A bond quote is the last price at which a bond traded, expressed as a percentage of par value and converted to a point scale. Par value is generally set at 100, representing 100% of a bond’s face value of $1,000. For example, if a corporate bond is quoted at 99, that means it is trading at 99% of face value. In this case, the cost to buy each bond is $990.
Free cash flow yield is a financial solvency ratio that compares the free cash flow per share a company is expected to earn against its market value per share. The ratio is calculated by taking the free cash flow per share divided by the current share price. Free cash flow yield is similar in nature to the earnings yield metric, which is usually meant to measure GAAP (generally accepted accounting principles) earnings per share divided by share price.
A resume is a one- or two-page formal document that job hopefuls submit to hiring managers and employment recruiters as a means of itemizing their work experience, educational background, and special skills. Successful resumes entice potential employers to invite applicants to interview for the position. Resumes are traditionally accompanied by cover letters, in which applicants champion their relevant skills and tout their specific qualifications for a given position.
The capital adequacy ratio (CAR) is a measurement of a bank’s available capital expressed as a percentage of a bank’s risk-weighted credit exposures. The capital adequacy ratio, also known as capital-to-risk weighted assets ratio (CRAR), is used to protect depositors and promote the stability and efficiency of financial systems around the world. Two types of capital are measured: tier-1 capital, which can absorb losses without a bank being required to cease trading, and tier-2 capital, which can absorb losses in the event of a winding-up and so provides a lesser degree of protection to depositors.
A depository transfer check (DTC) is used by a designated collection bank to deposit the daily receipts of a corporation from multiple locations. Depository transfer checks are a way to ensure better cash management for companies, which collect cash at multiple locations.
Fibonacci extensions are a tool that traders can use to establish profit targets or estimate how far a price may travel after a retracement/pullback is finished. Extension levels are also possible areas where the price may reverse.
An ISDA Master Agreement is the standard document regularly used to govern over-the-counter derivatives transactions. The agreement, which is published by the International Swaps and Derivatives Association (ISDA), outlines the terms to be applied to a derivatives transaction between two parties, typically a derivatives dealer and a counterparty. The ISDA Master Agreement itself is standard, but it is accompanied by a customized schedule and sometimes a credit support annex, both of which are signed by the two parties in a given transaction.
An immediate or cancel order (IOC) is an order to buy or sell a security that executes all or part immediately and cancels any unfilled portion of the order. An IOC order is one of several duration orders that investors can use to specify how long the order remains active in the market and under what conditions the order is canceled. Other commonly used duration order types include fill or kill (FOK), all or none (AON) and good ‘till canceled (GTC). Most online trading platforms allow IOC orders to be placed manually or programmed into automated trading strategies.
An ISDA Master Agreement is the standard document regularly used to govern over-the-counter derivatives transactions. The agreement, which is published by the International Swaps and Derivatives Association (ISDA), outlines the terms to be applied to a derivatives transaction between two parties, typically a derivatives dealer and a counterparty. The ISDA Master Agreement itself is standard, but it is accompanied by a customized schedule and sometimes a credit support annex, both of which are signed by the two parties in a given transaction.
An immediate or cancel order (IOC) is an order to buy or sell a security that executes all or part immediately and cancels any unfilled portion of the order. An IOC order is one of several duration orders that investors can use to specify how long the order remains active in the market and under what conditions the order is canceled. Other commonly used duration order types include fill or kill (FOK), all or none (AON) and good ‘till canceled (GTC). Most online trading platforms allow IOC orders to be placed manually or programmed into automated trading strategies.