CREDIT LINKED NOTE - CLN
Security with a credit default swap, which allows a user to transfer a particular credit risk to investors. CLNs are designed through a Special Purpose Company (SPC) or trust that is collateralized with AAA-trading securities. Investors purchase securities from a trust that pays off fixed or floating coupon over the lifespan of a note. Upon reaching maturity, investors receive par unless that credit declares bankruptcy or defaults. The trust engages into a default swap with a deal arranger. Should the trust default, it pays the dealer par less recovery rate in return for annual fee passed on to investors through higher yield on the notes.
POPULAR TERMS
Senior Bank Loan
Senior Bank Loan is a debt financing obligation. Senior bank loans are issued by the financial institution, typically a bank, to an entity that may ...
Regulatory Asset
Specific costs or revenues that a utility is permitted to defer to its balance sheet, instead of reporting them on the income statement of a compan ...
Multiple Tops
Reversal chart formation that exhibits the deficit of a security to break through to new peaks on several occasions, which tells a strong sell sign ...
Iceberg Order
Huge single order that was split into several smaller lots, usually through an automated program to conceal the true order quantity.
IRS Publication 910
A document that gives information on the free resources the agency offers. Published by the Internal Revenue Services (IRS), it identifies many of ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
Digesting Financial Statements: Long-Lasting Liabilities
Long-lived liabilities refer to obligations which are due more than a year. Some examples of long-term debt include convertible bond and capital le ...
Featured Investment: The American Depository Receipt
Investments are what trading is all about. And knowing about the various available investment options and how to trade them is one of the keys to a ...
Options Transaction Via Day Trading
Given so many concepts and terminologies in the foreign exchange market, anyone outside the field of finance may have a hard time coping up. Howeve ...
Buying a Home: Looking for an Agent
You will need to find an agent if you want to purchase your dream house. These agents are the only ones who have access to lock box codes, which ar ...
A Guide to Your Personal Income Tax: Basics
For many filing your personal income tax is one of the most frustrating things to do. However, by planning ahead and pacing yourself, doing your ta ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 02:30 | PMI Manufacturing | Jul | |
| 03:45 | Markit Final Manufacturing PMI | Jul | |
| 08:00 | Retail Sales | Jun | |
| 08:30 | CPI | Jul | |
| 09:15 | PMI Manufacturing | Jul | |
| 09:30 | Procure PMI Index | Jul | |
| 09:45 | PMI Manufacturing | Jul | |
| 09:50 | PMI Manufacturing | Jul | |
| 09:55 | PMI Manufacturing | Jul |
