Deferred dividend share
A type of share for which dividend payments are deferred until dividends are paid to another class of shares or a specific obligation of the company is fulfilled.
Prime Rate
A term commonly used in the United States referring to the interest rate at which banks lend to their most creditworthy major clients. The same practice applies in the United Kingdom, with only a difference in terminology, as it is considered a special interest rate for prime clients.
Exercise Price
The price at which an investor can exercise the right granted by the option under the option contract.
Dual Unit Price
It is the reconciliation of the unit price calculated according to the financial statements, in which expected credit losses are recorded on the fund’s financial statements, with the unit price calculated for trading purposes.
Stock Closing Price
It represents the price of the last transaction executed on the stock during the daily trading session.
Fair value
The fair value is determined based on the company’s assets, dividends distributed to shareholders, future growth rates, and the efficiency of company management (the intrinsic value of the share).
Investment Broker
A special class of agents commissioned by the investor to buy or sell investments specified by the investor in exchange for a special commission (brokerage) calculated as a percentage of the value of the investments bought or sold
Coupon bond
A bearer bond with attached coupons used to claim the stipulated interest.
Deed of Trust
An instrument used in some countries in lieu of a mortgage, where a property title deed is deposited with one or more trustees to secure the repayment of an outstanding amount or the fulfillment of other conditions.
Callable Bond
A type of bond issued by companies or issuing entities that includes a condition granting them the right to call the bond, meaning to repay it in full before the specified maturity date according to pre-stipulated conditions in the issuance contract. This call is typically made when market interest rates fall, allowing the issuer to […]