically and economically solid nations. Hard currencies are accepted worldwide for goods and services…
What’s Hard Call Protection? Hard call protection, also known as absolute call protection, prevents the issuer from redeeming a callable…
what are hard assets? A hard asset is a physical, valuable resource. Hard assets include consumer products, delivery vehicles, land,…
What’s a Harami Cross? A harami cross is a Japanese candlestick pattern with a considerable candlestick moving in the trend…
What’s Happy Economics? The academic study of happiness economics examines the link between individual contentment and economic factors like employment…
What is a hanging man candlestick? A hanging man candlestick indicates a potential price drop during an upswing. A small,…
What is the Hang Seng Index (HSI)? The Hang Seng Index (HSI) is a market capitalization-weighted index of the top…
A hands-off investor? A hands-off investor wants to create a portfolio and make minimal modifications over time. Index and target-date…
What’s a handle? A handle is the integer part of a price quote, which means it is the part of…
What is HGB? The Handelsgesetzbuch (HGB) is a law that regulates the main commercial code for companies in Germany. The…
What’s the Hamptons Effect? After Labor Day, traders and investors experienced increased trading activity, commonly called the Hamptons Effect. One…
What’s Hammering? Hammering refers to the quick and concentrated sale of stock shares in response to an unanticipated incident that…
Definition of the Hammer Clauses A hammer provision in an insurance contract allows the insurer to force the insured to…
What’s a Hammer Candlestick? A hammer is a candlestick chart pattern where an asset trades below its initial price but…
What are the halo effects? Consumers appreciate a range of items due to positive experiences with previous products from the…
The Halloween strategy? Known as the Halloween technique, Halloween impact, or Halloween indication, this market timing method assumes equities perform…
What was the Halloween Massacre? In 2006, the Canadian government taxed all income trusts in the country, known as the…
What’s the half-year depreciation convention? The half-year convention involves depreciating all property purchased during the year as if acquired in…
What’s half stock? Half stock is a security with a 50% par value compared to the ordinary price. A bond’s…
What is a haircut? A financial haircut has two meanings. Commonly, a haircut refers to the percentage difference between an…
What’s Haggle? Haggling occurs when two parties negotiate an item or service price until they reach a reasonable agreement. Haggling includes…
What is hacktivism? Hacktivism is a social or political act that involves hacking into and disrupting a secure computer system.…
What is the Habendum Clause? A Habendum clause includes property rights, interests, and ownership elements for one party in a contract.…
What’s Haas Business School? UC Berkeley’s Haas School of Business The 1898-founded Berkeley institution provides undergraduate and graduate studies. The oldest…
What are H-Shares? H-shares are shares of Chinese mainland enterprises listed on the Hong Kong Stock Exchange or other international…
What is net interest income? Net interest income measures a bank’s financial performance by comparing revenue from interest-bearing assets against…
What is gross interest? Gross interest is the yearly interest rate on an investment, security, or deposit account before taxes…
The Gross-Income Test? In the US, dependents must satisfy five criteria, including the gross income test, to be considered dependents. Dependents…
What Is a Gross Income Multiplier? Gross income multiplier (GIM) is an approximate investment property valuation tool. Divide the property’s…
What is gross income? Gross income, or gross pay on a paycheck, is an individual’s entire earnings before taxes or…
What is gross exposure? Gross exposure measures a fund’s total investments. The value of a fund’s long and short positions…
What is the Gross Expense Ratio (GER)? A mutual fund’s gross expense ratio (GER) measures the percentage of assets allocated…
Definition of Gross Estate A person’s “gross estate” is the financial worth of their property and assets upon death. This amount…
What are gross earnings? An individual, household, or company’s gross profits are their overall income over time. Gross earnings are…
What is the Gross Domestic Product (GDP)? The total monetary or market worth of all completed products and services produced…
What’s Gross Domestic Income (GDI)? Gross domestic income (GDI) is a country’s economic activity based on all payments for goods…
What’s a gross dividend? For tax reasons, a gross dividend is an investor’s total dividends, like gross income. Before deducting…
What is the Gross Debt Service Ratio? Financial lenders use the gross debt service (GDS) ratio to evaluate a borrower’s…
What’s a grinder? A grinder is an investor who repeatedly generates little profit on small investments. Grinding investors are hardworking,…
What’s grid trading? Grid trading creates a grid of orders at progressively increasing and decreasing prices. Grid trading is typically…
What is a gray market? A gray market is an unregulated financial securities market. The term “grey market” refers to…
What is Grexit? Grexit, short for “Greek exit,” refers to Greece’s prospective departure from the Eurozone and return to the…
What is Gresham’s Law? Gresham’s Law applies to currency markets, stating that “bad money drives out good.” The rule was…
What’s Greenwashing? Greenwashing is misrepresenting a company’s products’ environmental friendliness. Greenwashing includes falsely claiming that a company’s goods are ecologically…
What Is Greenspan Put? During his time as Federal Reserve (Fed) Chair, Alan Greenspan enacted measures known as the Greenspan…
What is a greenshoe option? Excess allocation is a greenshoe option. If the demand for a security issuance exceeds expectations,…
What’s a green sheet? An underwriter creates a green sheet to outline the essential components of a new issuance, or…
What’s Greenmail? Greenmail is the practice of threatening a hostile takeover by purchasing enough shares in a firm to force…
What Is a Greenback? A greenback refers to U.S. paper currency. The phrase came from green-ink notes in the mid-1860s.…
What’s green tech? Green tech is ecologically friendly based on its production process or supply chain. A “green technology” acronym…
What’s Green Monday? Green Monday is one of the retail industry’s most significant days when buyers rush to buy last-minute…
What’s green marketing? Green marketing involves creating and promoting eco-friendly products. Green marketing highlights a product’s decreased manufacturing emissions or…
What is green investing? Green investment supports environmentally friendly corporate operations. Green investments, sometimes associated with SRI or ESG criteria,…
What’s a Green Fund? A green fund is an investment entity solely investing in socially aware or environmentally responsible enterprises.…
What Is a Green-Field Investment? A green-field investment is a form of FDI when a parent business establishes a subsidiary…
What are green-chip stocks? Shares of environmentally friendly enterprises are known as green chip stocks. Green chip stocks may focus…
What’s a green card? U.S. Citizenship and Immigration Services issues a green card to permanent residents who can live and…
What is a green bond? A green bond is a fixed-income instrument for funding climate and environmental projects. Due to…
What are Greeks? The options market uses “the Greeks” to estimate risk. Each danger has a Greek symbol. Each Greek…
What is the Greek Drachma? Greece’s currency was the drachma until 2001, when the euro replaced it. The euro is…
What is the Greater Fool Theory? The more excellent, the more extraordinary the fool’s idea; prices rise when consumers sell…
What was a great society? The Great Society was a 1960s U.S. domestic policy initiative, program, and law. The Great…
What was the 2008 Great Recession? The Great Recession began in 2007 and continued for years, affecting the worldwide economy.…
What is excellent moderation? The 1980s saw the Great Moderation, a period of reduced macroeconomic volatility in the U.S. Former…
What is the Great Leap Forward? The Great Leap Forward, a five-year plan of forced agricultural collectivization and rural industrialization…
What was the Great Depression? “Great Depression” is the most prolonged and worst economic slump in modern history. The Great…
What is the Graduate Record Examination (GRE)? Standardized tests like the Graduate Record Examination (GRE) assess abstract thinking in analytical…
What are gray markets? The gray markets are an unregulated financial securities market. The term “grey market” refers to trading…
What is a Gray List? A gray list lists equities that an investment bank’s risk arbitrage section cannot trade. Despite…
What is a gray box? Gray box testing is software testing with minimal understanding of its internals. Gray box testing…
What is a gravestone doji? Technical analysts sometimes utilize the negative signal known as gravestone doji in trading. A tombstone…
What is a Grantor Retained Annuity Trust (GRAT)? A grantor-retained annuity trust (GRAT) is a financial tool for estate planning…
What is a Graphics Processing Unit (GPU)? A Graphics Processing Unit (GPU) is a chip or circuit that renders graphics for display…
What is a granular portfolio? A granular portfolio is a well-diversified investment portfolio with several holdings across many assets. This…
What Are Grantor Trust Rules? The Internal Revenue Code (IRC) provides principles for grantor trusts, which may have tax ramifications.…
What are grantors? A grantor is a human or institution that provides assets to a trust, regardless of whether they…
What are grantees? A grantee receives a grant, scholarship, or other asset, such as real estate. In contrast, a grantor…
What are federal aid grants? Federal grants finance projects and programs. State, local, and municipal governments and individuals get funding…
What is a Grant Deed? A grant deed, often called a special or limited warranty deed, is a legal instrument…
What Is a Small Business Grant? A firm, organization, or government typically provides a small business grant to assist with…
Defining Grandfather Clause A grandfather clause, sometimes known as a “legacy clause,” permits people or corporations to continue activities or…
What is the Gramm-Leach-Bliley Act of 1999 (GLBA)? Congress enacted the bipartisan Gramm-Leach-Bliley Act of 1999 (GLBA) on November 12,…
What is a Graduated Payment Mortgage (GPM)? A graded payment mortgage (GPM) is a fixed-rate mortgage with steadily increasing payments…
What Is a Graduated Lease? A graded lease involves a periodic adjustment of monthly payments between the landlord and tenant.…
What is the Graduate Management Admission Test (GMAT)? The standardized Graduate Management Admission Test (GMAT) assesses arithmetic, verbal, and analytical…
What Is Graded Vesting? Employees gradually acquire ownership of employer contributions to their retirement plan account, regular pension benefits, or…
Grace Period Definition for Borrowers Payment is penalty-free within a grace period after the due date. Mortgage loans and insurance…
What is a Government-Wide Acquisition Contract (GWAC)? Multiple government departments buy products or services under a government-wide acquisition contract (GWAC).…
What is a government-sponsored retirement arrangement (GSRA)? A government-sponsored retirement arrangement (GSRA) is a Canadian retirement plan for non-government employees…
What is a government-sponsored enterprise (GSE)? A government-sponsored enterprise (GSE) is a quasi-governmental company that improves credit flow to specified…
What’s a government shutdown? Lack of money forces non-essential U.S. government offices to close. Government funding shortages may result from…
What is government security? In investing, “government security” refers to a government’s investment products. Most readers associate government securities with…
What was the Government Securities Clearing Corporation? The Government Securities Clearing Corporation (GSCC) cleared and netted government and agency debt…
What are government purchases? The federal, state, and municipal governments purchase products and services. Total spending, excluding transfer payments and…
What is Norway’s Government Pension Fund (GPFN)? The Government Pension Fund of Norway has two Norwegian investment funds with different…
What is the Government of Singapore Investment Corporation (GIC)? The Government of Singapore Investment Corporation (GIC) manages Singapore’s sovereign wealth…
What’s the G.I. Bill? Congress passed, and President Franklin D. Roosevelt signed the Serviceman’s Readjustment Act of 1944, known as…
What’s Giffen Good? Giffen goods are low-income, non-luxury products that defy economic and consumer demand theory. Giffen product demand increases…
What is a gift card? A gift card is a prepaid debit card with a set amount of money for…
What Is a Gift for Causa Mortis? In gift causa mortis, personal property is given with the anticipation that the…
What’s a gift letter? A gift letter is a legal document that states that money from a friend or family…
What Is a Gift in Trust? A gift is a legal structure that provides for the indirect transfer of assets…
What’s Gift Inter Vivos? An inter vivo gift is a transfer or gift done during the grantor’s lifetime. Intervivos donations,…
What is the gift of equity? Selling a home to a family member or close friend is a gift of…
Describe gift-splitting Gift splitting is an estate planning instrument that allows married couples to double their yearly gift tax exclusion.…
What’s a gift tax? The IRS imposes a gift tax on individuals who transfer property without getting anything of significant…
What Are Gift Tax Returns? The gift donor must submit a federal tax return under specific conditions. (There is no…
What’s the gig economy? A gig economy focuses on independent contractors and freelancers for temporary and part-time work. The gig…
What Are Gilt-Edged Securities? Some governments and commercial companies issue high-grade gilt-edged securities. The term “instruments” originally referred to certificates…
What’s Gilt? Gilts are government bonds of the U.K., India, and Commonwealth nations, comparable to U.S. Treasury securities. Gilt bonds…
What is the Gibraltar Pound (GIP)? The official currency of Gibraltar is the Gibraltar pound (GIP). Gibraltar’s pound operates at…
What Is Give-Up? In securities and commodities trading, give-up occurs when one executing broker places a deal for another. A…
What is the glass ceiling? An invisible barrier, the glass ceiling, inhibits some individuals from achieving management and senior positions…
What Is a Glass Cliff? The “glass cliff” refers to promotional opportunities for women during times of crisis or recession,…
What is the Glass-Steagall Act? The 1933 Glass-Steagall Act prohibited commercial banks from investing in stocks to safeguard depositors. Glass-Steagall…
What is a Glide Path? The glide path formula determines the asset allocation mix of a target-date fund depending on…
What’s a global bond? A global bond, or Eurobond, is issued and traded beyond the country where the currency is…
What is a Global Depositary Receipt (GDR)? A depositary bank issues a negotiable global depositary receipt (GDR). This reflects international…
What is the Global Financial Stability Report (GFSR)? The IMF’s semiannual Global Financial Stability Report (GFSR) evaluates global financial market…
What’s the Global Fund? A global fund invests in enterprises worldwide, including the investor’s nation. Global funds aim to find…
What is the Global Industry Classification Standard (GICS)? The Global Industry Classification Standard (GICS) classifies firms by business operations and…
What are Global Investment Performance Standards (GIPS)? GIPS is a voluntary set of criteria investment managers use worldwide to guarantee…
What Is a Global Macro Strategy? A global macro strategy is a hedge fund or mutual fund that focuses on…
What Is a Global Macro Hedge Fund? Global macro hedge fund actively manages their portfolios to profit from market volatility…
What is a global recession? A global recession is a prolonged economic downturn. Trade and international financial networks can cause…
What is a Global Registered Share (GRS)? A global registered share (GRS) is a US-issued asset that trades in numerous currencies…
What’s globalization in business? Globalization in business transports financial items, goods, technology, information, and employment across borders and cultures. Economically, it refers…
What is Globex? Globex is a pioneering electronic trading platform for derivatives such as futures, options, and commodity contracts across…
What’s Glocalization? Glocalization is a term combining “globalization” with “localization.” The word refers to a product or service created and…
What is Gesellschaft mit beschränkter Haftung? GmbH is an acronym of the German term “Gesellschaft mit beschränkter Haftung,” which means…
What Is a Go-Go Fund? A “go-go fund” is a mutual fund that invests in high-risk equities to achieve above-average…
What is a go-shop period? A go-shop period permits a public corporation to seek rival proposals after receiving a solid…
What’s Goal-Investing? Goal-based investing is a new wealth management strategy that focuses on investing to achieve specific life objectives. GBI…
What is goal-seeking? When the output is known, goal searching finds the proper input value. Goal-seeking functions are available in…
What Does a Godfather Offer? A Godfather offer is a definitive takeover bid by an acquirer to a target firm.…
What’s going on? Going concern is an accounting phrase for a corporation with sufficient resources to continue operations unless proven…
What Is Going-Concern Value? Going concern value indicates the firm will stay profitable and in operation indefinitely. Total value is…
What Is Going Private? Going private means converting a publicly listed firm into a private entity. When a corporation turns…
What Is Going Public? Going public involves selling previously privately owned shares to new investors through an initial public offering…
What is a gold bug? The term “gold bug” refers to investors who are optimistic about gold. Gold bug investors…
Gold certificate—what is it? Until 1934, the gold certificate had U.S. money counterparts that proved gold ownership. Understanding Gold Certificate…
What’s a gold option? Gold options use actual gold or gold futures as the underlying asset. Gold call options allow holders…
Gold Standard Definition The definition of the gold standard is freely convertible into the government’s currency under the gold standard.…
Golden Cross Pattern A golden cross occurs when a short-term moving average crosses over a long-term one. A security’s short-term…
What is the Golden Handcuff? A golden handcuff is a financial incentive to keep staff for a set term. Employers…
What is a golden handshake? The golden handshake is a condition in an executive’s contract that offers a substantial severance…
What is a Golden Parachute? Senior executives may get hefty compensation called a golden parachute during a merger or takeover.…
What is the Golden Rule of Government Spending? The fiscal policy of the golden rule states that governments should borrow…
What’s the Golden Share? Golden Share allows shareholders veto power on business charter amendments. Its holder can prevent another shareholder…
What’s the Goldilocks economy? To paraphrase the children’s narrative, a Goldilocks economy is perfect—neither too hot nor too cold—an economic…
What’s good credit? A person with good credit has a high credit score and is considered a safe credit risk.…
What’s good delivery? A good delivery is the smooth transfer of security ownership from seller to buyer, meeting all relevant…
What is a Good Faith Estimate (GFE)? A reasonable faith estimate (GFE) provides predicted costs and conditions for reverse mortgage…
Defining Good Faith Money Buyers put good-faith money into their accounts to indicate their intention to complete a contract. Applied…
What Is Good This Week (GTW)? Good this week (GTW) orders are active till the end of the week. Failure…
Good ‘Til Cancelled Good ’til canceled (GTC) orders allow investors to purchase or sell a security until it is filled…
What is the Goods and Services Tax (GST)? Most products and services supplied for domestic consumption are subject to GST,…
What’s goodwill (accounting)? Intangible asset goodwill is related to the purchase of a firm by another. The purchasing firm might…
What is a goodwill impairment? Companies incur goodwill impairment charges when their carrying value on financial statements exceeds its fair…
Definition of Google Tax A Google tax, or diverted profits tax, is an anti-avoidance tax that addresses diverting earnings or…
Who is Gordon Gekko? Gordon Gekko is the villain in Oliver Stone’s 1987 film “Wall Street” and its 2010 sequel,…
What is the Gordon Growth Model (GGM)? A stock’s intrinsic value is predicated on a future sequence of dividends that…
What is Governance, Risk Management, and Compliance (GRC)? Governance, risk management, and compliance (GRC) is a modern corporate management system…
What is the Government Accountability Office (GAO)? The independent and legislative GAO analyzes and audits government expenditures and operations. The…
What is the Government Accounting Standards Board (GASB)? The Government Accounting Standards Board (GASB), a private, non-governmental body, develops accounting…
What is a government bond? Government bonds finance government expenditures and responsibilities. This bond can provide periodic interest payments called…
What’s a government grant? Government grants are cash awards from federal, state, or municipal governments for beneficial projects. It functions…
The Government’s National Mortgage Association The Government National Mortgage Association, a governmental company, ensures timely payment of principal and interest…
What is a ghetto? “Ghetto” refers to a neighborhood with low property prices and limited governmental or private investment. Due…
What’s Gharar? Gharar, an Arabic term, connotes uncertainty, dishonesty, and risk. Described as “the sale of what is not yet…
Who is George Soros? Famous hedge fund manager George Soros is regarded as one of the most successful investors ever.…
The Geometric Mean? The Geometric Means Calculate the average of items used to evaluate investment or portfolio performance. The technical…
What’s Geolocations? Geolocations uses GPS, mobile phone towers, WiFi access points, or a combination to track a device. People utilize…
Geographical pricing Geographical pricing adjusts an item’s price based on the buyer’s location. The selling price may vary depending on…
What is geographic labor mobility? Geographical labor mobility is the ability of workers to migrate between regions to find work…
What is Geographical Diversification? In general, diversification involves investing in several things to reduce risk. The financial equivalent of not…
What is the Genuine Progress Indicator (GPI)? A natural progress indicator (GPI) measures a country’s economic growth. It’s a popular…
What Is Gentrification? Gentrification raises the value of a city neighborhood. Gentrification occurs when a neighborhood or part of a…
A gentleman’s agreement? Gentlemen’s agreements are informal, unwritten transactions that rely solely on the counterparty’s honesty to uphold them. Such…
What is a genetically modified food? GMFs come from creatures with changed genes that have acquired features not found in…
What is a Genesis Block? A Genesis block is the initial unmined block of a cryptocurrency like Bitcoin—a blockchain network…
What’s a generic brand? Due to the lack of advertising, generic brands are consumer products without a well-known name or…
What is Generation X (Gen X)? Gen X refers to the American generation born between the mid-1960s and early 1980s.…
What is a Generation-Skipping Trust (GST)? A GST is a legally enforceable trust arrangement that transfers assets to the grantor’s…
Generation-Skipping Transfer Tax (GSTT) The federal generation-skipping transfer tax bans donors from avoiding estate taxes by transferring gifts or inheritances…
Definition of Generation Gap A generation gap is the difference in values and behavior between two generations. A generation gap…
Generally Accepted Principles and Practices (GAPP) definition The Santiago principles, generally accepted principles and practices (GAPP), are standardized procedures for…
What are the generally accepted auditing standards (GAAS)? Auditors follow generally accepted auditing standards (GAAS) while auditing firms’ financial records.…
What is the definition of generally accepted accounting principles (GAAP)? The Financial Accounting Regulations Board (FASB) publishes a collection of…
What exactly is general public distribution? The term “general public distribution” in finance refers to a private corporation entering the…
What are the general provisions? Companies set aside cash as general provisions on their balance sheet to cover anticipated future…
A general partnership? A general partnership involves two or more persons sharing a jointly owned firm’s obligations, assets, earnings, and…
What exactly is a general partner? A general partner refers to an individual who collectively exercises authority over a partnership…
What is a General Obligation (GO) Bond? A general obligation (GO) bond is a municipal bond secured by the issuing…
What is a General Manager (GM)? A general manager (GM) generates income and controls expenditures for a department or corporation.…
How does a general ledger work? General ledgers store a company’s financial data, with a trial balance verifying debit and…
The General Depreciation System The general depreciation system is the most commonly used MACRS for depreciation calculation. A generic depreciation…
What is general equilibrium theory? General equilibrium theory, or Walrasian general equilibrium, explains macroeconomic functioning rather than specific market events.…
What’s the GDPR? The General Data Protection Regulation (GDPR) governs the acquisition and processing of personal data from persons within…
What Are General Collateral Financing Trades? GCF transactions are a repurchase agreement (repo) that does not need particular securities as…
What Is the General Business Credit? Individual tax credits a firm claims throughout a tax year make up its general…
What Are General and Administrative Expenses (G&A)? The daily operations of a firm may entail general and administrative (G&A) expenditures…
What were General Agreements to Borrow (GAB)? “General Agreements to Borrow” (GAB) is a discontinued lending medium for G-10 members.…
What is the General Agreement on Tariffs and Trade (GATT)? The General Agreement on Tariffs and Trade (GATT), signed in…
What’s a general account? An insurer deposits the premiums that it receives from the policies that it underwrites into the…
What Is Gemology? Gemology is the study, cutting, and valuation of precious stones, but its core is identification. Jewelers and…
What is the Gemini Exchange? Gemini trades cryptocurrencies globally. Established in 2014, the Gemini Exchange (Gemini Trust Company) is the…
The Gearing Ratio? Gearing ratios compare owner equity (or capital) to company debt or borrowed funds. Gearing measures a firm’s…
What Is Gearing? Gearing is the ratio of a company’s debt-to-equity (D/E). Gearing analyzes a company’s financial leverage—how much lenders…
What’s the GDP price deflator? The GDP (gross domestic product) price deflator tracks price fluctuations for all products and services…
A GDP-Gap? The GDP-gap is the difference between an economy’s current and potential GDP based on long-term trends. A negative…
What was GDAX? Previously known as Global Digital Asset Exchange (GDAX), Coinbase is a major cryptocurrency exchange for Bitcoin and…
What’s GBP? The British pound sterling (GBP) is the currency of the United Kingdom, including the British Overseas Territories of…
Gazelle Companies—What Are They? According to the original technical definition, a gazelle firm is a high-growth company with a minimum…
What Does It Mean to Be a Gatekeeper? Gatekeeper has two meanings. One describes health insurance workers. Long-term care plans…
What is a Gate Provision? A gate provision is a declaration in a fund’s offering documentation that allows the manager…
Gas-GuzzlerTax is what? Vehicles with low fuel efficiency in the U.S. are subject to the gas guzzler tax. The car…
What is gas (ethereum)? Gas is the needed charge for completing a transaction or contract on the Ethereum blockchain network.…
The Gartley Pattern? The harmonic Gartley pattern, based on Fibonacci numbers and ratios, aids traders in identifying reaction highs and…
What’s garnish? Wage garnishment deducts money from your paycheck and sends it to another party. A legal process that directs…
What was the Garn-St. Germain Depository Institutions Act? Congress passed the Garn-St-Germain Depository Institutions Act in 1982. The main goal…
What is Gardening Leave? An employee on Gardening Leave works remotely or remains away from work throughout the notice period.…
What is the GARCH process? Robert F. Engle, a 2003 Nobel Memorial Prize-winning economist, coined “garch” in 1982. The GARCH…
Garage Liability Insurance? Garage liability insurance is automotive-specific. Automobile dealerships, parking lot/garage operators, tow-truck operators, service stations, and customization/repair shops…
What Is Gapping? Gapping happens when a stock or asset price starts higher or below the previous day’s closing without…
Gap insurances? Gap insurance protects you if you total your automobile and your payout doesn’t meet your finance or lease…
What’s a gap analysis? Companies use a gap analysis to evaluate their existing performance against their intended and expected performance.…
What’s Gap? A gap in a security chart occurs when its price increases or falls from the previous day’s closing…
What’s a Gantt Chart? A Gantt chart is a standard project scheduling diagram. As a bar chart, it shows the…
What Are Gann Fans? Gann fans are a technical analysis technique that considers the market as geometric and cyclical. Gann…
What are gann angles? Gann angles are named after their originator, W.D. Gann. Based on geometric angles of time vs.…
What is gamma neutral? When trading options, a gamma-neutral position protects against significant changes in the underlying security. This is…
What is Gamma Hedging? Gamma hedging is a trading method that maintains a constant delta in an options position, frequently…
What’s Gamma in Investing? Gamma (Γ) measures options risk by measuring the delta change per one-point change in the underlying…
What’s Gamification? “Gamification” refers to applying game-like rules and mechanisms to non-game settings and pursuits to increase individual participation. Knowing…
What is game theory? Game theory is a framework for understanding social events with competing actors. Game theory studies optimum…
What Exactly Is a Game-Changer? Certain beliefs have shaped society, history, and how people live. Individuals who saw things as…
Gambler’s Fallacy? The gambler’s or Monte Carlo fallacy arises when individuals incorrectly predict the likelihood of a random occurrence based…
What does a gain mean? A gain refers to a general rise in asset or property worth. A gain occurs…
What are GAFAM stocks? GAFAM refers to five highly regarded U.S. tech stocks: Alphabet, Apple, Facebook, Amazon, and Microsoft. GAFAM…
Defining Futures Commission Merchants (FCM) Futures commission merchants (FCMs) let clients engage in futures markets. An FCM is a person…
What are Futures in the Stock Market? Futures are financial contracts that require parties to acquire or sell an asset…
What is future value (FV)? Future value (FV) is the estimated future value of an asset based on a projected…
FF&E includes furniture, fixtures, and equipment. A building’s structure does not permanently attach furniture, fixtures, and equipment (FF&E or FFE).…
What’s Fungibility? Fungibility is the capacity to swap similar products or assets. Using fungible assets simplifies trade and exchange operations…
FTP stands for Funds Transfer Pricing. Funds Transfer Pricing (FTP) estimates how funding boosts a company’s profitability. Banks utilize FTP…
Operations fund the FFO. REITs use Funds From Operations (“FFO”) to estimate their cash flow from operations. Real estate firms…
What Exactly Is a Funded Debt? The company-funded debt matures in more than one year or business cycle—interest payments from…
Define fundamentals Fundamentals refer to the qualitative and quantitative data that determine a firm’s financial health and value, security, or…
What’s fundamental analysis? Fundamental analysis (FA) evaluates economic and financial elements to determine a security’s fundamental worth. An investment’s intrinsic…
Definition of Fund of Funds Multi-manager investments, or funds of funds (FOFs), invest in other funds. Thus, its portfolio includes…
What is a fund manager? The role of a fund manager is to execute the investment plan and oversee portfolio…
What’s the fund flow? Cash movements into and out of financial assets over defined periods are known as fund flow.…
What’s a fund? Funds are purpose-specific money pools. It can serve several goals, such as a local government building a…
What’s Functional Obsolescence? Functional obsolescence, when a design characteristic is outmoded and unchangeable, reduces an object’s utility or appeal. Industry…
What’s Functional Currency in Accounting? In accounting, multinationals often use functional currency to reflect the principal economic environment for cash…
Which is fully vested? Fully vested indicates a person has complete rights to a benefit, usually employee stock options, profit…
What are fully diluted shares? Once we include all conversion sources, such as convertible bonds and employee stock options, the…
What Exactly Is a Fully Amortizing Payment? Fully amortizing debt payments are recurring. The borrower pays off the loan by…
What exactly is a full ratchet? Full ratchet protects early investors in contracts. A company’s anti-dilution clause applies to shares…
What’s full employment? Full employment means using all labor resources efficiently, and this is the maximum number of skilled and…
What’s full disclosure? The SEC mandates full disclosure for publicly listed corporations, requiring them to share all pertinent operating information.…
What’s the total cost? Full costing is an accounting approach that calculates the whole cost of producing goods or services.…
What does front-running mean? Front-running is trading stock or other financial assets by a broker with inside information about a…
What’s the front-office? A company’s front-office serves customers. A firm’s front office activities include customer service, sales, and industry specialists…
What is a front-end load? A front-end load is a commission or sales charge required upon initial investment acquisition. The…
What is the front-end debt-to-income (DTI) ratio? Front-end debt-to-income (DTI) ratios measure how much of a person’s gross income goes…
What Exactly Are Fringe Benefits? Companies provide fringe benefits as an additional remuneration to their employees. Some fringe perks are…
Who Was Friedrich Hayek? A prominent economist, Friedrich Hayek, made significant contributions to economics and political philosophy. Hayek, influenced by…
Who Is Friedrich Engels? The German philosopher, writer, and social scientist Friedrich Engels lived in the 19th century. Friedrich Engels,…
What Is the Meaning of Frictional Unemployment? Voluntary employment transfers in an economy can cause frictional unemployment. Workers leaving jobs…
What is Freudian Motivation Theory? Freudian motivation theory states that hidden wants and motives, such as buying habits, influence behavior.…
Definition of Frequency Distribution A frequency distribution shows the number of observations in an interval in graphical or tabular form.…
What’s Freemium? Freemium, which combines “free” with “premium,” gives essential aspects of a product or service for free and charges…
What Is a Free Trade Area? A free trade area is where nations have signed a trade agreement and have…
What Exactly Is a Free Trade Agreement (FTA)? Several nations signed a free trade agreement to lower import and export…
What Is the Free Rider Problem? Free riders strain a shared resource by using it or overusing it without paying…
What is Free on Board (FOB)? Free on Board refers to the point in the supply chain when a buyer…
What’s a free market? Supply and demand drive the free market, which has little government interference. It summarizes all voluntary…
What Exactly Is a Free Look Period? The free look period allows new life insurance policyholders to cancel without penalties,…
What is the free-float methodology? The free-float approach calculates the market capitalization of underlying firms in a stock market index.…
What are free enterprises? The market sets prices, products, and services in a free business economy, not the government. The…
What Is Free Cash Flow Yield? Free cash flow yield is a financial solvency statistic that compares a company’s predicted…
What is Free Cash Flow to the Firm (FCFF)? Free cash flow to the company (FCFF) is available for distribution…
What is Free Cash Flow to Equity (FCFE)? The free cash flow to equity ratio measures the cash available to…
What is free cash flow (FCF)? Companies produce free cash flow (FCF) after accounting for cash withdrawals for operations and…
What Exactly Is a Free Carrier (FCA)? A free carrier is a commerce phrase used when a seller is responsible…
What is the Federal Home Loan Mortgage Corporation (FHLMC)? Congress established the Federal Home Loan Mortgage Corp. (FHLMC) in 1970…
What is the definition of fraud? Definition of Fraud: Fraud is purposefully deceiving someone to acquire an unlawful advantage or…
What exactly is a franked dividend? A franked dividend in Australia removes double taxes on prizes. The shareholder might lower…
What’s a franchisee? Franchisees are independent company owners who run third-party retail outlets. The franchisee now owns the right to…
What’s a franchise tax? Franchise Tax Definition: Some states charge franchise taxes to businesses that want to operate there. A…
What’s Franchise? A franchise licenses a franchisee to offer a product or service under the franchisor’s name by giving them…
What exactly is a fractional share? A fractional share refers to less than one complete share of stock. Claims can…
What Exactly Is Fractional Reserve Banking? Fractional reserve banking requires just a portion of bank deposits to be withdrawable. Banks…
What’s Fractal? The fractal indicator uses a typical financial market price pattern. Beyond trade, a fractal is a repeating geometric…
What’s the Fourth World? An outmoded phrase, the Fourth Planet, refers to the poorest, most undeveloped, and most disenfranchised parts…
What Are the Four Ps of Marketing? The four Ps must be carefully considered and applied to successfully sell a…
What’s the Four Percent Rule? The Four Percent Rule might help retirees decide how much to withdraw each year. The…
What Are Four Asian Tigers? Hong Kong, Singapore, South Korea, and Taiwan are rising economies known as the Four Asian…
What’s a forward rate? Forward rates are interest rates for future financial transactions. Based on spot rates and carrying costs,…
What Is Forward Price-to-Earnings (Forward P/E)? Forward price-to-earnings (forward P/E) considers expected earnings in the computation of the P/E ratio.…
What exactly is a forward premium? A forward premium occurs when the predicted future currency price exceeds the present price.…
What’s the forward point in currency? Future points add or remove basis points from the current spot rate of a…
What exactly is a forward market? The forward market is an over-the-counter marketplace that determines the price of a financial…
What exactly is forward integration? Forward integration is a type of downstream vertical integration in which a company owns and…
What is the definition of a forward exchange contract (FEC)? A forward exchange contract (FEC) is an OTC forex transaction…
Forward dividend yield? A forward dividend yield estimates a year’s payout as a percentage of the stock price. Annualizing a…
What exactly is a forward contract? Customized forward contracts allow two parties to acquire or sell an item at a…
What’s the Fortune 500? Fortune 500 Company is a list of 500 of the largest firms in the United States…
What’s the Fortune 100? The Fortune 100 ranks the top 100 US companies in the Fortune 500, a list of…
What is SEC Form ADV? To comply with the Securities and Exchange Commission (SEC), professional investment advisers must file Form…
What’s IRS Form 8949? Form 8949: Sales and Other Dispositions of Capital Assets is an IRS form for reporting investment…
Define Form 8606 Use IRS Form 8606, “Nondeductible IRAs,” for nondeductible contributions to an individual retirement account (IRA). To report…
What is Form 843: Refund and Abatement Request? IRS Issue Form 843, a multifunctional tax form, enables taxpayers to obtain…
What is Form 8396: Mortgage Interest Credit? Households utilize IRS Form 8396 to claim mortgage interest credit. The mortgage interest…
What is IRS Form 8379: Injured Spouse Allocation? The “injured” spouse on a joint tax return can submit Form 8379…
What is Form 8283: Noncash Charitable Contributions? Tax filers can deduct noncash contributions from an eligible charity organization using IRS…
Form 706: U.S. Estate (and Generation-Skipping Transfer) Tax Return United States Estate (and Generation-Skipping Transfer) Form 706. The IRS uses…
Form 6781: Section 1256: Contracts and Straddles Gains and Losses Form 6781 reports gains and losses from Section 1256 contracts…
What is Form 6252: Income from Installment Sales? The IRS uses Form 6252 to record income from real or personal…
What is Form 6251: Individual Alternative Minimum Tax? The IRS Form 6251: Alternative Minimum Tax—Individuals determine the amount of alternative…
What Is Form 5405 Repayment of the First-Time Homebuyer Credit? Form 5405, First-Time Homebuyer Credit and Repayment, is a tax…
What is Form 4952: Investment Interest Expense Deduction? IRS Form 4952 determines investment interest expense deductions and carryforwards for future…
What is Form 4797: Business Property Sales? IRS Form 4797 (Sales of Business Property) is a tax form. It reports…
Form 4684: Casualties and Thefts Form 4684 is an IRS form for reporting gains or losses from fatalities and thefts,…
What is Form 4562: Depreciation and Amortization? The IRS Form 4562 is used to claim deductions for the loss of…
What is Form 4506, Tax Return Copy Request? To obtain copies of previously filed tax returns and tax information from…
Form 2848: Power of Attorney and Declaration of Representative? Authorize an individual or organization to represent a taxpayer at an…
Form 2439: Shareholder Notice of Undistributed Long-Term Capital Gains? Regulated Investment Companies (RICs) and Real Estate Investment Trusts (REITs) must…
What was Form 2106-EZ: Unreimbursed Employee Business Expenses? Form 2106-EZ, issued by the IRS, allows employees to deduct required and…
What is Form 2106: Employee Business Expenses? The IRS distributes Form 2106: Employee Business Expenses, which employees utilize to deduct…
What is SEC Form 13F? All institutional investment managers under $100 million in assets must file the SEC Form 13F…
What is Form 1310: Statement of Person Claiming Refund Due to a Deceased Taxpayer? Form 1310 claims refunds for deceased…
What is Form 1120-S: S Corporation U.S. Income Tax Return? Form 1120-S, the U.S. Income Tax Return for a S…
What is Form 1099-Q: Payments from Qualified Education Programs? The IRS sends Form 1099-Q to persons who receive dividends from…
What is Form 1099-R: Pension, Annuity, Retirement, or Profit-Sharing Plan Distributions? The IRS Form 1099-R reports passive income and retirement…
Definition of Form 1099-MISC: Miscellaneous Income The IRS Form 1099-MISC records several sorts of remuneration, including rentals, prizes, awards, healthcare…
What is the 1099-INT: Interest Income Form? Document 1099-INT is an IRS tax document used to report interest income by…
What is Form 1099-DIV, Dividends and Distributions? Banks and financial institutions provide investors who receive dividends and distributions from any…
Definition of Form 1099-B Brokers and barter exchanges utilize IRS Form 1099-B to track client earnings and losses during the…
What is Form 1098: Mortgage Interest Statement? When paying $600 or more in mortgage interest and related charges throughout the…
What is Form 1095-C: Employer-Provided Health Insurance Offer and Coverage? An Applicable Large Employer (ALE) reports employee health coverage to…
What is Health Coverage Form 1095-B? Taxpayers who get minimal essential health insurance coverage under the Affordable Care Act (ACA)…
What is Form 1095-A: Health Insurance Marketplace Statement? Americans who acquire health insurance via a Health Insurance Marketplace company…
Form 1065: U.S. Partnership Income Return? U.S. Partnership Return Form 1065 Income is an IRS tax record that declares a…
What is Form 1045: Tentative Refund Application? Individuals, estates, and trusts can request a quick tax refund using IRS Form…
What is Form 1040-X, Amended U.S. Individual Income Tax Return? Taxpayers who need to correct a federal tax return utilize…
What is SEC Form 144: Notice of Proposed Securities Sale? The Securities and Exchange Commission (SEC) issues Form 144: Notice…
What is SEC Form 4: Statement of Beneficial Ownership Changes? Companies must submit SEC Form 4: Statement of Changes in…
What exactly is SEC Form 3? Company insiders or substantial shareholders must submit SEC Form 3: Initial Statement of Beneficial…
What Exactly Is a Forfeited Share? A publicly listed company’s forfeited share is one that the owner loses by not…
What Exactly Is Forfaiting? Forfaiting allows exporters to get quick cash by selling their medium- and long-term receivables at a…
What is Forex? The global electronic marketplace for exchanging foreign currencies and currency derivatives is forex (FX). The FX market…
What exactly is a forensic audit? Forensic audits investigate a company’s or individual’s financial records to provide court evidence. Large…
What Exactly Is Forensic Accounting? Forensic accountants use their abilities in accounting, auditing, and investigation to analyze the finances of…
What exactly is the foreign tax credit? The U.S. foreign tax credit offsets foreign income tax. U.S. citizens and resident…
What Is Foreign Portfolio Investment (FPI)? Foreign portfolio investment (FPI) includes securities and other financial assets held by foreign investors.…
What exactly is foreign investment? Foreign investment includes capital movements across countries, giving foreign investors significant ownership shares in native…
What Exactly Is a Foreign Institutional Investor (FII)? Foreign institutional investors (FIIs) are investors or investment funds outside their registered…
What exactly is foreign exchange risk? Foreign exchange risk is the potential loss from currency swings in overseas financial transactions.…
What Exactly Are Foreign Exchange Reserves? A central bank holds foreign exchange reserves as assets on reserve. These reserves support…
What is Foreign Exchange, or Forex (FX)? The forex market, or FX, is the global exchange of currencies. It’s the…
What Is the Exclusion for Foreign Earned Income? The overseas-earned income exclusion aims to avoid double taxes by removing income…
What is FDI (foreign direct investment)? An investor, firm, or government from another nation invests in a foreign enterprise or…
What Is a Foreign Currency Swap? A foreign currency exchange, or foreign currency swap, involves two parties exchanging interest payments…
What Is the Definition of a Foreign Currency Convertible Bond? FCCBs are convertible bonds issued in a currency other than…
What Is the FCPA (Foreign Corrupt Practices Act)? U.S. corporations and individuals are prohibited from bribing foreign officials to advance…
Defining Foreign Aid Foreign aid is voluntary assistance, such as gifts, grants, or loans, that one government freely transfers to…
