- Industry: Financial services
- Number of terms: 73910
- Number of blossaries: 1
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The ability of an investor to stay in the market and not to sell out of a position when an investment has fallen in value.
Industry:Financial services
The time remaining until a financial contract expires. Also called time to maturity.
Industry:Financial services
As an MBS pool ages, or four to six months after component mortgages have passed at least once the threshold for refinancing, the prepayment speed tends to stabilize within a fairly steady range.
Industry:Financial services
Applies to derivative products. Portion of an option price that is in excess of the intrinsic value, due to the amount of volatility in the stock; sometime referred to as premium. Time value is positively related to the length of time remaining until expiration.
Industry:Financial services
A bond payment covering less than six-months' interest, because the original issue date is less than six months from the first scheduled interest payment. A bond with a short time to maturity, usually two years or less.
Industry:Financial services
1/16 (0.0625) of one full point in price. Often used in negotiations to compromise an eighth difference, and in options trading.
Industry:Financial services
The idea that a dollar today is worth more than a dollar in the future, because the dollar received today can earn interest up until the time the future dollar is received.
Industry:Financial services