A company that continues to operate while under the Chapter 11 bankruptcy process. |||Chapter 11 gives the debtor a fresh start, subject to the debtor's fulfillment of its obligations under its plan of reorganization.
The process of converting a foreign currency into the currency of one's own country. The amount that the investor will receive depends on the exchange rate between the two currencies being traded at the settlement time. |||For example, if you are American, converting British pounds back to U.S. dollars is an example of repatriation. If the pound were held by a British financial institution, the dollars would be called eurodollars, therefore, when converting those eurodollars back to dollars, the investor would be exposed to foreign exchange risk.
When the buyer of a call option exercises the option. In options trading, the buyer of a call option can exercise his or her right to purchase or sell the underlying asset (such as a stock) at the exercise price or strike price. Buyers of options can either exercise their right to buy the underlying security or they can let the option expire wothless. A call over can take place throughout the life of the option until the exercise cut-off time that falls on the last trading day prior to the option contract's expiration.
A check used by a designated collection bank for depositing the daily receipts of a corporation from multiple locations. Depository transfer checks are one method of ensuring better cash management for companies that collect cash at multiple locations. A third-party information service first transfers data on the day's receipts from the facility manager at each location to a concentration bank. based on that data, the concentration bank then creates DTCs for each deposit location and enters them into the check-processing system.A DTC is also known as a "depository transfer draft." |||A DTC looks like a personal check, except that "Depository Transfer Check" is written across the top center of the face of the check, and the DTC does not bear a signature.ACH has gradually dislodged DTC-based systems because it is faster, cheaper and more efficient. Firms that are not part of an ACH network must still use DTCs.
A commission paid to an intermediary or the facilitator of a transaction. The finder's fee is rewarded because the intermediary discovered the deal and brought it forth to interested parties. Depending on the circumstance, the finder's fee can be paid by either the transaction's buyer or seller.Also known as "referral income" or "referral fee". Often, the finder's fee may simply be a gift from one party to another, as no legal obligation to pay a commission exists. For example, let's examine a real estate transaction. Let's say that a friend is selling a property and you discover a potential buyer. If the transaction goes through, your friend may give you a small percentage of the sale, as a reward for finding the purchaser.
In the context of stock mutual fund investing, refers to using one of three possible approaches -- investing in value stocks, growth stocks, or a blend of value and growth stocks - to create a fund portfolio. Value stocks are perceived to be less risky than growth stocks, which makes the blend investing style a compromise of the two. Investment style, along with company size, is the basic determinant of a fund portfolio's asset allocation and risk-return parameters.Fund investors should look for a high degree of consistency in a fund's investment style. Frequent changes could be an indication of the fund's investment manager chasing performance, which surely involves increasing risk.
The ask or offer price of a foreign exchange rate. A quote for foreign exchange appears as two prices (known as the bid/ask spread); for example, 1.2591 - 1.3592. The right hand side, in this case 1.3592, represents the available offer price for the base currency or the bid rate for the quoted currency. |||The right hand side (RHS) is, literally, the right-hand side of the foreign exchange price quote. This is the price that the market is willing to sell a currency pair and the price that traders buy in. The size of the bid/ask spread is an indicator of the current liquidity in a market. A tight spread means there is good liquidity and helps cut down on losses. Forex brokers typically make money off of the bid/ask spread; the difference between the bid and the ask price is the profit on the transaction.
The specific mixture of long–term debt and equity that a company uses to finance its operations. This financial structure is a mixture that directly affects the risk and value of the business. The main concern for the financial manager of the company is deciding how much money should be borrowed and the best mixture of debt and equity to obtain. The financial manager also has to find the least expensive sources of funds for the company to use. Also referred to as capital structure. Financial structure is divided into the amount of the company's cash flow that goes to creditors and the amount that goes to shareholders. Each business will have a different mixture depending on its needs and expenses. Therefore, each company will have its own particular debt-equity ratio. For example, a company could issue bonds and use the proceeds to buy stock or it could issue stock and use the proceeds to pay its debt.