DROPLOCK SECURITY
Security issued with a variable or floating interest rate, but is changed into a fixed rate security if its reference rate touches or declines below a preset level. Conversion on the rate may be viewed as an embedded option for a cap and a floor on the fixed income security. This feature aims to protect borrowers from high interest rates.
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Concentration Ratio
Ratio indicating the relative size of companies in respect to their industry in general. Low concentration ratio denotes higher competition among t ...
Back-To-Back Letters Of Credit
Two letters of credit (LCs) utilized together to aid a merchant in financing the buying of services or equipment from a subcontractor. With the aut ...
Stock Market Crash of 1987
Rapid and one of the most severe downturn in stock prices which took place on October 19, 1987. Following five days of intensifying stock market pl ...
Z-Score
“Z-Score” is a statistical measurement showing the relationship of the score to the mean. It can be positive or negative, which means t ...
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The total cost of an option.
The difference between the higher price paid for a fixed-income secur ...
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SEE FOREX TUTORIAL
Digesting Financial Statements: Pension Plans
Deducing on the topic we previously discussed, this tutorial now puts the spotlight on the pension fund. It is a distinct long-term obligation for ...
Student Loans: Repaying Debts Faster
Student loans may not be paid overnight, but we want to pay it off in a fastest way possible. Is it possible?
Before anything else, one h ...
The Concepts of Economics: Scarcity
To fully grasp the essence of what economics is, we must first understand the concept of scarcity along with the branches of study under economics ...
A Primer on Retirement Planning
Every person dreams of enjoying their lives once they reach their golden years. Most people desire living in a house with a beach front view or a m ...
An Introduction to Forex
The foreign exchange market or forex is the largest financial market in the world. It is where the monetary currencies of countries are traded. Thi ...
