INTEREST RATE CAP STRUCTURE
Interest limits on an adjustable rate loan, which is usually linked to mortgages. There are various types of interest rate cap structures such as initial cap, periodic cap, and lifetime cap. Initial cap refers to a value that restrains the amount of interest that can be adjusted at the mortgage’s first interest rate adjustment date. Periodic cap is a value that constricts the amount the interest rate can be adjusted at each subsequent adjustment date. Lifetime caps limits the total amount the interest rate can be adjusted over the mortgage’s life.
POPULAR TERMS
Thierry Desmarest
Chairman, and former Chief Executive Officer and President of Total, one of the biggest oil and gas firms worldwide. During his tenure, the company ...
Bank Stress Test
Analysis done because of unfavorable economic scenarios that is needed to know if a bank has enough capital with the impact of the development. ...
Interest Rate
The amount charged by a lender to a borrower for using assets. Expressed as a percentage of principal, these are usually noted on an annual basis, ...
Cracking
Method of breaking down a larger product into smaller by-products. Used in the oil and gas industry, this can be accomplished by employing various ...
Quasi-Reorganization
This is a procedure where recapitalization is achieved through the elimination of the deficit that exists and the establishment of a new earned sur ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
Student Loans: Consolidating Federal Loans
If you find it difficult to monitor and pay the student loans on your own, and want to reduce your monthly payment and lengthen the repayment sched ...
Principles of Trading: Introduction
Trading is an active participation in the financial markets. Those who partake in buy-and-hold investing are called traders. Also called market pla ...
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 ...
Health Savings Account: Eligibility
We discussed the fundamental information regarding HSAs. Now, we shall tackle the qualifications for opening an HSA.
Any person can utili ...
Principles of Trading: Record Keeping and Taxation
It is imperative for every trader to maintain a precise, organized, and latest trading-related records. Hence, traders should keep both hard and di ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 08:30 | Producer & Import Prices | Mar | |
| 11:00 | Industrial Production | Feb | |
| 14:30 | Manufacturing Shipments | Feb | |
| 14:30 | Wholesale Sales | Feb | |
| 14:30 | Retail Sales | Mar | |
| 14:30 | NY Fed Empire State manufacturing index | Apr | |
| 16:00 | Business Inventories | Feb | |
| 16:00 | NAHB Housing Market Index | Apr | |
| 04:00 | Real GDP | 1 quarter |
