Tag: premium

How to Calculate the Real Rate of Return on Your Investment The real rate of return helps investors determine which investment offers a higher return...

What is 'Back Fee' A payment made to the writer of a compound option in the case that the call option is...

What is 'Canada Premium Bond - CPB' A debt instrument issued by the Bank of Canada that offers a higher interest rate...

What is 'Cancellation Provision Clause' It is a provision in an insurance policy that permits an insurer or an insurance company to...

What is 'Cancelable Insurance' This is insurance that may be canceled, at any time, by the insured party or by the insurance...

What is 'Call Premium' Call premium is the dollar amount over the par value of a callable fixed-income debt security that is...

The CAPM is a model that helps in determining the price of securities keeping in view the risk an investor takes, and the return...

What is 'Call Ratio Backspread' A very bullish investment strategy that combines options to create a spread with limited loss potential and...

What is 'Callable Security' A security with an embedded call provision that allows the issuer to repurchase or redeem the security by...

What is a Qualified Mortgage Insurance Premium A qualified mortgage insurance premium (MIP) is a type of mortgage insurance that homebuyers are required to purchase...