Letter C Dictionary

C Corporation: A business which is a completely separate entity from its owners, unlike a partnership.
C shares: Mutual fund shares of a class that carries an ongoing fee. The ongoing fee is often a 12b-1 fee, paid annually.
cabinet security: A stock or bond that is listed on a major exchange but either not actively traded...
cable: The common name for the GBP/USD currency pair. Cable's entomology derives from...
CAD: The currency of Canada. ISO international currency code: CAD. Learn more...
cafeteria plan: A benefits plan that allows employees to select from a pool of choices, some...
cage: The department of a brokerage firm through which physical securities are both...
CAGR: Compound Annual Growth Rate. The year-over-year growth rate of an investment...
calendar effect: Trends in the performance of stocks correlating to different days of the week,...
calendar spread: A strategy in options or futures where a spread is established by entering both...
calendar year: The period beginning on January 1 and ending on December 31, based on the Gregorian...
call: A Call is an option contract that gives the holder the right (but not the obligation)...
call date: The date on which a callable bond can be redeemed before it has reached maturity....
call feature: See callable bond.
call loan: A loan that must repaid upon the lender's demand. also called callable loan.See also callable loan
call money market: A market that consists of the borrowing of money by brokers and dealers for...
call money rate: The interest rate that banks charge brokers to finance margin loans to investors....
call option: A Call is an option contract that gives the holder the right (but not the obligation)...
call price: At the time a callable bond or callable preferred stock is issued, the price...
call protection: A specified initial period during which a callable bond may not be called.This...
call provision: A clause in the indenture of a bond expressing the right of the issuer to redeem...
call ratio backspread: An investment strategy combining options to limit risk while still allowing...
call risk: The potential for cash flow issues that the holder of a callable bond enables...
call swaption: Short for call swap option. This is an exchange in which the buyer pays an option...
callable: Able to be redeemed prior to maturity. The term generally applies to bonds and...
callable bond: A bond whose issuer has the right, under certain conditions, to redeem (buy...
callable loan: A loan used by brokerage firms to maintain margin accounts or finance underwriting...
callable stock: A stock which the issuer may buy back on demand at a specified price. Also...
called away: Term used to describe a contract that is ended because of the obligation of...
called bond: A callable or call bond that the issuer has chosen to redeem before the maturity...
Cambist: A banking, money changer or broker. The more modern usage refers to an expert...
Cambodia Riel: The currency of Cambodia.See GoCurrency World Currencies Page & Currency Converter
Cameroon Franc: The currency of Cameroon.See GoCurrency World Currencies Page & Currency Converter
Canadian Dollar: The currency of Canada. ISO international currency code: CAD. Learn more...
Canary Island: The currency of The Canary Islands.
cancel: The action of placing a cancel order. See cancel order
cancel order: In order given to call off a previously placed buy or sell order. This is an...
cancellation of debt: Absolution by a creditor of a borrower's obligation to repay a loan. This may...
cancelled check: A check cleared by a financial institution. A cancelled check may serve as proof of payment.
Candlestick Charting Explained: Intro to Candles Bullish Reversals Bearish Reversals Continuation...
Canton & Enderbury Island: The currency of Canton & Enderbury Island.See GoCurrency World Currencies Page & Currency Converter
cap: An upper limit on the interest rate that can be charged by a lender. This may...
cap rate: The discount rate used to determine the present value of a stream of future...
capacity: A firm or economy's ability to produce goods and services.
Capacity Utilization - Japan: Capacity utilization measures the extent to which Japanese manufacturing companies...
Capacity Utilization - United States: Capacity Utilization measures the extent to which U.S. manufacturing companies...
capacity utilization rate: The percentage of production potential of a company, industry, or entire economy...
Capacity Utilization Rate - Canada: Measures the extent to which Canadian manufacturing companies make use of their...
Cape Verde Escudo: The currency of Cape Verde. ISO international currency code: CVE....
capex: Money spent to acquire or upgrade physical assets such as buildings and machinery....
capital: Financial capital generally refers to the net financial wealth and investor...
capital account: An account that tracks the movement of funds for investments and loans into...
capital appreciation: An increase in the price of an asset in the market.This is one of two major...
capital appreciation fund: An aggressive type of mutual fund that seeks profit primarily through investment...
capital asset: A tangible asset that is held for a long period of time, not normally bought...
Capital Asset Pricing Model: CAPM. A formula relating risk to expected return that is used to price particularly...
capital budget: Plan for new acquisitions and replacements of long-term assets.Assets considered...
capital budgeting: Planning the most effective investment strategy in long-term projects in order...
capital commitment: Inventories of stocks carried by market makers.Because the value of stocks is...
capital consumption allowance: The amount of money necessary for a country to maintain its productivity.This...
capital efficiency: The informal ratio of output divided by capital expenditure. The larger the ratio, the better the capital efficiency.
capital employed: Fixed assets plus current assets minus current liabilities. Capital employed...
capital expenditure: Funds spent for the acquisition of a long-term physical asset. Also known as...
capital flight: The movement of capital from one investment to another that is more stable or...
capital formation: The creation or expansion through savings of goods that produce other goods.This...
capital gain: The profit made from the sale, trade, or exchange of a capital asset. This is...
capital gains distribution: Payment of some amount of a company's profit from sales of securities made to...
capital gains tax: A tax taken on profits made through the sale of assets held for investment....
capital goods: Producer materials used to create physical commodities.In general, capital goods...
capital growth: An increase in the market price of an asset. See capital appreciation.
capital intensive: Requiring a large amount of assets to produce a particular good or finance a...
capital investment: Money paid for an asset of permanent use or value in a business or home. The...
capital lease: A lease with the characteristic of asset ownership.This characteristic is determined...
capital liability: Debt that both arises through and is used in business operations.Applicable...
capital loss: The amount by which the purchase price of a capital asset is higher than its...
capital loss carryover: The amount by which the decline in value of an asset exceeds the maximum deductible...
capital market: Trading center for securities such as stocks, mortgages, and bonds. The capital...
capital market line: A graph derived from the Capital Asset Pricing Model that shows the rates of...
capital net worth: A company or individual's total assets minus total liabilities.For corporations,...
capital rationing: The placement of restrictions on the quantity of new investments or projects...
capital requirement: A permanent base of funds needed for the normal operation of a business.Also...
capital resource: A good used in the production of other goods.Examples include factories, buildings, and equipment.
Capital Spending - Japan: The investment in new capital by Japanese corporations. Capital spending serves...
Capital Spending Including Software - Japan: The capital spending figure including software tracks all investment by Japanese...
capital stock: The total amount of stock authorized for issue by a corporation.This includes...
capital structure: The basis for a firm's financing.Also known as capitalization. This may be...
capital turnover: A company's annual sales divided by its average stockholder equity (net worth).Also...
capitalism: Capitalism refers to the economic system characterized by the following points:Private...
capitalization: A term that refers to the total amount of financing or funds that is available...
capitalization of income: A method of evaluating an investment by estimating future cash flows and taking...
capitalization rate: A rate of interest or discount rate used to convert a series of future earnings...
capitalization ratios: The distribution of a company's assets between debt, preferred stock, common...
capitalization weighted index: A statistical indicator that provides a representation of the value of its components...
capitalize: To record current expenses as a long-term asset in order to delay the recognition...
capitalized cost: The base cost of a leased asset that is amortized over the life of the lease.Also...
capitalized interest: An additional charge added to an original principal loan amount because the...
CAPM: See Capital Asset Pricing Model
capped-style option: An option with a pre-established profit limit.Also called a capped option....
capping: Artificially keeping the price of a stock low or actively lowering it by applying...
captive agent: Representative of an insurer with a special commitment to that insurer.As opposed...
capture rate: Capture Rate refers to the ability at which properties are able to be sold or...
car: The amount of a commodity for which a predetermined price is set in a commodity...
carrier: Insurance company that actually underwrites, issues, and assumes (or carries)...
Carry Trade Strategy Example: The carry trade is a popular trading strategy used in the FX market. It guarantees...
carryback: A technique for receiving a refund of back taxes by applying a deduction or...
carryforward: A technique for applying a loss or credit from the current year to a future year. Also known as tax loss carryforward.
carrying charge: The cost of storage space, insurance, and finance charges incurred when storing a physical commodity.
carte blanche: The permission to select any available choice in making a given decision.
cartel: A group of firms or countries which collectively attempt to affect market prices...
carve-out: A situation in which a parent firm sells a minority share of a child firm, generally...
cash: Currency and coins on hand, bank balances, and negotiable money orders and checks.
cash account: A brokerage account in which the customer is required by Regulation T to pay...
cash advance: A loan taken out against a line of credit, credit card or expected income--typically...
Cash Against Documents: CAD. A transaction where the purchaser takes ownership of goods the moment...
cash and carry trade: An arbitrage strategy generally consisting of the purchase of a particular security...
cash asset ratio: Total dollar value of cash and marketable securities divided by current liabilities....
cash basis: The bookkeeping practice of recording sales and expenses only when cash is actually...
cash budget: A forecast of estimated cash receipts and disbursements for a specified period of time.
cash buying: The outright purchase of securities or commodities for immediate delivery.
cash collateral: The proceeds of cash collected from the sale of liquid assets while in bankruptcy.
cash commodity: An actual physical commodity which is delivered at the completion of a contract,...
cash control: The procedures used to verify the accuracy of cash receipts and disbursements.
cash conversion cycle: The length of time between the purchase of raw materials and the collection...
cash cow: A Cash-Cow is a business or product which generates a steady, dependable flow...
cash credit: A short-term cash loan to a firm.
cash cycle: The length of time between the purchase of raw materials and the collection...
cash delivery: A requirement of certain futures contracts that the underlier should not be...
cash discount: A credit or discount offered if the purchaser chooses to pay early and/or with cash.
cash dividend: A dividend paid in the form of cash, generally by check.
cash earnings: Cash revenues minus cash expenses. This differs from earnings in that it does not include non-cash expenses such as depreciation.
cash equivalence: The market value of an asset if it was sold for cash.
cash equivalents: Highly liquid, very safe investments which can be easily converted into cash, such as Treasury Bills and money market funds.
cash flow: A measure of a firm's financial health. Equals cash receipts minus cash payments...
cash flow statement: A summary of a firm's cash flow over a given period of time.
cash flows from financing activities: An accounting of funds related to the financing of the firm which is reported...
cash flows from investing activities: An accounting of funds related to the firm's investments, reported on the cash...
cash flows from operating activities: An accounting of funds related to the firm's operations, reported on the cash...
cash forward contract: A cash market transaction in which a seller agrees to deliver a specific cash...
cash in: Primarily, cash-in refers to the exchange of one thing for cash. For example,...
cash journal: A journal where all transactions are initially recorded.
cash management: The strategy by which a firm administers and invests its cash.
cash market: A market in which commodities, such as grain, gold, crude oil, or RAM chips,...
Cash on Delivery: Abbreviated as COD, refers to a transaction in which goods are paid for in full...
Cash or Deferred Arrangement: Abbreviated as CODA, refers to a qualified plan, generally part of a profit...
cash out: Exchange for cash.
cash price: The present delivery price of a given commodity being traded on the spot market. Also known as spot price.
cash ratio: Total dollar value of cash and marketable securities divided by current liabilities....
cash reserves: Cash deposits, short-term bank deposits, money market instruments, and Treasury Bills.
cash sale: A transaction in which the securities are delivered on the trade date instead...
cash settlement: A transaction settled with a cash payment in the amount of profit or loss rather...
cash surrender value: The amount available in cash upon cancellation of an insurance policy, generally...
cash value: The amount available in cash upon cancellation of an insurance policy, generally...
cash value life insurance policy: A life insurance policy which in addition to providing a benefit upon the death...
cash withdrawal: A provision enabling a participant to withdraw part or all of an accumulation from an insurance policy or annuity.
cash-balance plan: A defined benefit retirement plan characterized by an annual contribution made...
cash-on-cash return: A technique for calculating the return on an investment for which there is no...
cash-out refinancing: The process of taking out of a new mortgage at an amount that exceeds the existing...
cashbook: An accounting book which documents both cash receipts and disbursements.
Cashcard Retail Index - Australia: Gauges Australian consumer spending. The Cashcard Retail Index tracks cash,...
cashier's check: A check which cannot bounce because its face amount is paid to the bank when...
cashless exercise: A method of converting options into stock that requires no initial cash payment...
casualty insurance: A type of insurance coverage for loss or liability arising from a sudden, unexpected event such as an accident.
casualty loss: Any form of financial loss or loss of property arising from a sudden, unexpected event such as an accident.
CAT bond: A high-yield, insurance-backed bond containing a provision causing interest...
catastrophe bond: A high-yield, insurance-backed bond containing a provision causing interest...
catastrophic coverage: A type of insurance coverage for specific catastrophic events such as death, fire, flood, and some medical conditions.
caveat emptor: Let the purchaser beware.
Cayman Islands Dollar: The currency of Cayman Islands. Learn more about the Cayman dollar and Cayman Islands at GoCurrency.com
CBI Industrial Trends Survey - UK: A survey of senior manufacturing executives on trends in output, prices, exports,...
CBO: Acronym for Collateralized Bond Obligation. An investment-grade bond backed...
CBOE: Acronym for Chicago Board Options Exchange. An exchange where stock options,...
CBOT: Acronym for Chicago Board of Trade. An exchange where grain, gold, and Treasury Bond futures and options are traded.
CD: Acronym for Certificate of Deposit. Short- or medium-term, interest-bearing,...
CDF: The currency of The Democratic Republic of Congo. ISO international currency...
ceiling: The maximum interest rate permitted by state law for a given loan. A ceiling is a common feature of floating rate notes.
central assets account: A single account at a brokerage or bank which includes both banking and brokerage...
Central Bank: The generic name given to a country's primary monetary authority, such as the...
Central Registration Depository: Acronym for CRD. A computerized database with information on registered brokers....
CEO: Acronym for Chief Executive Officer. The executive who is responsible for a...
certificate: A formal declaration of a fact, such as a stock certificate, CD, certificate...
Certificate of Authority: A certificate which identifies an account's trustee(s) when none is listed on an account registration.
Certificate of Claim: A contingent promise to reimburse an insured lender for costs resulting from a foreclosure.
certificate of delivery: A certificate acknowledging delivery of securities after a transaction has been completed.
Certificate of Deposit: Abbreviated as CD, refers to a short- or medium-term, interest-bearing, FDIC-insured...
Certificate of Occupancy: A certificate issued by a local building department to a builder or renovator,...
Certificate of Participation: Financing in which an individual purchases a share of the lease revenues of...
certificate of stock: A document reflecting legal ownership of a specific number of stock shares in a corporation. Also known as stock certificate.
certificate of title: A written statement by an attorney or title firm as to the status of a property title.
certificated stock: A quantity of a physical commodity which has been inspected by the appropriate...
certificateless municipal bond: A municipal bond which does not have a certificate of ownership for each bondholder....
certification: The procedure through which an official designation is obtained. Often involves standardized testing.
certified check: A check for which the bank guarantees payment.
Certified Financial Planner: A title conveyed by the International Board of Standards and Practices for Certified...
Certified Public Accountant: Acronym for CPA. An individual who has received state certification to practice accounting.
ceteris paribus: Ceteris paribus - A Latin term used in economics meaning "with all other things...
CFA: Acronym for Chartered Financial Analyst. An individual who has passed tests...
CFA Franc: The currency of The African Financial Community (Central Africa).See GoCurrency World Currencies Page & Currency Converter
CFA Franc BCEAO: The currency of The African Financial Community (East Africa)..See GoCurrency World Currencies Page & Currency Converter
CFO: The CFO is the senior manager responsible for overseeing the financial activities...
CFTC: Acronym for Commodity Futures Trading Commission. The federal agency created...
Chad Franc: The currency of Chad.See GoCurrency World Currencies Page & Currency Converter
chaebol: Korean term for a conglomerate of many firms clustered around one parent firm....
Chaikin Oscillator: A technical analysis tool that compares the day's closing price to the intraday...
Chairman of the Board: The highest-ranking officer in a corporation's board of directors. Presides...
channel: A channel is formed between parallel support and resistance lines. This pattern...
Chapter 10: The part of the U.S. Bankruptcy Code describing how a company can file for court...
Chapter 11: The part of the U.S. Bankruptcy Code describing how a company or debtor can...
Chapter 13: The part of the U.S. bankruptcy code allowing an individual to begin debt repayment...
Chapter 7: The part of the U.S. Bankruptcy Code describing the liquidation of a company after bankruptcy.
character loan: A loan based on the reputation and/or personal credit history of a borrower, rather than collateral.
charge: An expense or cost.
charge card: A card used for making payments. Similar to a credit card except that the balance...
charge off: Accounts receivable that will likely remain uncollectable and will be written...
charitable lead trust: An arrangement where property income or investment income is given to a charity...
charitable remainder trust: An arrangement in which property or money is donated to a charity, but the donor...
chart: A chart is a collection of historical price action that is represented visually...
chart of accounts: A list of all account names and numbers used in a firm's general ledger.
charter: A document, filed with a U.S. state by a corporation's founders, describing...
Chartered Financial Analyst: Abbreviated as CFA, refers to an individual who has passed tests in economics,...
Chartered Financial Consultant: Abbreviated as ChFC, refers to a financial planning designation for the insurance...
Chartered Investment Council: Abbreviated as CIC, refers to an individual who has passed tests in economics,...
Chartered Life Underwriter: Abbreviated as CLU, refers to a designation granted by the American College...
charting: The set of techniques used in technical analysis in which charts are used to...
chartist: A person who uses charts to aid in technical analysis.
chasing the market: The generally unwise practice of lagging behind the market by buying after a rise and/or selling after a fall.
chattel: Property, other than real estate, owned by an individual. Also known as personal property.
chattel mortgage: A lien on assets other than real estate backing a loan.
cheapest to deliver: A technique used to decide which debt instrument is most profitable to deliver against a futures contract.
check: A negotiable instrument drawn against deposited funds, to pay a specified amount...
checkbook: A booklet of blank checks which enable a bank account holder to draw money from his/her checking account deposits.
checkbook register: An informal record of all deposits to and withdrawals from a given checking...
checking account: A bank account in which checks (bank drafts) may be written against deposited...
CHF: The currency of Switzerland. ISO international currency code: CHF. The...
ChFC: Chartered Financial Consultant. A financial planning designation for the insurance...
Chicago Board of Trade: Abbreviated as CBOT. An exchange where grain, gold, and Treasury Bond futures and options are traded.
Chicago Board Options Exchange: Abbreviated as CBOE. An exchange where stock options, equity LEAPS, index options, and interest rate options are traded.
Chicago Mercantile Exchange: Abbreviated as CME. An exchange where financial futures, foreign currency futures,...
Chicago PMI - United States: Monthly measure of the business conditions based on surveys of purchasing managers...
Chief Executive Officer: Abbreviated as CEO. The executive who is responsible for a firm's operations,...
Chief Financial Officer: The CFO is the senior manager responsible for overseeing the financial activities...
Chief Operating Officer: Abbreviated as COO. The executive who is responsible for the day-to-day management of a firm.
child and dependent care credit: A tax credit available to an employed individual or an individual seeking employment...
Chilean Peso: The currency of Chile. ISO international currency code: CLP. Learn more about Chile and the Chilean Peso at GoCurrency.com
China Renminbi: The currency of China. ISO international currency code: CNY. Learn more...
Chinese Wall: A term used to describe procedures enforced within a securities firm that separate...
choice market: A market for a stock in which the bid price equals the ask price (in other words,...
Christmas Island Dollar: The currency of Christmas Island. Christmas Island now uses the Australian...
churn rate: The Churn rate is the percentage of subscribers for any service that do not...
churning: Excessive trading in a client's account by a broker seeking to maximize commissions...
CIC: Acronym for Chartered Investment Council. An individual who has passed tests...
CINS number: See CUSIP number.
circle: The term used to indicate which potential purchasers of an upcoming offering...
circle of competence: Warren Buffett's belief that an investor's best strategy is to select an area...
circuit breaker: Any of a number of procedures implemented by a major stock or commodity exchange...
circular: A legal document offering securities or mutual fund shares for sale, required...
civilian unemployment rate: The number of unemployed people divided by the total size of the labor force,...
claim: Notification to an insurance firm requesting payment of an amount due under...
Claimant Count - UK: The Claimant Count is the UK's most timely measure of unemployment. The report...
class: Type, as of a security. For options, puts and calls of the same security are considered different classes.
Class A Shares: Commonly, the most preferred tier of classified stock, offering more voting...
class action suit: A lawsuit brought by one party on behalf of a group of individuals all having the same grievance.
Class B Shares: The second tier of classified stock.
class of options: Option contracts of a single type (call or put) and style (American, European or capped) that cover the same underlying security.
classified loan: A loan that is criticized by bank examiners as being substandard after being approved.
classified stock: The separation of a firm's common stock into multiple classes, such as Class...
clean: Free of debt.
clear: The process by which a check or a bank draft is authorized and confirmed for the transfer of funds from one account to another.
clear title: A title that is free of liens and legal questions as to ownership of the property....
clearance: The collection of funds which a check is drawn on, and the payment of those funds to the bearer.
clearance time: The time required for a deposited check to be processed and credited to the depositor's account.
cleared date: The date on which the funds required for a given withdrawal are removed from the account.
clearing: The collection of funds which a check is drawn on, and the payment of those funds to the bearer.
clearing corporation: An organization which works with the exchanges to handle confirmation, delivery...
clearing firm: An organization which works with the exchanges to handle confirmation, delivery...
clearing member: A member of an exchange clearinghouse, responsible for executing client trades and other financial commitments of customers.
clearinghouse: An agency associated with an exchange, which settles trades and regulates delivery.
clearinghouse funds: Funds represented by a personal or business check that pass between Federal...
client: Customer, as of a full-service brokerage.
cliff vesting: A characteristic of some retirement plans which specifies that employer matching...
CLO: Acronym for Collaterized Loan Obligation. A debt security backed by a pool of commercial loans.
clone: A mutual fund designed to match the performance of an existing successful fund...
clone fund: A mutual fund designed to match the performance of an existing successful fund by imitating its strategy.
close: Closing a position refers to ending one's exposure to movements in the market...
close a position: Closing a position refers to ending one's exposure to movements in the market...
close corporation plan: An arrangement whereby surviving shareholders agree to buy a deceased shareholder's shares.
close market: A market with a narrow spread. Opposite of wide market.
close out: The elimination or reduction of a current long or short position by making an...
close to the money: An option contract for which the strike price is close to the current market price of the underlying security.
closed corporation: A corporation in which all of the voting stock is held by a few shareholders,...
closed fund: An open-end mutual fund that has temporarily or permanently suspended sale of...
closed out: The liquidating of a position because the account holder failed to meet a margin call or to cover a short sale.
closed-end credit: Credit which is to be repaid in full (along with any interest and finance charges)...
closed-end fund: A fund with a fixed number of shares outstanding, and one which does not redeem...
closed-end investment company: A fund with a fixed number of shares outstanding, and one which does not redeem...
closed-end mortgage: A mortgage for which repayment may not be made prior to maturity, and for which...
closely held: A corporation for which most of the voting stock is held by a small number of...
closing: An option contract for which the strike price is close to the current market price of the underlying security.
closing agent: An individual who represents a buyer and handles the closing and the legal transfer...
closing bell: The end of a trading session.
closing costs: Fees and expenses, over and above the price of the property, incurred by the...
closing date: The date on which the seller of a property delivers the deed and the buyer pays for it.
closing entry: The final bookkeeping entries made at the end of an accounting period to transfer...
closing price: The price of the last transaction for a given security at the end of a given trading session. Also known as close.
closing purchase: A transaction made in order to close out a position.
closing sale: A transaction in which the seller's intention is to reduce or eliminate a long position in a stock or an option series.
closing statement: A document prepared by a closing agent describing a real estate transaction,...
closing tick: The number of stocks which ended the trading session on an uptick minus the number which ended on a downtick.
closing transaction: The fulfillment of a contract that causes an existing investment to end. A sale...
cloud on title: Any encumbrance or claim that might invalidate a title to a property. Also known as title defect.
CLP: The currency of Chile. ISO international currency code: CLP. Learn more about Chile and the Chilean Peso at GoCurrency.com
CLU: Acronym for Chartered Life Underwriter. A designation granted by the American...
CME: Acronym for Chicago Mercantile Exchange. An exchange where financial futures,...
CMO: Acronym for Collateralized Mortgage Obligation. A mortgage-backed, investment-grade...
CNY: The currency of China. ISO international currency code: CNY. Learn more...
coattail investing: A trading strategy in which an investor tries to duplicate the performance of...
COBRA: A type of health insurance plan which allows an employee who leaves a firm to...
Cocos (Keeling) Island: The currency of Cocos (Keeling) Island. Cocos (Keeling) Island now...
COD: Acronym for Cash on Delivery. A transaction in which goods are paid for in full...
CODA: Acronym for Cash or Deferred Arrangement. A qualified plan, generally part of...
code of procedure: The NASD guide for handling and adjudicating complaints filed against NASD members under its Rules of Fair Practice.
codicil: A legal amendment to a will.
coefficient of determination: A measure of the correlation between the dependent and independent variables in a regression analysis.
COGS: Acronym for Cost Of Goods Sold. On an income statement, the cost of purchasing...
Coincident Index - Japan: Measures the current economic activity based on a composite of indicators that...
coincident indicator: The business cycle of economic conditions have four phases: peak, contraction,...
coinsurance: An insurance policy provision under which the insurer and the insured share...
COLA: Acronym for Cost of Living Adjustment. An annual adjustment in wages to offset...
cold calling: The ethically questionable practice by full-service brokers of making unsolicited...
collapse: A sudden, dramatic drop in economic activity, market prices, or a firm's condition.
collar: 1 - A strategy to reduce a position's exposure to market fluctuations, while...
collateral: Assets pledged by a borrower to secure a loan or other credit, and subject to...
collateral note: A promissory note secured by the pledge of specific assets.
collateral surety: Commercial paper which has been pledged as collateral for a loan.
collateral trust certificate: A corporate bond backed by other securities, generally a parent corporation borrowing against securities of its subsidiaries.
Collateralized Bond Obligation: Abbreviated as CBO. An investment-grade bond backed by a large, diversified...
Collateralized Mortgage Obligation: Abbreviated as CMO. A mortgage-backed, investment-grade bond that separates...
Collaterized Loan Obligation: Abbreviated as CLO. A debt security backed by a pool of commercial loans.
collectible: An item which has value due to its rarity and desirability; examples include antiques, coins, and art. Often illiquid.
collection: The conversion of accounts receivable into cash.
collection agency: A firm whose purpose is to collect on delinquent accounts.
collection float: The number of shares of a security that are outstanding and available for trading by the public. Also known as float.
collection ratio: The average time period for which receivables are outstanding. Equal to accounts...
collective bargaining: A method of negotiation in which employees use authorized union representatives to assist them.
collective trust: An investment fund formed from the pooling of investments by institutional investors.
collectively bargained plan: A retirement plan initiated via collective bargaining between an employer and a union or other employee representatives.
collision coverage: A type of insurance designed to pay for the repair or replacement of the policy...
collusion: A secret activity undertaken by two or more people for the purpose of fraud.
Colombian Peso: The currency of Colombia. ISO international currency code: COP. Learn...
comaker: An individual other than the borrower who signs a promissory note and thereby...
combination: An option strategy involving the purchase or sale of both a put and a call on...
combination annuity: An annuity which combines features of a fixed annuity and a variable annuity. Also known as hybrid annuity.
combination bond: A bond which is backed both by revenue from the project for which the borrowing...
combination plans: An option strategy involving the purchase or sale of both a put and a call on...
combined financial statement: A financial statement covering multiple related or affiliated firms.
COMEX: Acronym for Commodity Exchange. The leading U.S. exchange for metals futures and options trading.
comfort letter: An accounting firm's statement provided to a firm preparing for a public offering,...
command economy: An economy where supply and price are regulated by the government rather than...
Comment Letter: A letter written by independent accountants to an underwriter as part of that underwriter's due diligence.
commerce: The buying and selling of products and services between firms, generally in different states or countries.
commercial: A bank loan to a firm. Also known as commercial lending or business credit.
commercial bank: An institution which accepts deposits, makes business loans, and offers related...
commercial credit: commercial credit
commercial finance: A secured business loan in which the borrower pledges as collateral any assets...
commercial hedger: A corporation which takes a position in a commodities market for business reasons.
commercial lending: A bank loan to a firm. Also known as commercial credit or business credit.
commercial loan: A short-term renewable loan used to finance a firm's immediate working capital needs.
commercial mortgage: A mortgage secured by real estate and in which the real estate is used for business purposes.
commercial paper: An unsecured obligation issued by a corporation or bank to finance its short-term...
commercial property: Real estate zoned for business or industrial use.
commercial year: A year treated as having 12 months of 30 days each.
commingled fund: A Commingled Fund is a kind of mutual fund or common trust fund which consists...
commingling: The mixing of customer account securities with those in a bank or brokerage's own accounts; generally illegal.
commission: A fee charged by a broker or agent for his/her service in facilitating a transaction,...
commission house: A firm which purchases and sells only for customer accounts, not for his/her own account.
commitment: An agreement to perform a particular activity at a certain time in the future under certain circumstances.
commitment fee: A charge by a lender for holding credit available for a borrower.
commitment letter: A formal offer by a lender making explicit the terms under which it agrees to...
Committee on Uniform Securities Identification Procedures: Abbreviated as CUSIP. The committee which supplies a unique nine-character identification,...
Commodities: Plural of commodity.
Commodities Exchange Act: A Federal act which regulates the futures and options industries, requiring...
Commodities Exchange Center: Abbreviated as CEC. In New York, the location of five futures exchanges: the...
commodity: A basic good, such as food, grains, and metals, which is interchangeable with...
Commodity Channel Index: CCI is an oscillator that provides an indication of overbought or oversold markets.Overview  •...
Commodity Exchange: Abbreviated as COMEX. The leading U.S. exchange for metals futures and options trading.
commodity futures: Contracts to purchase or sell a commodity at a specific price and on a specific delivery date.
Commodity Futures Trading Commission: Contracts to purchase or sell a commodity at a specific price and on a specific delivery date
commodity paper: Loans or advances secured by commodities, warehouse receipts or bills of lading.
commodity pool: An enterprise in which several individuals contribute funds in order to trade...
Commodity Trading Advisor (CTA): An individual or firm, registered with the Commodity Futures Trading Commission,...
commodity-backed bond: A bond which is tied to the price of a commodity, often used as a hedge against inflation.
commodity-product spread: The simultaneous purchase of a commodity and the sale of the products derived from that commodity, or vice-versa.
common shares: Securities representing equity ownership in a corporation, providing voting...
common stock: Securities representing equity ownership in a corporation, providing voting...
common stock equivalent: A preferred stock or bond which is convertible into common stock, particularly...
common stock ratio: A firm's common stock divided by its total capitalization, expressed as a percentage.
common-law voting: A rarely used voting system in which each shareholder gets a single vote, regardless of number of shares held.
common-size statement: A financial statement displaying all items as a percentage of a common base...
Community Development Corporation: A corporation established to develop economic programs and provide financial support for a community.
community property: Any property that a married couple has acquired during their marriage. In certain...
Comorian Franc: The official currency of Comoros. Learn more about the Comorian Franc and Comoros at GoCurrency.com
companion bonds: Unique classes of bonds that help protect against the risk of prepayment associated...
company: Any entity engaging in business, such as a proprietorship, partnership, or corporation.
Company Operating Profits - Australia: The profits of Australian companies after all expenses have been accounted for....
comparative advantage: The name for the ability of one business entity to engage in production at a...
comparative statements: Financial statement covering several different time periods. Comparative Statements...
comparison: Correspondence between two brokers outlining the terms of a transaction prior to settlement. Also known as comparison ticket.
compensating balance: The amount of money a bank requires a customer to maintain in a non-interest...
compensation: Generally, something received in return for something else.
compensation package: The total monetary value an employee receives.
competition: An environment of marketplace rivalry. Goods or services are offered and consumed...
competitive: A situation in which no buyer(s) or seller(s) have the power to affect or manipulate market prices.
competitive advantage: Condition which enables a firm to operate in a more efficient or otherwise higher-quality...
competitive bid: An offering procedure in which underwriters submit sealed bids to the issuer...
competitive intelligence: Data gathered and used by a firm for the purpose of learning about its competition in a given market.
complex capital structure: The separation of a firm's common stock into multiple classes, such as Class...
compliance: The state of being in accordance with the relevant Federal or regional authorities...
compliance department: The department within a brokerage or stock exchange that oversees trading and...
complimentary: Having the characteristic of being free.
comply: Follow the terms of an agreement.
composite: An index or average which is a combination of multiple other indexes or averages....
composite tape: A ticker tape which prints transactions on national exchanges, regional exchanges, and over-the-counter.
composition: The breakdown of a portfolio or mutual fund by asset class or investment type.
Compound Annual Growth Rate: Acronym for CAGR. The year over year growth rate applied to an investment or...
compound annual return: The return an investment would require in order to achieve a set, cumulative...
compound arbitrage: Arbitrage which utilizes four or more markets.
compound growth rate: A measure of how much something grew on average, per year, over a multiple-year...
compound interest: Interest calculated on principal and accumulated interest. Simple interest is...
compounding: The process where interest is calculated upon previously earned interest and...
comprehensive coverage: Insurance designed to pay for the repair or replacement of the policy owner's...
comprehensive insurance: Term used for a variety of insurance policies providing broad protection.
comps: In retail, sales at stores which have been open for more than one year. This...
comptroller: A firm's chief accountant. Also known as controller.
compulsory: Having the characteristic of being mandatory.
con game: A scam by a con artist. Also known as confidence game.
concession: A syndicate's per-share compensation.
condemnation: The legal seizure of private property by government authorities for public...
condominium: A form of property ownership in which each owner holds title to his/her individual...
condor: An options strategy similar to a butterfly spread. The only difference is that...
conduit borrower: An entity that assumes debt in order to provide a securities loan to another...
conduit IRA: A separate IRA established pursuant to a rollover from a qualified retirement...
conduit theory: The idea that qualifying investment firms and REITs should be allowed to avoid...
Conference Board Leading Index - Australia: A composite index used to forecast short to mid-term growth in the Australian...
conference call: A phone call for analysts, institutional investors and individual investors...
Confidence and Sentiment Indicators-Euro-zone: Euro-zone Confidence and Sentiment Indicators - Euro-zone Based on the results...
Confidence and Sentiment Reports by Country: Overview - Confidence & sentiment reports give insight into business...
confidence game: A scam by a con artist. Also known as confidence game. Also known as con game.
confidence indicator: A gauge on the mood of consumers or businesses. Typically based upon surveys,...
confidence level: Statistical gauge of the number of times out of 100 that test results can be...
confidentiality agreement: An agreement designed to protect trade secrets and expertise from being misused by those who have learned of them.
confirmation: The written statement acknowledging a securities transaction. More generally,...
conformed copy: A document displaying signatures which are printed or typed, rather than signed by hand
conforming loan: A loan which meets the standards of the lender. Opposite of non-conforming loan.
congestion: A technical analysis term for a series of trading sessions in which little or no price movement occurs.
conglomerate: A corporation consisting of several firms in different businesses. Such a structure...
Congo Franc: The currency of Congo.See GoCurrency World Currencies Page & Currency Converter
consensus forecast: The forecasts for a given firm, taken in aggregate, for all analysts who follow that firm.
consensus recommendation: A quantitative measure of the average analyst recommendation for a given stock....
conservative: To be cautious or risk averse in an investment strategy. Preservation of capital...
conservative growth: An investment strategy whose intention is long-term capital appreciation with...
conservator: A guardian or protector who is appointed by a court to manage the affairs of...
consideration: Something of value, such as money or personal services, given by one party to...
consignment: An arrangement under which items are delivered by a consignor to a consignee...
consol: This is a bond that never reaches maturity but instead pays a steady stream...
consolidated bond: A bond issued to replace multiple earlier bonds. It is issued in order to simplify...
consolidated financial statement: A financial statement which is a composite of a holding company and its subsidiaries....
consolidated tape: A ticker tape including quotes for both the NYSE and AMEX stocks. The consolidated...
consolidated tax return: Aggregate statement of annual revenue for the companies in an affiliated group....
consolidation: The combining of separate companies, functional areas, or product lines. This...
consolidation loan: The process of combining a number of loans and other liabilities into one loan....
consortium: A group of individuals or companies formed that undertake an enterprise or activity...
constant dollar GDP: GDP measured in constant real dollars in order to eliminate the effects of inflation....
constant dollar plan: An investment strategy designed to reduce volatility. This strategy involves...
constant dollars: The expression of units of currency in terms of a designated base year value....
constant ratio plan: An investment strategy in which the portfolio's composition by asset class is...
Construction Investment - Germany - Euro-zone: Measures total expenditure on buildings and structures in Germany , is a major...
Construction Orders - Japan: This report provides information on how many orders were received by construction...
Construction PMI - UK: A monthly gauge of construction sector activity. The CIPS PMI asks executives...
Construction Production Index - Euro-zone: A measure of construction output and activity in the Euro Zone. Increased construction...
Construction Spending - United States: Construction spending gauges the level of construction activity in the United...
Construction Starts - Japan: This report provides information on how many new buildings are to be constructed...
Construction Starts - Japan: This report provides information on how many new buildings are to be constructed...
Construction Work Done - Australia: Measures the value of all construction completed in Australia during the previous...
constructive receipt: According to the IRS, the date when a taxpayer received income. This is interpreted...
consumer: User of goods. Goods consist of both products and services. This term refers...
consumer bank: Institution that provides a variety of services including accepting deposits,...
Consumer Confidence - French - Euro Zone: Consumer confidence is a measure of popular sentiment concerning the French...
Consumer Confidence - Japan: Consumer confidence is a measure of popular sentiment concerning the Japanese...
Consumer Confidence - United States: Assessment of consumer sentiment regarding business conditions, employment and...
consumer credit: Debt incurred for the purpose of buying a good. This good may consist of either...
Consumer Credit - UK: Measures the outstanding debt held by consumers. Consumer Credit levels coincide...
consumer debenture: An investment note issued by a financial institution and sold directly to the...
consumer debt: Debt that has been incurred primarily for the purchase of consumer goods. Interest payments are not deductible on these debts.
consumer durables: Long-term consumer goods. Long-term is defined as three or more years. Examples...
consumer goods: Goods employed for personal use. This may refer to either products or services....
consumer interest: Interest incurred on personal loans and consumer credit. This type of interest...
Consumer Price Index France - Euro-zone: Assesses changes in the cost of living by measuring changes in the prices of...
Consumer Price Index (CPI): The Consumer Price Index is one of the leading economic gauges to measure the...
Consumer Price Index (CPI) - Australia: The headline inflation gauge for Australia . Simply put, inflation reflects...
Consumer Price Index (CPI) - Canada: The key gauge for inflation in Canada . Simply put, inflation reflects a decline...
Consumer Price Index (CPI) - Euro-zone: CPI is the key gauge for inflation in the Euro Zone. Inflation, simply put,...
Consumer Price Index (CPI) - German Six States - Euro-zone: The weighted average of prices for a predetermined basket of consumer goods...
Consumer Price Index (CPI) - Switzerland: It is the key gauge for inflation in Switzerland . Simply put, inflation reflects...
Consumer Price Index (CPI) - UK: Measures the change in prices for retail goods and services, including food...
Consumer Price Index (CPI)-Japan: National Consumer Price Index (CPI) is the key gauge for inflation in Japan....
Consumer Price Index - Germany - Euro-zone: Assesses changes in the cost of living by measuring changes in the prices of...
Consumer Price Index - United States: CPI assesses changes in the cost of living by measuring changes consumer pay...
consumer reporting agency: An agency that collects and sells information about the creditworthiness of...
consumer stock: The portion of a firm, as represented by an amount of its stock, that produces...
consumption: The use of a good until it has been exhausted. The good may consist of a product...
Consumption Spending - Canada: The portion of GDP that is solely contributed by the consumption of consumer...
contagion: When an economic crisis in one country's bond or equity markets spreads to other...
contango: A condition in which distant delivery prices for futures exceed spot prices....
contingency: An event that may or may not occur. More specifically, this is a possible but...
contingency fund: A fund that guards against potential events before they occur. Companies may...
contingency order: An order that is executed only if one or more specified conditions are met....
contingent: See 'contingency.'
contingent beneficiary: Individual designated as the receiver of the benefits of an insurance policy...
contingent deferred sales charge: Abbreviated 'CDSC.' A back-end load charge applied exclusively in the event...
contingent liability: A liability for which payment may or may not come to pass. This is generally...
contingent order: An order which is to be executed only if another order is executed first. An...
contingent remainder: Future property ownership that depends upon the fulfillment of a set of specified...
Continuation Candlestick Patterns: Continuation Patterns Bearish Continuation Patterns Bullish...
continuous compounding: The process of earning interest constantly. Essentially this means earning...
continuous inventory: Book inventory that is continuously in agreement with stock on hand during specified...
continuous market: A market with activity sufficient to assure a normal-sized trade can be made...
contra account: The broker facilitating the opposite side of a transaction. For example, this...
contra broker: The broker on the buy side of an order to sell or on the sell side of an order to buy.
Contra Market: In opposition to the direction of the market as a whole.A position is contra...
contract: A binding agreement between two or more parties for performing, or refraining...
contract broker: One member of a stock exchange that facilitates transactions for others. Facilitating...
contract for deed: A contract which specifies a certain number of monthly payments before a property...
contract grades: The standard grades of commodities or instruments as determined by the government...
contract market: A board of trade facilitating transactions involving futures or options contracts....
contract month: A futures contract expires during this month. Delivery may also take place...
contract sale: A contract according to whose terms, a property title is transferred only after...
contract size: The quantity of an underlying security that the holder of an option has the...
contraction: A period of general economic decline. Contractions are a part of the business...
contractor: A person or business which provides goods or services to another entity under...
contramarket: In opposition to the direction of the market as a whole.A position is contra...
contrarian: An investor whose actions conflict with conventional wisdom. Examples include...
contributed capital: Capital received from investors for stock, equal to capital stock plus contributed...
contribution: Payment made to a retirement plan or an annuity. Another definition is the...
contribution margin: Contribution margin is the calculation that gives the profitability of an individual...
control stock: The shares held by an entity that compose a majority of the outstanding shares...
controlled company: A company with the majority of its voting shares held by another company.
controller: A firm's chief accountant. Also known as controller. Also known as comptroller.
controlling interest: The ownership of more than 50% of a firm's voting stock; or a significant fraction,...
Convenience Store Sales - Japan: The value of items sold at small convenience stores, based on a monthly industry...
convention statement: An annual statement that must be filed by life insurance firms in each state...
conventional mortgage: A conventional, or Fixed-Rate Mortgage (FRM) is a loan where the interest rate...
convergence: The coming together of futures prices and cash market prices on the final trading...
conversion: The process of converting a convertible security, such as a bond or preferred stock, into common stock.
conversion arbitrage: A risk-free transaction in which an investor purchases a put and writes a call...
conversion option: A feature on some bonds and preferred stock issues allowing the holder to convert the shares into common stock.
conversion parity price: The price that an investor effectively pays for common stock by purchasing a...
conversion premium: The dollar or percentage amount by which the price of the convertible security...
conversion price: The price at which a given convertible security can be converted to common stock....
conversion privilege: A type of insurance policy in which the insurer is required to renew the policy...
conversion ratio: The number of shares of common stock that could be obtained by converting each share of a convertible security.
conversion value: The value of a convertible security if it is converted immediately.
convertible: A security witht the characteristic of being exchanged for a specified amount...
convertible arbitrage: A strategy involving the purchase of convertible securities and the subsequent...
Convertible ARM: An adjustable rate mortgage that can be converted to a fixed-rate mortgage under certain circumstances.
convertible bond: A corporate bond, generally a junior debenture, that can be exchanged, at the...
convertible currency: A type of currency that can be quickly and easily bought and sold for other currencies.
convertible debenture: A type of debenture that can be converted into stock at the option of the holder...
convertible debt: Security which can be exchanged for a specified amount of another, related security,...
Convertible Eurobond: A Eurobond which can be converted into another asset, often through the exercise of attached warrants.
convertible hedge: An arbitrage strategy which involves buying a convertible security while simultaneously...
convertible preferred stock: Preferred stock that can be converted into a specified amount of common stock at the holder's option.
convertible security: Bond, preferred stock, or debenture that is exchangeable at the option of the holder for common stock of the issuing corporation.
convertible term insurance: An insurance policy in which the insurer is required to renew the policy for...
convex: Bowed, as in the shape of a curve. Generally refers to the price/yield relationship for interest-bearing bonds.
convexity: A volatility measure for bonds used in conjunction with modified duration in...
conveyance: The transferring of a property title from one individual to another.
COO: Acronym for Chief Operating Officer. The executive who is responsible for the day-to-day management of a firm.
cookie jar accounting: A sometimes questionable corporate accounting practice of taking reserves against...
cooking the books: Corporate slang for adjusting accounting records to portray a fraudulent or...
cooling-off period: The period after a firm's prospectus has been filed with the SEC and before...
cooperative: A type of common property ownership, such as when the residents of a multi-unit...
COP: The currency of Colombia. ISO international currency code: COP. Learn...
copay: The amount an insured person is expected to pay for a medical expense at the time of the visit.
copyright: The exclusive right to make and dispose of copies of a literary, musical, or artistic work.
core capital: The capital a thrift is required to have in order to comply with the Federal Home Loan Bank's rules.
core holding: A substantial long-term holding in a portfolio or fund. A core holding is bought...
cornering the market: The illegal practice of attempting to purchase a sufficient amount of a commodity or security to manipulate its price.
corporate: Pertaining to corporations. Corporations are the most common form of business...
corporate action: Any event initiated by a corporation which impacts its shareholders. For some...
corporate agent: A trust firm which acts as an agent for corporations and government entities.
corporate bond: A type of bond issued by a corporation. Corporate bonds often pay higher rates...
corporate bond equivalent: The semi-annual rate of return that would provide the same overall return as...
corporate charter: A document, filed with a U.S. state by a corporation's founders, describing...
corporate fiduciary: A trust institution serving in a fiduciary capacity, such as executor, administrator, trustee or guardian.
Corporate Financing Committee: The Corporate Financing Committee is a standing committee within the National...