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The full amount of a security, loan or investment before interest is added or deducted. Coupon ...
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Originally a steward or bailiff overseeing an estate. Factor now has two meanings: the agent ...
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The cost of producing one item - including labour and capital - as distinct from its market ...
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Taking over the collection and supervision of a company's debts or receivables (what is owed ...
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Devised by Citibank Ltd, a fairway option is similar to a collar but links two different variables, ...
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As in 'the $A fell out of bed', meaning the currency declined suddenly and substantially.
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See also: mortgage-backed security.
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A security issued by the Federal National Mortgage Association of the US (FNMA). An independent ...
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Abbrev. Flexible Accelerated Securities Transfer system.
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Relevant to statistical tests in econometrics, a fat-tailed curve is a frequency distribution ...
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Abbrev. fringe benefits tax.
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Making conditions softer and more comfortable, implying a comfort that is not wholly deserved. ...
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Abbrev. Federal Reserve System.
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The communications system linking all twelve Federal Reserve Banks in the US, their 24 branches, ...
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A public corporation in the US created by the Glass Steagall Act to insure the deposits of ...
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Short-term interbank lending in the US. Federal funds are the reserve assets of the US commercial ...
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The interest rate prevailing in the US federal funds market, ie, the rates paid and charged ...
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Born in 1970 in the US, owned by the twelve Federal Home Loan Banks, this organisation buys ...
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See also: Fannie Mae. Abbrev. FNMA.
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A committee of the United States Federal Reserve System which controls the purchases and sales ...
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The US central bank, established in 1913 by an Act of Congress, comprising the Federal Reserve ...
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A number sequence discovered by the thirteenth-century Italian mathematician, Leonardo Fibonacci ...
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Abbrev. financial institutions duty.
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A form of insurance against the loss of money held in trust or on behalf of investors. Professional ...
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The responsibilities of those in positions of trust, often applied to the obligation of company ...
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Abbrev. first in, first out.
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A share-price index measuring changes in the prices of 50 leading companies on the Australian ...
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Foreign-exchange dealers' shorthand meaning jumping to the '00' at the end of a quote. For ...
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A futures market order, to be carried out immediately or, if not, to be cancelled.
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The level of salaries earned in the final years before retiring or leaving work, often used ...
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See also: dividend.
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A non-bank financial institution. Finance companies in Australia date from 1925. Their numbers ...
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A lease which effectively transfers from the lessor (owner) to the lessee the bulk of the ...
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Legislation providing for the registration and direct regulation in Australia of a wide range ...
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The development of innovative market instruments or linked transactions to exploit specific ...
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Instruments with which to hedge or protect against movements in interest rates, share prices ...
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See also: options.
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An offer of money, to induce an improvement in performance.
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A state tax introduced in January 1983 in New South Wales and Victoria and was subsequently ...
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A bill of exchange, bond, treasury note or promissory note. See also: instrument.
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What this book is all about.
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One-stop money shop, offering the full range of financial services, from deposits and loans ...
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Abbrev. FTSE. See also: Footsie.
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An accounting period for government budgeting and taxation purposes. In Australia the financial ...
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Traders in the money market talk of 'fine rates' when they mean low, or the most favourable ...
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In managing the economy, small adjustments made by the government in response to economic ...
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A professional association established in 1966 to improve education in the securities industries ...
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Abbrev. Foreign Investment Review Board.
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The price assets might fetch if sold quickly or in a distressed situation - a price usually ...
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A business, partnership, company or proprietary company. In share trading, saying that prices ...
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A price (quote) at which a trader is prepared to trade at a given time. A trader might qualify ...
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An accounting technique for valuing a company's stock in which it is assumed that goods are ...
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The reason you do not seem to have more money to spend, even though your salary has been increased. ...
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The arm of government policy which influences the economy through the budget by changes in ...
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See also: financial year.
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See also: charge.
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The same as a term or time deposit. Money may be placed with a bank, merchant bank, building ...
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Interest paid on investments such as bonds and debentures, paid at a predetermined and unchanging ...
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The system in foreign exchange under which all exchange rates were set officially - by governments ...
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A currency swap where each side is a fixed-rate payer in its currency, and fixed-interest ...
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The basic 'vanilla' interest-rate swap involving an exchange of fixed-rate payments for floating-rate ...
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A loan that has been made at a specific rate which will prevail for the term of the financing.
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A party in an interest-rate swap making a series of identical payments, eg, on the coupon ...
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The party receiving a fixed rate and paying floating under a swap. See also: fixed-rate ...
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In contrast to a lifetime annuity, which provides income for life, this provides a regular ...
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A repo with a fixed maturity period, usually between one day and three months. See also: ...
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See also: par forward.
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Interest charged on the full amount of a loan throughout its entire term and commonly known ...
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A single-rate tax on personal income which applies at the same rate irrespective of the level ...
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See also: headhunter.
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The first stage of the Australian Stock Exchange's computerised settlement system. The system ...
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A term-certain annuity which provides regular income and flexibility in income payments so ...
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See also: exchange rate.
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What happens when investors become nervous of private sector creditworthiness and decide to ...
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A term applicable in different contexts. For example, currencies can float, which means their ...
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See also: demerger.
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See also: charge.
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See also: float.
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See also: basis swap.
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Money provided at a rate set at a margin above (rarely below) a benchmark rate so that the ...
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A form of security, popular in the euromarkets and adopted elsewhere, issued for three years ...
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A party in an interest-rate swap making a series of variable interest-rate payments. These ...
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The party receiving a floating-rate and paying fixed under a swap agreement. See also: ...
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1. A floor in the context of interest rates guarantees a minimum rate of return but leaves ...
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The level below which the price of a commodity or security will not fall because no seller ...
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The person on the floor of an exchange executing orders as the representative of a member ...
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An option on a floor, giving the holder the right to buy a floor at a certain strike price ...
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When a company floats its shares it is offering shares to the public to raise cash. See ...
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The movement of money; who is borrowing or lending, from or to whom, how much and how often. ...
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Abbrev. Federal National Mortgage Association of the US. See also: Fannie Mae.
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Abbrev. free on board.
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Abbrev. Federal Open Market Committee (US).
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Colloquial pronunciation of FTSE, the London Financial Times Stock Exchange Index which lists ...
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Quotes which are not firm and intended to signify unwillingness or inability to deal.
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A provision in a contract that releases the parties from their obligations in the event of ...
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Technically, saving that takes place because of a shortage of goods on which to spend, rather ...
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Cash or other claims (such as bank deposits and bonds) on another country, held in the currency ...
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A body responsible for advising the Australian federal government (particularly the treasurer) ...
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A change, first applicable in the 1987/88 financial year, to the tax treatment of foreign ...
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Market shorthand for foreign exchange. Also FX.
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A form of fixed-rate trade finance. Forfaiting involves the purchase by a financial institution ...
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Shares in a no-liability company which are forfeited (lost) to the previous owner because ...
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A future commitment whose terms are established now; a contract under which one side will ...
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See also: break forward.
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A currency swap starting on a forward (future) date. Terms are agreed in advance. Such a swap ...
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The purchase or sale of foreign exchange for delivery at a future date at a predetermined ...
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The difference between today's rate or price for a commodity, such as a foreign currency, ...
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A market where traders and speculators can take out contracts for purchases or sales of commodities ...
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The price for a commodity, such as a foreign currency, for delivery some time more than two ...
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A swap agreement arranged to start from a future date.
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A form of break-forward. Abbrev. FOX. See also: break-forward.
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An agreement between two parties seeking to protect themselves against a future interest-rate ...
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Abbrev. forward with optional exit.
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Abbrev. forward-rate agreement.
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A system of distributing goods and services in which one organisation (the franchisor) grants ...
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Dividends paid out of company profits on which the full corporate tax has been paid. Shareholders ...
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A record-keeping account required purely for tax purposes. The balance in the account represents ...
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An option on a forward-rate agreement.
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Abbrev. Federal Home Loan Mortgage Corporation.
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Doing your own thing, and being allowed to do so; an entrepreneurial economic environment. ...
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Something, theoretically, that you don't have to pay for. 'There is no such thing as a free ...
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A market left alone to set its own prices, unhindered by government or central bank interference.
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This applies to the valuation of goods as they are exported and represents what the exporter ...
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A port where no duty or taxes are paid on imports or exports.
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A doctrine popularised by the Manchester School in the UK (1820 - 50). The school believed ...
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To fix wages and prices by legislation or agreement, so that they do not move from the levels ...
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(1912 - )a US economist, born in Brooklyn, New York, and winner of the Nobel Prize for Economics ...
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Originally a group of workers who made small periodic contributions to a common fund which ...
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Similar to insurance bonds, these are issued by friendly societies, usually with a ceiling ...
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Taxes paid by employers on the value of fringe benefits provided to employees. The taxable ...
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Abbrev. floating-rate notes.
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The beginning of a transaction or process. For example, front-end development of a mining ...
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The fee paid by a borrower to a lender at the beginning of a loan facility, or the cost to ...
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In futures and options trading, taking a position based on information not publicly available ...
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An account which cannot be operated pending legal examination or action. A deceased person's ...
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Assets that cannot be used until legal action is out of the way. A company in receivership ...
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See also: Footsie.
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A trader is described as 'full with a client' when the maximum amount of credit exposure, ...
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Gross price, ie, the total of the capital price of a repo plus accrued interest. See also: ...
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This describes a superannuation fund whose assets are sufficient to meet all the fund's liabilities, ...
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Shares on which no uncalled capital is due.
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See also: fundamentalism.
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A creed which places faith in economic theory when analysing, say, the position of a company ...
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1. Cash. 2. Pools of money contributed by individuals to make investments with the benefit ...
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When one unit of a commodity is equal to any other like unit (such as grains of wheat or corn), ...
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Money won from dubious sources, 'laundered' funds or the cash economy. It can also refer to ...
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An agreement to buy or sell a standard quantity of a commodity - such as gold, $US or bank ...
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Futures markets have existed for centuries but evolved in their present form in the US in ...
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See also: currency option.
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A purchase of one currency against another at an initial date and an agreement to reverse ...
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