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Defeasance
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Defeasance1) The setting aside by a borrower of cash or bonds sufficient to service the borrower's debt. 2) In securities trading, where a clearing house becomes counterparty to each side of a trade, after the trade has been agreed.
RELATED TERMS--------------------------------------
Cash
The value of assets that can be converted into cash immediately, as reported by a company. Usually includes bank accounts and marketable securities, such as government bonds and banker's acceptances.
Bonds
Bonds is a main Australian company.
Debt
Money borrowed.
Securities
Saleable papers, traded on stock exchanges, that yield an income (dividend, interest, etc.).
Trading
Buying and selling securities.
Clearing
Is the process of financial guarantee between clearing members. This activity intends to eliminate the risk of contractual or transactional default.
Counterparty
The other participant, including intermediaries, in a swap or contract.
Trade
To buy and sell; buying and selling.
SIMILAR TERMS--------------------------------------
DEFENSE CONTRACTS SOUTH Credit Union
DEFENSE CONTRACTS SOUTH is a credit union with head office in DALLAS, TX
DEFENSE LOGISTICS Credit Union
DEFENSE LOGISTICS is a credit union with head office in PICATINNY, NJ
Defensive securities
Low-risk stocks or bonds that will provide a predictable and safe return on an investor's money.
Deferred account
A type of account that delays taxes on that account until some later date. An example is an IRA account.
Deferred annuities
Tax-advantaged life insurance products. Deferred annuities offer deferral of taxes with the option of withdrawing one's funds in the form of a life annuity.
Deferred call
A provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected.
Deferred charge
An expenditure treated as an asset that carries forward until it becomes pertinent to the business at hand.
Deferred compensation
An amount that has been earned but is not actually paid until a later date, typically through a payment plan, pension, or stock option plan.
Deferred equity
A common term for convertible bonds, which recognizes their equity component and the expectation that the bond will ultimately be converted into shares of common stock.
Deferred futures
The most distant months of a futures contract.
Deferred interest bond
A bond that pays interest at a later date, usually in one lump sum, effectively reinvesting interest earned over the life of the bond.
Deferred nominal life annuity
A monthly fixed-dollar payment beginning at retirement age. It is nominal because the payment is fixed in a dollar amount at any particular time, up to and including retirement.
Deferred payment annuity
An annuity that stipulates payments be made to the annuitant at a later date, such as when the annuitant reaches a certain age.
Deferred tax expense
A non-cash expense that provides a source of free cash flow. Amount allocated during the period to cover tax liabilities that have not yet been paid.
PREVIOUS AND NEXT TERMS--------------------------------------
Deep out of the money
A call option with an exercise price substantially above the market price. Also put option with an exercise price substantially below the underlying stock's market price.
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.
Default interest
A higher interest rate payable after default.
Default premium
A differential in promised yield that compensates the investor for the risk inherent in purchasing a corporate bond that entails some risk of default.
Default risk
The risk that an issuer of a bond may be unable to make timely principal and interest payments. Also referred to as credit risk (as gauged by commercial rating companies).
Defeasance
Defensive securities
Low-risk stocks or bonds that will provide a predictable and safe return on an investor's money.
Deferred account
A type of account that delays taxes on that account until some later date. An example is an IRA account.
Deferred annuities
Tax-advantaged life insurance products. Deferred annuities offer deferral of taxes with the option of withdrawing one's funds in the form of a life annuity.
Deferred call
A provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected.
Deferred charge
An expenditure treated as an asset that carries forward until it becomes pertinent to the business at hand.
RELATED TERMS--------------------------------------
Cash
The value of assets that can be converted into cash immediately, as reported by a company. Usually includes bank accounts and marketable securities, such as government bonds and banker's acceptances.
Bonds
Bonds is a main Australian company.
Debt
Money borrowed.
Securities
Saleable papers, traded on stock exchanges, that yield an income (dividend, interest, etc.).
Trading
Buying and selling securities.
Clearing
Is the process of financial guarantee between clearing members. This activity intends to eliminate the risk of contractual or transactional default.
Counterparty
The other participant, including intermediaries, in a swap or contract.
Trade
To buy and sell; buying and selling.
SIMILAR TERMS--------------------------------------
DEFENSE CONTRACTS SOUTH Credit Union
DEFENSE CONTRACTS SOUTH is a credit union with head office in DALLAS, TX
DEFENSE LOGISTICS Credit Union
DEFENSE LOGISTICS is a credit union with head office in PICATINNY, NJ
Defensive securities
Low-risk stocks or bonds that will provide a predictable and safe return on an investor's money.
Deferred account
A type of account that delays taxes on that account until some later date. An example is an IRA account.
Deferred annuities
Tax-advantaged life insurance products. Deferred annuities offer deferral of taxes with the option of withdrawing one's funds in the form of a life annuity.
Deferred call
A provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected.
Deferred charge
An expenditure treated as an asset that carries forward until it becomes pertinent to the business at hand.
Deferred compensation
An amount that has been earned but is not actually paid until a later date, typically through a payment plan, pension, or stock option plan.
Deferred equity
A common term for convertible bonds, which recognizes their equity component and the expectation that the bond will ultimately be converted into shares of common stock.
Deferred futures
The most distant months of a futures contract.
Deferred interest bond
A bond that pays interest at a later date, usually in one lump sum, effectively reinvesting interest earned over the life of the bond.
Deferred nominal life annuity
A monthly fixed-dollar payment beginning at retirement age. It is nominal because the payment is fixed in a dollar amount at any particular time, up to and including retirement.
Deferred payment annuity
An annuity that stipulates payments be made to the annuitant at a later date, such as when the annuitant reaches a certain age.
Deferred tax expense
A non-cash expense that provides a source of free cash flow. Amount allocated during the period to cover tax liabilities that have not yet been paid.
PREVIOUS AND NEXT TERMS--------------------------------------
Deep out of the money
A call option with an exercise price substantially above the market price. Also put option with an exercise price substantially below the underlying stock's market price.
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.
Default interest
A higher interest rate payable after default.
Default premium
A differential in promised yield that compensates the investor for the risk inherent in purchasing a corporate bond that entails some risk of default.
Default risk
The risk that an issuer of a bond may be unable to make timely principal and interest payments. Also referred to as credit risk (as gauged by commercial rating companies).
Defeasance
Defensive securities
Low-risk stocks or bonds that will provide a predictable and safe return on an investor's money.
Deferred account
A type of account that delays taxes on that account until some later date. An example is an IRA account.
Deferred annuities
Tax-advantaged life insurance products. Deferred annuities offer deferral of taxes with the option of withdrawing one's funds in the form of a life annuity.
Deferred call
A provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected.
Deferred charge
An expenditure treated as an asset that carries forward until it becomes pertinent to the business at hand.
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This dictionary contains 24549 terms.
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