Tag: risk

What is 'Calamity Call' A call feature of a Collateralized Mortgage Obligation (CMO) designed primarily to reduce the issuer's reinvestment risk. If...

What is 'Call Risk' The risk, faced by a holder of a callable bond, that a bond issuer will take advantage of...

DefinitionA party wall is a dividing partition between two adjoining buildings that is shared by the occupants of each residence or business. Typically, the...

DefinitionBy definition, a Ponzi scheme is a fraudulent investment that involves the payment of purported returns to existing investors from funds contributed by new...

DefinitionA pension fund, also known as a superannuation fund in some countries, is any plan, fund, or scheme which provides retirement income. Pension Fund...

What is 'Passive Activity' Passive activity is activity in which the taxpayer did not materially participate in during the tax year. Internal...

DefinitionPenny stocks, also known as cent stocks in some countries, are common shares of small public companies that trade at low prices per share....

DefinitionA parallel loan is two loans taken out by two pairs of companies in different countries from local lenders with the aim of swapping...

DefinitionPanic selling is a wide-scale selling of an investment which causes a sharp decline in prices. Specifically, an investor wants to get out of...

What is 'Parity' Parity refers to two things being equal to each other. The term "par value" for a bond is similar...