on 2023/07/21 by alex1, []

In relation to the financial market, a statistical measure of the risk of a particular individual investment or portfolio. It is roughly calculated from the deviation of the individual respective returns from the average return – calculated according to various approaches – within a given period. High variance means high risk (a statistical tool measuring […]

on 2023/07/21 by alex1, []

In the USA, a company whose business risk is ultimately borne by the taxpayer and which therefore also has access to favorable loans (quasi-governmental organization that is privately owned but was created by the government and retains certain privileges not afforded to private entities). – This group also includes, for example, the U.S. mortgage bank […]

on 2023/07/21 by alex1, []

In Germany, insurance companies must report irregular practices by their insurance agents and office staff to the Federal Financial Supervisory Authority. The list of offenses to be reported includes theft, fraud, embezzlement, misappropriation of collection funds, computer manipulation – such as, in particular, the detour of money to the insurance intermediary’s accounts – and all […]

on 2023/07/21 by alex1, []

Generally, to provide collateral for an unsecured debt; to secure a loan (hence: the physical or financial asset to which a creditor has a claim). – The underlying asset to which an option or future relates (reference value: the security or commodity that is delivered when the option contract is exercised, also called an underlier). […]

on 2023/07/21 by alex1, []

Often said by financial journalists in reference to a very large amount (an exceedingly large quantity of money: scads); the prefix „un-“ is used here not for negation but for intensification-as in unthunderstorm, unquantity, uncost, unmass, shallowness. – See million grave, rat money, ungoods. Attention: The financial encyclopedia is protected by copyright and may only […]

on 2023/07/21 by alex1, []

Unless otherwise defined, the sum of market capitalization and interest-bearing debt less cash and cash equivalents (the market value of the shareholders‘ equity). [share market capitalization if a company is quoted] plus the market value of the net financial debt). – In the case of unlisted companies, the value of equity or the market value […]

on 2023/07/21 by alex1, []

In statistics, the ratio of vacancies to the labor force. – See unemployment rate, two-pillar principle. – Cf. ECB Monthly Bulletin of February 2002, pp. 33 f. (information content of the vacancy rate for monetary policy), ECB Monthly Bulletin of October 2010, pp. 52 f. (time series for the vacancy rate in the euro area). […]

on 2023/07/21 by alex1, []

The dependence of the price movement of an option on the volatility of the underlying (the rate of change in the derivative of the theoretical value of the option vis-à-vis implied volatility. All he factors being equal, the closer an option is to being in the money, the greater is the impact of an increase […]

on 2023/07/21 by alex1, []

In general, the custom in trade, the trade practice, trade usage – at a certain trading place or – in a certain trade sector. – Usages in the financial market must always be observed where and when there are no corresponding clear legal provisions; as well as where exceptions – such as the use of […]

on 2023/07/21 by alex1, []

The production potential of an economy is partially idle. Whether monetary policy can change this situation is difficult to answer in general terms, especially since the causes of underutilization can be very different. – See potential labor force, capacity utilization rate, female employment rate, infrastructure, capacity utilization, Phillips theorem, potential growth, output gap, Say’s law, […]