Understanding the concept of acceptance in financial transactions, particularly the acceptance of a bill of exchange which involves adding one's signature to take on liability.
Acceptance Supra Protest (or acceptance for honour) is a financial procedure where a third party accepts or pays a dishonoured bill of exchange to protect the honour of the original drawer or an endorser.
An active market is a trading environment where assets of a particular class are frequently and heavily traded. This concept is crucial in fair value accounting. In the absence of an active market, pricing data may be limited, and alternative valuation methods like marking to model might be required. This article delves into the characteristics, significance, and applications of active markets.
A convention that counts actual days in the period divided by 360, commonly used in financial markets for interest calculations.
Understanding 'After Sight' in the Context of Bills of Exchange
American Depositary Shares (ADSs) are the actual shares issued under the ADR that represent ownership in a foreign company. They facilitate American investors' ability to invest in foreign companies through their local markets.
An in-depth look at the term 'As Per Advice' used in bills of exchange, including its historical context, significance, examples, related terms, and more.
An in-depth exploration of Asian Options, financial derivatives whose payouts are based on the average price of an underlying asset over a specified period rather than a single price point.
A comprehensive guide on Asset-Backed Medium-Term Notes (ABMTNs), covering historical context, key events, detailed explanations, mathematical models, and their importance in financial markets.
A comprehensive guide to Baby Bonds, their origins, types, key events, importance, and applicability, including mathematical models and charts.
Back-to-Back Credit is a method used to conceal the identity of the seller from the buyer in a credit arrangement by using an intermediary finance house to issue documentation.
A comprehensive overview of bank accounts, including types, functionalities, historical context, key events, mathematical formulas, importance, applicability, examples, related terms, and much more.
A comprehensive guide to understanding bank deposits, including their types, historical context, key events, formulas, and their significance in finance.
A bank draft, also known as a banker's cheque or banker's draft, is a cheque drawn by a bank on itself or its agent, offering a secure payment method for creditors.
Detailed overview of Bank Giro Credit, its history, types, key events, mathematical models, examples, related terms, and much more.
A comprehensive overview of bank notes, their history, types, issuance, and significance in modern economies.
A comprehensive article detailing the concept, types, historical context, and practical applications of a Banker's Draft in the financial world.
A Banker's Order is a standing instruction given by a customer to their bank to make regular payments of a specified amount to another bank account at specified intervals.
A detailed guide on Barrier Options, a type of option where the payoff depends on whether the underlying asset reaches or exceeds a predefined price level.
An in-depth exploration of basic financial instruments including their historical context, categories, and importance in modern finance.
A detailed examination of the term 'Bearer', its historical context, types, key events, mathematical models, importance, examples, related terms, comparisons, facts, quotes, and more.
A Bearer Cheque is a type of cheque that is payable to whoever holds it, meaning anyone in possession of the cheque can cash it.
A comprehensive guide to Bearer Instruments, their features, types, historical context, and practical applications in finance.
A comprehensive exploration of bearer securities, their history, importance, and modern implications. Learn about their anonymity, legal constraints, and why they have become uncommon in today's financial landscape.
Benchmark indices are used as a standard to measure the performance of other financial instruments or markets, including well-known examples like the S&P 500, Dow Jones Industrial Average (DJIA), and Nasdaq Composite.
The benchmark interest rate is a standard interest rate set by central banks or financial authorities that serves as a reference point for determining other interest rates. It influences various economic activities and financial instruments, including loans, mortgages, and bond yields.
An in-depth exploration of Benchmark Rate - a reference interest rate upon which floating rate notes (FRNs) and other financial instruments are based, serving as a standard measure for other interest rates.
Benchmark rates serve as a reference point to set the terms for various financial instruments, influencing interest rates on loans, bonds, and other financial products.
A comprehensive overview of Bilateral Bank Facility, its types, key events, importance, applicability, related terms, comparisons, and much more.
A comprehensive article covering the various aspects of a bill, including its historical context, types, key events, and practical applications.
A comprehensive article on Bills of Exchange, their historical context, types, key events, and importance in facilitating international trade.
Learn about the Bombay Stock Exchange (BSE), Asia's first stock exchange, established in 1875. Explore its history, significance, types of instruments traded, key events, and its impact on global markets.
An in-depth exploration of Bond Default Swaps, also known as Credit Default Swaps (CDS), covering their history, types, key events, mathematical models, applications, and more.
Bond Options represent a type of financial derivative giving the holder the right, but not the obligation, to buy or sell a bond at a specific price within a specified period. They offer flexibility and complexity in trading and risk management.
A detailed exploration of Bunny Bonds, their functionality, historical context, significance, and applicability in finance.
C Shares are often non-voting shares, primarily issued to raise capital without diluting the control of existing shareholders.
A comprehensive guide to understanding Call Options, their types, key events, mathematical models, applicability, examples, and more.
A Cashier's Cheque is a cheque issued and guaranteed by a bank, typically used for significant transactions, providing security and trustworthiness in financial dealings.
A comprehensive overview of Collateralized Bond Obligation (CBO), its historical context, structure, importance, and related financial terms.
An in-depth analysis of Collateralized Debt Obligations (CDOs) and Credit Default Options (CDOs), including their history, types, key events, mathematical models, and more.
An in-depth exploration of CDOs, including their historical context, types, key events, mathematical models, importance, examples, and more.
A comprehensive overview of Certificate of Deposit (CD), including historical context, types, key events, and detailed explanations.
Understand the differences between Certificates of Deposit (CDs) and Commercial Paper in terms of definition, characteristics, and applications in finance.
A Comprehensive Guide to Contract for Differences (CFD) - An in-depth exploration of its history, types, key events, mathematical models, and practical applications in the financial market.
A comprehensive look at cheque accounts, their types, historical context, key events, importance, applicability, and much more.
A comprehensive overview of cheque cards, their history, types, importance, and their role in the modern financial system.
A comprehensive guide to Cheque-In Facility, its history, importance, applicability in banking and corporate sectors, examples, considerations, related terms, and FAQs.
The Chicago Mercantile Exchange (CME) is a leading global derivatives marketplace where various financial instruments are traded, including those facilitated by the electronic trading platform Globex.
A comprehensive guide to understanding the concept of 'Class of Options,' referring to all options of the same type (call or put) for a particular trading instrument.
An arrangement in which both the maximum (cap) and minimum (floor) rate of interest payable on a loan are fixed in advance.
An in-depth exploration of Collateralized Debt Obligations (CDOs), their types, history, key events, mathematical models, importance, applicability, and more.
A comprehensive guide to understanding Commercial Paper (CP), its uses, types, historical context, and relevance in the financial markets.
A financial instrument with both equity and debt elements, with specific accounting rules in the UK and Ireland.
A confirmed irrevocable letter of credit provides an additional layer of security to international transactions by ensuring payment from both the issuing bank and a confirming bank.
A comprehensive guide to understanding Contracts for Differences (CFDs), their historical context, types, key events, formulas, importance, and applications in the financial market.
Convertible Debentures are hybrid financial instruments providing regular dividends with the option to convert into ordinary shares. They offer a balance of security and long-term benefits.
Convertible Preferred Shares are financial instruments that offer the dual benefits of equity and debt, allowing conversion into a predetermined number of common shares while providing fixed income through dividends.
Convertible securities are financial instruments such as bonds or preferred stocks that can be converted into a fixed number of common shares. These versatile instruments offer unique benefits and risk profiles to investors.
A detailed overview of convertible security, a financial instrument that can be converted into another security, primarily common stock. Learn its types, benefits, and key considerations.
An in-depth exploration of coupons in the context of bonds, including historical context, types, key events, and detailed explanations with relevant examples.
A comprehensive guide to understanding coupon payments, their significance in the financial world, historical context, key events, mathematical formulas, and practical examples.
Coupon stripping is a financial process in which the coupons are detached from a bearer security and sold separately, transforming the original bond into a zero-coupon bond. This method creates multiple securities from a single original bond, serving as a unique mechanism for generating cash flow.
An in-depth look at Credit Default Swaps (CDS), their history, types, importance, and implications in the financial market.
Comprehensive guide on credit risk transfer, including types, key events, mathematical models, diagrams, importance, examples, related terms, and famous quotes.
A comprehensive guide to understanding crossed cheques, their types, significance, and application in financial transactions.
Currency options offer the right, but not the obligation, to exchange currencies at predetermined rates, providing flexible and strategic ways to hedge and speculate in the foreign exchange market.
A detailed explanation of currency swaps, including historical context, types, key events, formulas, and practical applications.
A detailed exploration of debit cards, their functions, history, types, and significance in the modern financial system.
A comprehensive guide on deeply discounted securities, their significance, historical context, types, key events, formulas, and more.
Deliverable forwards are a type of forward contract that involves the physical delivery of the underlying currency at the contract's maturity. These contracts are typically used in international trade and finance to hedge against currency risk.
Explore the detailed definition, types, examples, and unique characteristics of Demand Deposit Accounts (DDA) - non-interest-bearing checking accounts available for withdrawal at any time without prior notice.
A detailed exploration of deposit accounts, their types, historical context, key events, formulas, importance, examples, and related terms.
A detailed exploration of Depositary Receipts, including their types, historical context, key events, and their importance in global financial markets.
A comprehensive overview of depository receipts, including historical context, types, key events, mathematical models, charts, importance, applicability, and more.
A detailed exploration of financial derivatives, including types, historical context, key events, formulas, and their impact on financial markets.
An in-depth exploration of derivatives, their types, importance, applications, and key events in financial markets.
Comprehensive coverage of derivative instruments, their historical context, types, key events, mathematical models, and applicability in finance and trading.
Digital Options: A financial derivative that pays a fixed amount if the barrier is breached and no payout if it isn’t.
Understanding the concept of discount in various contexts including finance, trading, and consumer goods. This article delves into the historical context, types of discounts, key events, mathematical models, and practical applications.
Understanding the intricacies of documentary credit, also known as a letter of credit, its historical context, types, key events, detailed explanations, and its significance in international trade.
Comprehensive definition and insights on the Dow Jones U.S. Dividend 100 Index, including its criteria, historical context, and applicability.
A detailed exploration of Euro-Commercial Paper (ECP), its history, types, key events, and its significance in the financial markets.
Employee Stock Options (ESO) are a form of equity compensation granted by companies to their employees. These options give employees the right to buy shares of the company at a fixed price after a certain period.
An in-depth exploration of the endorsee, focusing on historical context, types, key events, explanations, mathematical models, importance, examples, related terms, interesting facts, quotes, FAQs, and references.
An endorser is a party who signs a financial instrument, such as a promissory note or a check, and assumes liability for its payment if the primary party defaults. This term encompasses both securing payment transfer and assuming responsibility.
An Equipment Trust Certificate (ETC) is a financial instrument used to fund the purchase of significant equipment, giving the holder a secured interest in the asset. Widely used in the airline and shipping industries, ETCs function similarly to mortgages.
Equity capital involves raising finance in exchange for ownership in a company, typically in the form of shareholding or convertible financial instruments.
Comprehensive definition of equity instruments, including types, applications, historical context, and frequently asked questions.
Explore the concept of equity kickers: primarily equity-derived compensation as a secondary benefit on debt. Understand its definition, types, historical context, and applicability in finance and investment.
An in-depth exploration of Equity Options, a financial derivative used for trading stocks with specific rights and terms.
An Exchange-Traded Fund (ETF) is an investment fund traded on stock exchanges, holding assets such as stocks, commodities, or bonds. This guide covers the definition, types, benefits, examples, and more.
A European option is a type of financial derivative that can be exercised only on its expiration date. This is in contrast to American options, which can be exercised at any time before or on the expiry date.
Exercise price, also known as strike price, is crucial in options trading as it determines the profitability and exercisability of the option.
Exotic Financial Instruments involve complex and often customized financial products that include features like derivatives with path-dependence or multiple contingent outcomes.
The nominal value of a bond or other financial instrument as stated by the issuer, excluding interest.
Fair Value refers to the amount of money for which it is assumed an asset or liability could be exchanged in an arm's length transaction between informed and willing parties. It plays a crucial role in acquisition accounting, derivatives, and other complex financial instruments.
Fictitious Capital refers to capital that increases through means that do not reflect genuine productive output, often through financial instruments and speculative investments.
An in-depth exploration of Financial Innovation, encompassing changes in financial institutions, instruments, or business practices within the financial sector.
A comprehensive guide to financial liabilities, including their definitions, types, importance, applicability, examples, and more.
An in-depth exploration of fixed-interest securities, their historical context, types, key events, mathematical models, importance, applicability, and more.
