Tag: backed

DefinitionFiat money is a currency without intrinsic value that has been established as money, often by government regulation. Fiat money does not have use...

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...

What is a 'General Obligation Bond - GO' A general obligation bond (GO) is a municipal bond backed by the credit and...

What are generic securities and why are they important Generic securities are financial instruments that are not tied to a specific company or asset. Instead,...

What is 'Dealer-Median Prepayment Speed' The median value of all Wall Street securities dealers' prepayment speed estimates for the underlying mortgages used...

What is a dangerous asset and why are they so risky A dangerous asset is an investment that carries a high degree of risk. While...

What is an 'Underlying Security' An underlying security is the security on which a derivative derives its value. For example, a call...

What is 'Underwater' An option that would be worthless if it expired today. An underwater option may be either a call or...

DefinitionA mortgage loan or, simply, mortgage is used either by purchasers of real property to raise funds to buy real estate, or alternatively by...

Definition In finance, a "hard asset" may be real estate, commodities, or energy. For example, gold and silver are regarded as "hard" assets. Other types...