Waiver Of Subrogation
What is a 'Waiver Of Subrogation' A waiver of subrogation is a contractual provision where one party agrees to limit the rights of its own insurance carrier and usually pays an additional premium for a special policy endorsement allowing for coverage under such a situation. Many construction contracts and leases include waiver of subrogation clauses. Such provisions...
Warning Bulletin
What is 'Warning Bulletin' A listing compiled on a weekly basis of credit cards that have been canceled, are past due or have been reported stolen credit card. Explaining 'Warning Bulletin' The warning bulletin was created by the two biggest credit card vendors, MasterCard and Visa. Further Reading How to evaluate an...
Warehouse Lending
What is 'Warehouse Lending' Warehouse lending is a line of credit given to a loan originator to pay for a mortgage the borrower used to purchase property. The life of the loan generally extends from its origination to the time it is sold into the secondary market, either directly or through securitization. The repayment of warehouse lines of credit is...
Walk-Away Lease
What is 'Walk-Away Lease' A common type of car lease in which the lessee returns the car at the end of the lease period, ending the lease agreement. The lessee bears very little risk under this type of lease agreement because the total costs of ownership (minus maintenance and repair costs) are known in advance. In other...
Warranty
What is a warranty and what does it cover A warranty is a guarantee or promise made by a seller about the quality of their product. This can be either explicit or implied. For example, when you buy a new car, the dealer may offer you an extended warranty that covers repair and replacement costs for a certain period of...
Waiver Of Notice
When to Use a Waiver of Notice When does a meeting require formal notice? Normally, anyone with an interest must be formally notified, either in writing or by courier. However, in cases where a meeting is necessary at the last minute, a waiver of notice allows you to waive the formal notification requirement and proceed with the meeting. Here are...
Wallpaper
What is 'Wallpaper' The name given to stocks, bonds and other securities that have become worthless. Explaining 'Wallpaper' The securities may have lost all monetary value because of bankruptcy or for other reasons. This term implies that because the certificates are worthless, may as well wallpaper your house with them. Former dotcom companies that...
Wealth Management
DefinitionWealth management is an investment-advisory discipline which incorporates financial planning, investment portfolio management and a number of aggregated financial services. High-net-worth individuals, small-business owners and families who desire the assistance of a credentialed financial advisory specialist call upon wealth managers to coordinate retail banking, estate planning, legal resources, tax professionals and investment management. Wealth managers can have backgrounds as...
Wealth Added Index (WAI)
What is 'Wealth Added Index - WAI' A metric designed by Stern Stewart & Co consulting firm that attempts to measure wealth created (or destroyed) for shareholders by a company. The WAI takes into account more variables than just the profits or share growth of a company. According to this theory, wealth is created only if the...
What is Working Capital?
DefinitionWorking capital is a financial metric which represents operating liquidity available to a business, organisation or other entity, including governmental entities. Along with working capital is considered a part of operating capital. Gross working capital is equal to current assets. Working capital is calculated as current assets minus current liabilities. If current assets are less than current liabilities, an...