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Fixed trust
Fixed trustA unit investment trust consisting of securities that were agreed upon at the time of investment and do not change. RELATED TERMS-------------------------------------- Unit More than one class of securities traded together (e.g., one common share and three subscription warrants). Investment The purchase of materials, machines, property, securities, etc. in order to produce income or profits. Trust A large combination of business organizations, possibly tending towards a monopoly. Securities Saleable papers, traded on stock exchanges, that yield an income (dividend, interest, etc.). SIMILAR TERMS-------------------------------------- Fixed annuities Contracts in which an insurance company or issuing financial institution pays a fixed dollar amount of money per period. Fixed asset Long-lived property owned by a firm that is used by a firm in the production of its income. Tangible fixed assets include real estate, plant, and equipment. Fixed asset turnover ratio The ratio of sales to fixed assets. Fixed assets or capital-permanent assets Items such as land, buildings, machines, etc., belonging to a business, which are expected to last for a long time, and cannot be sold or turned into cash, as they are used for making and selling the firm's products. Fixed benefits Payments to a beneficiary that are paid in fixed preset amounts and are not variable. Fixed charge coverage ratio A measure of a firm's ability to meet its fixed-charge obligations: the ratio of (Earnings before interest, depreciation and amortization minus unfunded capital expenditures and distributions) divided by total debt service (annual principal and interest payments). Fixed cost A cost that is fixed in total for a given period of time and for given production levels. Fixed dates In the Euromarket, the standard periods for which Euros are traded (one month out to a year out) are referred to as the fixed dates. Fixed dollar obligations Conventional bonds for which the coupon rate is set at a fixed percentage of the par value. Fixed dollar security A nonnegotiable debt security that can be redeemed at some fixed price or according to some schedule of fixed values. Fixed exchange rate A rate that cannot change, whatever the pressures of supply and demand. Fixed for floating swap An interest rate swap in which the fixed rate payments are traded for a floating rate. Fixed income equivalent Convertible security that is trading like a straight security because the optioned common stock is trading well below the conversion price. Also called a busted convertible. Fixed income instruments Assets that pay a fixed dollar amount, such as bonds and preferred stock. Fixed income market The market for trading bonds and preferred stock. Fixed income securities Investments that have specific interest rates, such as bonds. Fixed mortgage A mortgage loan where the repayment period or, especially, the monthly fee, are fixed from the beginning. Fixed premium Payments of a fixed or equal amount paid to an insurance company for insurance or an annuity. Fixed price basis An offering of securities at a fixed price. Fixed price tender offer A one-time offer to purchase a stated number of shares at a stated fixed price, usually at a premium over the current market price. Fixed rate A traditional approach to determining the finance charge payable on an extension of credit. Fixed rate loan A loan whose rate is fixed for the life of the loan. Fixed rate mortgage A mortgage loan where the interest rate is fixed along the repayment period. Fixed rate payer In an interest rate swap, the counterparty who pays a fixed rate, usually in exchange for a floating-rate payment. Fixed term reverse mortgage A mortgage in which the lending institution provides payments to a homeowner for a fixed number of years. PREVIOUS AND NEXT TERMS-------------------------------------- Fixed price tender offer A one-time offer to purchase a stated number of shares at a stated fixed price, usually at a premium over the current market price. Fixed rate A traditional approach to determining the finance charge payable on an extension of credit. Fixed rate loan A loan whose rate is fixed for the life of the loan. Fixed rate payer In an interest rate swap, the counterparty who pays a fixed rate, usually in exchange for a floating-rate payment. Fixed term reverse mortgage A mortgage in which the lending institution provides payments to a homeowner for a fixed number of years. Fixed trust Flag A pattern reflecting price fluctuations within a narrow range, generating a rectangular area on a graph both prior to and after sharp rises or declines. Flash Value of a security displayed, or flashed across the tape, when the tape display cannot keep up with volume on an exchange and lags the current price is lagged more than approximately five minutes. Flat 1) General: Having neither a short nor a long position in a stock. Clean. 2) Convertibles: Earning interest on the date of payment only. 3) Market: Characterized by horizontal price movement, usually the result of low activity. 4) Equities: To execute without commission or markup. Flat benefit formula Method used to determine a participant's benefits in a defined benefit plan by multiplying months of service by a flat monthly benefit. Flat price (clean price) The quoted newspaper price of a bond that does not include accrued interest. The price paid by the purchaser is the full price. We thank you for using the Financial Dictionary to search for Fixed trust. If you have a better definition for Fixed trust than the one presented here, please let us know by making use of the suggest a term option. This definition of Fixed trust may be disputed by other professionals. Our attempt is to provide easy definitions on Fixed trust and any other medical topic for the public at large.
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