Financial Dictionary

This dictionary contains:
24549
financial terms

Covenant




Covenant

An agreed action to be undertaken (Positive) or not done (Negative). A breach of a covenant is a default.

RELATED TERMS
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Covenant
An agreed action to be undertaken (Positive) or not done (Negative). A breach of a covenant is a default.

Default
1) The failure to make timely payment of interest or principal on a debt security or to otherwise comply with the provisions of a bond indenture. 2) In context of project financing, a technical default signals a project parameter is outside defined or agreed limits or a legal matter is not yet resolved.



SIMILAR TERMS
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Coven Inversiones, SICAV, S.A.
Coven Inversiones, SICAV, S.A. is a Spanish company listed at Madrid Stock Exchange. Its business activity is capital investment.

COVENANT Credit Union
COVENANT is a credit union with head office in TULSA, OK

COVENANT SAVINGS Credit Union
COVENANT SAVINGS is a credit union with head office in COPPERAS COVE, TX

COVENTRY Group Limited
COVENTRY Group Limited is a large Australian company in the field of automobile and components. Their Australian Stock Exchange (ASX) code is CYG.

Coventry Health Care
Coventry Health Care is a top United States corporation in the field of health care equipment and services, and its estimated market value is 5,660 million US dollars.

COVENTRY TEACHERS Credit Union
COVENTRY TEACHERS is a credit union with head office in COVENTRY, RI

Cover
The amount above UNITY of a debt service ratio.

Covered
A written option is considered to be covered if the writer also has an opposing market position on a share-for-share basis in the underlying security.

Covered call
A short call option position in which the writer owns the number of shares of the underlying stock represented by the option contracts.

Covered foreign currency loan
A loan denominated in a currency other than that of the borrower's home country, for which repayment terms are prearranged through the use of a forward currency contract.

Covered option
Option position that is offset by an equal and opposite position in the underlying security.

Covered position
Use of an option in a trading strategy in the underlying asset which is already owned.

Covered put
A put option position in which the option writer also is short the corresponding stock or has deposited, in a cash account, cash or cash equivalents equal to the exercise price of the option.

Covered straddle
An option strategy in which one call and one put with the same strike price and expiration are written against 100 shares of the underlying stock.

Covered writer
An investor who writes options only on stock that he or she owns, so that option premiums may be collected.



PREVIOUS AND NEXT TERMS
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Coupon
The contractual interest obligation a bond or debenture issuer covenants to pay to its debt holders.

Coupon bond
A bond featuring coupons that must be presented to the issuer in order to receive interest payments.

Coupon equivalent yield
True interest cost expressed on the basis of a 365-day year.

Coupon payments
A bond's interest payments.

Coupon rate
In bonds, notes, or other fixed income securities, the stated percentage rate of interest, usually paid twice a year.

Covenant

Cover
The amount above UNITY of a debt service ratio.

Covered
A written option is considered to be covered if the writer also has an opposing market position on a share-for-share basis in the underlying security.

Covered call
A short call option position in which the writer owns the number of shares of the underlying stock represented by the option contracts.

Covered foreign currency loan
A loan denominated in a currency other than that of the borrower's home country, for which repayment terms are prearranged through the use of a forward currency contract.

Covered option
Option position that is offset by an equal and opposite position in the underlying security.

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This dictionary contains 24549 terms.







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