Fairway Bond
What is 'Fairway Bond' A type of bond that accrues interest if the embedded index or interest-rate option underlying the bond remains within a specified range. The fairway in golf is like the index or interest rate range. The outlook is positive if the ball lands on the fairway; if a ball lands in the rough, the...
Fast Tape
What is 'Fast Tape' A type of futures market that occurs when a single traded price is unavailable because of the rapid and large number of transactions occurring in the pit or ring. Explaining 'Fast Tape' Rather than quoting a specific price, a fast tape will give a range of prices marked by the...
Fairness Opinion
DefinitionA fairness opinion is a professional evaluation by an investment bank or other third party as to whether the terms of a merger, acquisition, buyback, spin-off, or privatization are fair. It is rendered for a fee. They are typically issued when a public company is being sold, merged or divested of all or a substantial division of their business....
Federal Credit Union (FCU)
What is 'Federal Credit Union - FCU' A credit union chartered and supervised by the National Credit Union Association (NCUA), a federal government agency that functions much like the FDIC. Federal credit unions operate like retail banks with one major exception: every credit union member is also a partial owner of the institution. Credit unions operating under...
Financial Security
The term security in common usage denotes safety; however in financial parlance the term is taken to refer to a tradable financial asset. In fact this term denotes any kind of financial instrument currently available in the world. Securities are further classified as either: Equity securities An equity security may be defined as a share of equity interest in an entity...
Fed Balance Sheet
What is 'Fed Balance Sheet' A breakdown of the assets and liabilities held by the Federal Reserve. This report essentially outlines the factors that affect both the supply and the absorption of Federal Reserve funds. The Fed balance sheet report reveals the means the Fed uses to inject cash into the economy and is formally known as...
Fair And Accurate Credit Transactions Act (FACTA)
What is 'Fair And Accurate Credit Transactions Act - FACTA' A U.S. resolution passed in 2003 that is aimed at enhancing protection measures for identity theft by creating standards for the handling of credit card numbers. This act allows individuals free access to their own credit reports and has created a nationwide alerts system. This...
Family Of Funds
What is 'Family Of Funds' A group of mutual funds offered by one investment or fund company. Generally, the constituent funds cover a wide range of fund categories and investment objectives. Also referred to as a "mutual fund family" or simply a "fund family". Explaining 'Family Of Funds' Most fund companies offer a...
Four Percent Rule
The four percent rule, in the simplest of terms, and helps in determining the amount of funds that a retired person should withdraw from their retirement account every year. The rule helps a retiree to have a constant stream of funds, by also allowing an account number that will permit funds to be withdrawn for a couple of years....
Fear And Greed Index
What is 'Fear And Greed Index' An index developed and used by CNNMoney to measure the primary emotions that drive investors: fear and greed. The Fear and Greed Index is based on seven indicators: 1. Stock Price Momentum - as measured by the S&P 500 versus its 125-day moving average 2. Stock Price Strength -...