Financial Dictionary

This dictionary contains:
24549
financial terms

Redenomination




Redenomination

The process of changing the currency value on a financial security.

RELATED TERMS
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Currency
Money. The word currency mainly refers to the name and kind of money issued by each country.

Value
The worth or desirability of something expressed as an amount of money.

Security
Piece of paper that proves ownership of stocks, bonds, and other investments.



SIMILAR TERMS
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Redeem
To repay a bond, debenture, mortgage, etc.

Redeemable
Eligible for redemption under the terms of an indenture.

Redemption
Repayment of a debt security or preferred stock issue, at or before maturity, at par or at a premium price.

Redemption charge
The commission a mutual fund charges an investor who is redeeming shares.

Redemption cushion
The percentage by which the conversion value of a convertible security exceeds the redemption price (strike price).

Redemption date
The date on which a bond matures or is redeemed.

Redemption fee
A fee some mutual funds charge when an investor sells shares within a specified short period of time.

Redemption or call
Right of the issuer to force holders on a certain date to redeem their convertibles for cash. The objective usually is to force holders to convert into common prior to the redemption deadline.

Redemption yield or maturity yield
The amount of income received from a fixed interest security, including interest and its repayment value, expressed as a percentage of its current market price.



PREVIOUS AND NEXT TERMS
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Redemption cushion
The percentage by which the conversion value of a convertible security exceeds the redemption price (strike price).

Redemption date
The date on which a bond matures or is redeemed.

Redemption fee
A fee some mutual funds charge when an investor sells shares within a specified short period of time.

Redemption or call
Right of the issuer to force holders on a certain date to redeem their convertibles for cash. The objective usually is to force holders to convert into common prior to the redemption deadline.

Redemption yield or maturity yield
The amount of income received from a fixed interest security, including interest and its repayment value, expressed as a percentage of its current market price.

Redenomination

Rediscount
To discount short-term negotiable debt instruments for a second time, after they have been discounted with a bank.

Reducing balance method of depreciation
Writes off the same percentage (but consequently a smaller amount) of an asset's value each year.

Reduction option loan (ROL)
A hybrid of a fixed-rate and adjustable-rate mortgage. An ROL matches the borrower to the current mortgage rate, which then becomes fixed for the rest of the term. This reduction is usually allowed if rates drop more than 2% in a year.

Redundancy
The state of no longer being needed by an employer.

Reference rate
A benchmark interest rate (such as LIBOR) used to specify conditions of an interest rate swap or an interest rate agreement.

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This dictionary contains 24549 terms.







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