- Industry: Financial services
- Number of terms: 73910
- Number of blossaries: 1
- Company Profile:
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An incentive offered to purchasers of a firm's product for payment within a specified time period, such as ten days.
Industry:Financial services
An investment note issued directly to the public by a financial institution.
Industry:Financial services
A dividend paid in cash to a company's shareholders. The amount is normally based on profitability and is taxable as income. A cash distribution may include capital gains and return of capital in addition to the dividend.
Industry:Financial services
Consumer products that are expected to last three years or more, such as an automobile or a home appliance.
Industry:Financial services
A firm's cash revenues less cash expenses, which excludes the costs of depreciation.
Industry:Financial services
Goods not used in production but, bought for personal or household use such as food, clothing, and entertainment.
Industry:Financial services
In investments, cash flow represents earnings before depreciation, amortization, and non-cash charges. Sometimes called cash earnings. Cash flow from operations (called funds from operations by real estate and other investment trusts) is important because it indicates the ability to pay dividends.
Industry:Financial services
Interest paid on consumer loans; e.g., interest on credit cards and retail purchases.
Industry:Financial services
The point below which the firm will need either to obtain additional financing or to liquidate some of its assets to meet its fixed costs.
Industry:Financial services
Excess correlation of equity or bond returns. For example, under usual conditions we might observe a certain level of correlation of market returns. A period of contagion would be associated with much higher-than-expected correlation. Some examples are the conjectured contagion in East Asian markets beginning in July 1997 when the Thai currency devalued and the impact across many emerging markets of the Russian default. Contagion is difficult to identify because you need some sort of measure of the expected correlation. It is complicated because correlation's are known to change through time, for example, see Erb, Harvey and Viskanta's article in the 1994 Financial Analysts Journal. In periods of negative returns, correlation's (and volatility) are known to increase, so what might appear to be excessive may not be contagion.
Industry:Financial services
