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Archive for March, 2011

Yankee Bonds

Definition: Foreign bonds denominated in US$ issued in the United States by foreign banks and corporations. Read more

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At-The-Money

Definition: An option is at-the-money if the strike price of the option is equal to the market price of the underlying security. Read more

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ARMs

Definition: Adjustable Rate Mortgage. A mortgage that features predetermined adjustments of the loan interest rate at regular intervals based on an established index. Read more

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Abnormal Returns

Definition: Part of the return that is not due to systematic influences (market wide influences). In other words, abnormal returns are above those predicted by the market movement alone. Read more

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Abandonment Option

Definition: The option of terminating an investment earlier than originally planned. Read more

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