Vocab pt. 3
61) D
Bonds in default for non-payment of principal and/or interest
62) Fair Credit Reporting Act
US Federal law that protects and regulates the collection, dissemination, and use of consumer information, including consumer credit information that credit bureaus may collect.
63) Fair Debt Collection Practices Act
Which prohibits debt collectors from using abusive, unfair, or deceptive practices to collect from you. It covers personal, family, and household debts, including money you owe on a personal credit card account, an auto loan, a medical bill, and your mortgage. Does not cover debts you incurred to run a business.
64) trust department
Department of a bank whose purpose is to handle the administration of trust funds, provide estate planning support, and in some cases see to the disposition of the estate of a deceased customer.
65) treasury bonds
A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Makes interest payments semi-annually and the income that holders receive is only taxed at the federal level. Issued with a minimum denomination of $1,000.
66) investment banking
Financial activities that involve underwriting new security issues and providing advice on mergers and acquisitions.
67) underwriter
One who purchases new issues of securities and resells them to investors for a profit. Usually investment banks that guarantee/select the risks an insurance company agrees to accept.
68) IPO
Initial Public Offering. First time a firm sells stock to the public.
69) syndicate
Group of investment banks that jointly underwrite a security issue.
70) investment institution
Financial firm, such as a mutual fund or a hedge fund, that raises funds to invest in loans and securities.
71) mutual fund
Financial intermediary that raises funds by selling shares to individual savers and invests the funds in a portfolio of stocks, bonds, mortgages, and money market securities.
72) money market mutual fund
Mutual fund that invests exclusively in short-term assets, such as: treasury bills, negotiable certificates of deposit, and commercial paper.
73) hedge fund
Financial firms organized as a partnership of wealthy investors that make relatively high-risk, speculative investments.
74) finance company
Non-bank financial intermediary that raises money through sales of commercial paper and other securities and uses the funds to make small loans to households and firms.
75) contractual saving institution
Financial intermediary such as a pension fund or an insurance company that receives payments from individuals as a result of a contract and uses the funds to make investments.
76) pension fund
Financial intermediary that invests contributions of workers and firms in stocks, bonds, and mortgages to provide for pension benefit payments during workers' retirements.
77) insurance company
NON DEPOSITORY intermediary that specializes in writing contracts to protect policy-holders from the risk of financial loss associated with particular events.
78) systemic risk
Risk to the entire financial system rather than to individual firms or investors.
79) cash flow statement
One of the quarterly financial reports any publicly traded company is required to disclose to the SEC and the public. Provides aggregate data regarding all cash inflows a company receives from both its ongoing operations and external investment sources, as well as all cash outflows that pay for business activities and investments during a given quarter.
80) income statement
AKA "profit and loss statement" or "statement of revenue and expense." A financial statement that measures a company's financial performance over a specific accounting period. Also shows the net profit or loss incurred over a specific accounting period, typically over a fiscal quarter or year.
Bonds in default for non-payment of principal and/or interest
62) Fair Credit Reporting Act
US Federal law that protects and regulates the collection, dissemination, and use of consumer information, including consumer credit information that credit bureaus may collect.
63) Fair Debt Collection Practices Act
Which prohibits debt collectors from using abusive, unfair, or deceptive practices to collect from you. It covers personal, family, and household debts, including money you owe on a personal credit card account, an auto loan, a medical bill, and your mortgage. Does not cover debts you incurred to run a business.
64) trust department
Department of a bank whose purpose is to handle the administration of trust funds, provide estate planning support, and in some cases see to the disposition of the estate of a deceased customer.
65) treasury bonds
A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Makes interest payments semi-annually and the income that holders receive is only taxed at the federal level. Issued with a minimum denomination of $1,000.
66) investment banking
Financial activities that involve underwriting new security issues and providing advice on mergers and acquisitions.
67) underwriter
One who purchases new issues of securities and resells them to investors for a profit. Usually investment banks that guarantee/select the risks an insurance company agrees to accept.
68) IPO
Initial Public Offering. First time a firm sells stock to the public.
69) syndicate
Group of investment banks that jointly underwrite a security issue.
70) investment institution
Financial firm, such as a mutual fund or a hedge fund, that raises funds to invest in loans and securities.
71) mutual fund
Financial intermediary that raises funds by selling shares to individual savers and invests the funds in a portfolio of stocks, bonds, mortgages, and money market securities.
72) money market mutual fund
Mutual fund that invests exclusively in short-term assets, such as: treasury bills, negotiable certificates of deposit, and commercial paper.
73) hedge fund
Financial firms organized as a partnership of wealthy investors that make relatively high-risk, speculative investments.
74) finance company
Non-bank financial intermediary that raises money through sales of commercial paper and other securities and uses the funds to make small loans to households and firms.
75) contractual saving institution
Financial intermediary such as a pension fund or an insurance company that receives payments from individuals as a result of a contract and uses the funds to make investments.
76) pension fund
Financial intermediary that invests contributions of workers and firms in stocks, bonds, and mortgages to provide for pension benefit payments during workers' retirements.
77) insurance company
NON DEPOSITORY intermediary that specializes in writing contracts to protect policy-holders from the risk of financial loss associated with particular events.
78) systemic risk
Risk to the entire financial system rather than to individual firms or investors.
79) cash flow statement
One of the quarterly financial reports any publicly traded company is required to disclose to the SEC and the public. Provides aggregate data regarding all cash inflows a company receives from both its ongoing operations and external investment sources, as well as all cash outflows that pay for business activities and investments during a given quarter.
80) income statement
AKA "profit and loss statement" or "statement of revenue and expense." A financial statement that measures a company's financial performance over a specific accounting period. Also shows the net profit or loss incurred over a specific accounting period, typically over a fiscal quarter or year.