Finance

Non-Participating Preference Share: A Comprehensive Guide
Non-Participating Preference Share refers to a type of preference share that entitles the holder to a fixed dividend but does not grant the right to participate in the additional profits of the company.
Non-Performing Loan (NPL): Definition and Overview
An in-depth look at Non-Performing Loans (NPLs), including their definition, types, implications, and historical context.
Non-Performing Loans: Understanding Defaults in Banking
Non-Performing Loans (NPLs) are loans on which the borrower is not making interest payments or repaying any principal. Explore their definition, implications, and management in the banking sector.
Non-Qualified Deferred Compensation: Deferred Income Plan
Non-Qualified Deferred Compensation (NQDC) is a plan where an employee defers a portion of their income to enjoy tax advantages and receive the funds at a later date, commonly after retirement.
Non-Qualified Mortgages (Non-QM): Flexible Loan Options
Non-Qualified Mortgages (Non-QM) offer flexible loan terms for borrowers who do not meet Qualified Mortgage criteria, featuring higher DTI ratios and interest-only periods. These loans are evaluated on a case-by-case basis.
Non-Qualified Stock Option (NSO): A Detailed Overview
A Non-Qualified Stock Option (NSO) is a type of stock option that does not qualify for special tax treatments and can be granted to employees, directors, contractors, and others.
Non-recourse Loan: A Comprehensive Guide
An in-depth exploration of non-recourse loans, their definition, types, examples, and their role in finance and banking.
Non-Recourse Loans: Meaning and Implications
Understanding Non-Recourse Loans: A type of loan where the borrower is not personally liable and does not incur Cancellation of Debt (COD) income if forgiven.
Non-Refundable Credit: A Tax Credit Limited to Tax Liability
A non-refundable credit is a type of tax credit that can reduce a taxpayer's liability to zero but does not contribute to a refund if the credit exceeds the amount owed.
Non-Refundable Ticket: No Refunds Upon Cancellation
A comprehensive overview of non-refundable tickets, their types, advantages, disadvantages, legal considerations, and practical examples in various industries.
Non-Revolving Bank Facility: A Comprehensive Overview
A detailed exploration of Non-Revolving Bank Facilities, including historical context, types, key events, mathematical models, importance, applicability, examples, considerations, and related terms.
Non-Systematic Risk: Understanding Idiosyncratic Risk
Non-Systematic Risk, also known as idiosyncratic risk, refers to the risk unique to a specific company or industry, distinguishing it from systemic market risks.
Non-Wage Income: Income from Sources Other Than Employment
A comprehensive guide to understanding non-wage income, its types, historical context, importance, and application in various fields.
Nonrecourse: Finance Term Limiting Liability to Specified Assets
Nonrecourse is a financial term that refers to loans in which the lender's recovery in the event of default is limited to the collateral specified in the loan agreement.
Note: A Negotiable Record of an Unsecured Loan
An in-depth analysis of notes, their historical context, types, key events, importance, applicability, and related terms in finance and economics.
Notional Cost: Understanding Imputed Cost
A comprehensive guide to understanding notional cost, its historical context, types, significance, and examples.
Novation: A Comprehensive Guide
Novation refers to the cancellation of the rights and obligations under one legal agreement and their replacement by new ones under another agreement. The usual effect is to change the identity of one of the parties in, e.g., a loan agreement.
NSF (Non-Sufficient Funds): Financial Shortfall Situation
NSF (Non-Sufficient Funds) refers to a situation where an account does not have enough money to honor a cheque. This entry explores its historical context, implications, types, key events, importance, examples, and more.
Number of Days' Stock Held: Inventory Management Metric
Number of Days' Stock Held is a key ratio that measures the average number of days a company holds inventory. This metric provides insights into inventory management efficiency.
OBS: Off-Balance-Sheet Items
An in-depth exploration of off-balance-sheet (OBS) items, including their types, key events, implications, and examples.
Occupational Pension Scheme: A Comprehensive Guide
An in-depth look into Occupational Pension Schemes, their types, key events, mathematical models, importance, and applicability.
Offer: The Price at Which a Seller Is Willing to Sell
An offer is the price at which a seller indicates willingness to sell an item or service. Upon acceptance, a legally binding contract is formed.
Offer for Sale: An Invitation to Purchase Company Stock
A comprehensive overview of the Offer for Sale method, including historical context, types, key events, detailed explanations, and related terms.
Offer Price: The Price a Seller is Willing to Accept for a Security
An in-depth look at the Offer Price or Ask Price, its importance in financial markets, historical context, key considerations, and practical examples.
Offer Price: The Selling Price of Securities
The offer price is the price at which a security is offered for sale by a market maker and also the price at which an institution will sell units in a unit trust. This article delves into its historical context, types, key events, and various aspects related to the offer price.
Offset Account: Definition and Applications
An in-depth examination of offset accounts, including their definition, historical context, categories, and real-world applications.
OMV: Open Market Value
Detailed exploration of OMV, its significance in economics and finance, and its broader impact on market transactions.
OMX: A Key Player in Stock Exchanges
OMX is a company that owns and operates stock exchanges in Scandinavia, the Baltic States, and Armenia; and markets advanced electronic trading systems for derivatives products. OMX became a wholly owned subsidiary of NASDAQ in 2008.
One-Time Purchase: Definition and Insights
A comprehensive exploration of One-Time Purchase, the act of acquiring a product or service through a single transaction, including examples, applications in various fields, and comparison with other purchasing models.
Onerous Contract: Financial Burden and Legal Implications
An in-depth exploration of onerous contracts, including their definitions, types, key events, mathematical models, practical examples, and relevant legal considerations.
Onshore RMB (CNY): The Currency Used within Mainland China
A comprehensive guide to understanding Onshore RMB (CNY), its historical context, significance, and detailed explanations about its role in China's economy.
OPEB: Other Post-Employment Benefits Explained
A comprehensive overview of Other Post-Employment Benefits (OPEB), their types, key events, models, significance, examples, and related terms.
Open Outcry: Traditional Trading Method
An in-depth look at Open Outcry, a traditional system of trading in commodities, securities, or currencies where traders call out their trades.
Open-End Funds: Funds that issue and redeem shares on demand
An in-depth exploration of Open-End Funds, their history, types, key events, importance, applicability, examples, and considerations.
Open-End Mutual Fund: Investment Mechanism Explained
An in-depth look into Open-End Mutual Funds, how they work, their historical context, key events, types, importance, and more.
Open-Ended Fund: A Flexible Investment Vehicle
An open-ended fund is an investment vehicle that issues and redeems units based on investor demand, allowing for flexible portfolio management and liquidity.
Operating Fund: General, Day-to-Day Operational Transactions
The Operating Fund is used to record general, day-to-day operational transactions within an organization. It represents the primary repository for handling regular income and expenses.
Operational Expenditure (OpEx): Understanding Day-to-Day Operational Costs
Operational Expenditure (OpEx) refers to the ongoing costs necessary for running the day-to-day operations of a business. Unlike Capital Expenditure (CapEx), which involves long-term investments in assets, OpEx includes expenses such as rent, utilities, and maintenance.
Operational Variance: Measuring Performance Against Standards
Operational Variance is a critical metric in standard costing, assessing the difference between current operational standards and actual performance.
Option Agreement: A Contractual Right to Purchase
An Option Agreement is a contract granting an exclusive right to buy an asset without the need for a third-party offer. This comprehensive definition explores its types, applications, historical context, and much more.
Option Expiration: Key to Options Trading
A comprehensive guide to understanding option expiration, including historical context, types, key events, detailed explanations, importance, applicability, examples, related terms, comparisons, interesting facts, inspirational stories, quotes, proverbs, jargon, and FAQs.
Option Price: Definition and Explanation
The price of an option, covering the premium paid for the right but not the obligation to buy or sell an asset. Detailed explanation includes different types, formulas, and examples.
Options vs. Futures: Key Differences in Financial Derivatives
Options and futures are financial derivatives with distinct characteristics. Options grant the right, but not the obligation, to trade, while futures entail obligatory transactions.
Order Acknowledgment: Confirmation Notice for Buyers
An order acknowledgment is a notice sent to buyers confirming their order, regardless of the payment method used. It serves to validate the receipt and acceptance of the order from the buyer.
Order Cheque: Definition and Importance
A comprehensive overview of order cheques, their historical context, types, key events, detailed explanations, and more.
Order Queue: The Backbone of Trading Operations
An in-depth exploration of the Order Queue, the list of open orders waiting to be filled, its types, impact on trading, key events, mathematical models, charts, importance, examples, considerations, related terms, comparisons, and interesting facts.
Order Routing: Optimizing Trade Execution
Order Routing refers to the process of determining the best venue or platform for executing orders. It ensures that trades are executed efficiently and at the best possible price.
Order Types: Specific Instructions for Executing Trades
Order types are various predefined instructions provided by traders to brokers to execute financial transactions, including but not limited to Limit Orders, Market Orders, and more.
Ordinary Annuity Factor: Calculating the Present Value of Annuity Payments
An in-depth exploration of the Ordinary Annuity Factor, a key financial concept for determining the present value of regular annuity payments. Often used interchangeably with the Inwood Annuity Factor.
Ordinary Income Tax: An Overview of Regular Income Taxation
An in-depth look at Ordinary Income Tax, its implications, historical context, types, key events, formulas, and its role in modern finance and economics.
Ordinary Shareholders' Equity: The Backbone of Corporate Ownership
Explore the concept of Ordinary Shareholders' Equity, including its definition, historical context, key components, importance, formulas, and practical examples.
Organized Exchange: Definition and Overview
An organized exchange is a regulated marketplace with strict membership and operational rules, facilitating the trading of securities and other financial instruments.
Original Creditor: The Entity That Initially Issued the Debt
An in-depth exploration of the Original Creditor, its role, importance, and impact in the world of finance and credit.
Origination Date: The Start of a Loan Agreement
An in-depth look at the origination date in loan agreements, covering its significance, impact, historical context, and related terms.
OTC Market: Decentralized Trading
A comprehensive look at the Over-the-Counter (OTC) market, where trading occurs directly between parties without a central exchange.
OTC Market: Abbreviation for Over-the-Counter Market
A comprehensive overview of the Over-the-Counter (OTC) Market, including its historical context, types, key events, detailed explanations, and applications in finance and trading.
OTC Markets: A Network of Brokers and Dealers Trading Securities Outside of Formal Exchanges
An in-depth exploration of OTC Markets, covering its historical context, types, key events, explanations, and practical examples. Gain insights into its importance, applicability, related terms, comparisons, and more.
Out of the Money: When Exercising the Option Is Not Profitable
A detailed exploration of the term 'Out of the Money' (OTM), a condition in which exercising an option does not yield a profit due to the current market price being outside the strike price of the option.
Output Tax: Understanding VAT on Taxable Supplies
Output Tax is the Value Added Tax (VAT) charged on the total taxable supplies by a trader registered for VAT. This article explores its historical context, types, key events, formulas, importance, applicability, examples, and more.
Outside Money: An Economic Concept
An in-depth exploration of outside money, its historical context, different types, key events, mathematical models, and its significance in economics and finance.
Outstanding Checks: An Essential Guide
Outstanding checks are checks that have been recorded in the company's books but have not yet been cleared by the bank, a critical concept in financial accounting and banking.
Outstanding Shares: Key Component in Equity Analysis
Outstanding shares represent the total shares of a corporation that are currently owned by all its shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s officers and insiders.
Over the Counter (OTC): Definition, Types, and Key Considerations
An in-depth look at Over the Counter (OTC) markets, how they function, types of securities traded, key considerations, and examples.
Over-Applied Overhead: Understanding Excess Applied Costs
Over-Applied Overhead occurs when estimated overhead costs exceed actual overhead costs during a given period. It has implications on financial reporting, cost control, and managerial decision-making.
Over-the-Counter (OTC) Market: A Decentralized Market
A comprehensive explanation of the Over-the-Counter (OTC) Market, where securities not listed on major exchanges are traded directly between participants in a decentralized manner.
Over-the-Counter (OTC) Markets: Decentralized Trading of Securities
Comprehensive overview of Over-the-Counter (OTC) Markets, where securities not listed on an exchange are traded. Learn about its structure, types, examples, applicability, comparisons, related terms, FAQs, and more.
Over-The-Counter Market: An In-Depth Look
Comprehensive guide to Over-The-Counter (OTC) markets, including historical context, types, key events, importance, examples, and related terms.
Over-the-Counter Market (OTC): A Comprehensive Overview
The Over-the-Counter Market (OTC) is a decentralized market where trading occurs directly between parties without a centralized exchange. This article covers its historical context, key events, importance, and detailed explanations, including examples and related terms.
Overbought/Oversold: Understanding Market Conditions
Comprehensive overview of Overbought and Oversold conditions in financial markets, including key indicators, importance, examples, and more.
Overcapitalization: A Comprehensive Overview
An in-depth look into the concept of overcapitalization, its implications, causes, and ways to mitigate it in businesses.
Overconfidence Bias: The Pitfall of Excessive Confidence
Overconfidence Bias: A cognitive bias characterized by an individual's excessive confidence in their own abilities or knowledge. It occurs when investors overestimate their knowledge or ability to predict market movements, leading to undue risk-taking.
Overdraft: A Loan Option Through Cheque Accounts
An overdraft is a financial arrangement that allows a cheque account holder to borrow money up to a specified limit, usually with interest charged on the daily debit balance. It provides a flexible and sometimes cost-effective alternative to traditional loans.
Overdraft: Understanding Negative Bank Balances
A comprehensive guide to understanding overdrafts, their types, historical context, key events, formulas, and relevance in finance and banking.
Overdraft Fee: Charge for withdrawing more than the available balance
An overdraft fee is a charge levied by a financial institution when a customer withdraws more funds than are available in their account.
Overheads: General Business Costs and Indirect Expenses
A comprehensive overview of overheads, their types, importance, and applicability in business operations. Explore historical context, key events, explanations, and examples with diagrams.
Overnight Money: A Crucial Concept in Banking and Finance
An in-depth exploration of overnight money, including its historical context, types, key events, and relevance in modern finance.
Overpriced: Understanding Overvaluation
An in-depth look into what it means for something to be overpriced, including historical context, types, key events, mathematical models, and more.
Overvaluation: When an Asset's Market Price Exceeds Its Intrinsic Value
Overvaluation occurs when the market price of an asset surpasses its intrinsic value. This phenomenon has significant implications in finance, investing, and economics.
Paasche Index: A Detailed Overview
An in-depth look at the Paasche Index, including its definition, historical context, types, key events, explanations, formulas, examples, and related terms.
Paid-Up Insurance: A Comprehensive Guide
An in-depth overview of Paid-Up Insurance, a type of insurance coverage that requires no further premium payments while remaining active.
Paid-Up Single-Premium Deferred Annuity: A One-Time Purchase for Future Income
A Paid-Up Single-Premium Deferred Annuity involves a one-time payment that promises future income streams without needing further contributions. Explore its definition, types, benefits, and applicability.
Paperless Billing: Efficient and Eco-Friendly Billing System
Paperless billing involves receiving bills electronically rather than on paper, offering an efficient and environmentally friendly solution.

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