Financial Dictionary

This dictionary contains:
24549
financial terms

Capacity




Capacity

Credit grantors' measurement of a person's ability to repay loans.

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Credit
Money loaned.



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Callable
Applies mainly to convertible securities. Redeemable by the issuer before the scheduled maturity under specific conditions and at a stated price, which usually begins at a premium to par and declines annually.

Called away
1) Convertible: Redeemed before maturity. 2) Option: Call or put option exercised against the stockholder. 3) Sale: Delivery required on a short sale.

Canadian agencies
Agency banks established by Canadian Banks in the U.S.

Cancel
To void an order to buy or sell from the floor, or the trader/salesperson's scope.

Cap
An upper limit on the interest rate on a floating-rate note (FRN) or an adjustable-rate mortgage (ARM).

Capacity

Capital
1) Assets used for the production of profits and wealth. 2) Owner's equity in a business.

Capital account
Net result of public and private international investment and lending activities.

Capital allocation decision
Allocation of invested funds between risk-free assets and the risky portfolio.

Capital asset
A long-term asset, such as land or a building, not purchased or sold in the normal course of business.

Capital asset pricing model (CAPM)
An economic theory that describes the relationship between risk and expected return, and serves as a model for the pricing of risky securities.

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This dictionary contains 24549 terms.







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