What is Organization for Economic Cooperation and Development – OECD?
The OECD is a group of 30 member countries who discuss and develop economic and social policy. Read more for examples and further explanation including related video clips and also comments
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Tag: cd
Money Market definition explanation
What is Money Market?
A segment of the financial market in which financial instruments with high liquidity and very short maturities are traded. The money market is used by participants as a means for borrowing and lending in the short term, from several days to just under a year. Money market securities consist of negotiable certificates of deposit (CDs), bankers acceptances, U.S. Treasury bills, commercial paper, municipal notes, federal funds and repurchase agreements (repos). Read more for examples and further explanation including related video clips and also comments
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Bond Ladder definition explanation
What is Bond Ladder?
A strategy for managing fixed-income investments by which the investor builds a ladder by dividing his or her investment dollars evenly among bonds or CDs that mature at regular intervals simultaneously (for example, every six months, once a year or every two years). Read more for examples and further explanation including related video clips and also comments
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Canadian Deposit Insurance Corporation – CDIC definition explanation
What is Canadian Deposit Insurance Corporation – CDIC?
A crown corporation owned by the Canadian government that insures bank deposits up to C$100,000 per personal account held in member Canadian banks in they event that the financial institution fails. The corporation was formed under the Financial Administration Act and Canada Deposit Insurance Corporation Act in 1967. The CDIC is similar to the Federal Deposit Insurance Corporation in the United States. Read more for examples and further explanation including related video clips and also comments
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Technical Indicator definition explanation
What is Technical Indicator?
Any class of metrics whose value is derived from generic price activity in a stock or asset. Technical indicators look to predict the future price levels, or simply the general price direction, of a security by looking at past patterns. Examples of common technical indicators include Relative Strength Index, Money Flow Index, Stochastics, MACD and Bollinger Bands. Read more for examples and further explanation including related video clips and also comments
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Bear CD definition explanation
What is Bear CD?
A certificate of deposit whose interest rate fluctuates in inverse correlation to the value of an underlying market index. In other words, the interest rate paid on the CD increases as the underlying market index decreases in value. Read more for examples and further explanation including related video clips and also comments
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Oligopsony definition explanation
What is Oligopsony?
Similar to an oligopoly (few sellers), this is a market in which there are only a few large buyers for a product or service. This allows the buyers to exert a great deal of control over the sellers and can effectively drive down prices. Read more for examples and further explanation including related video clips and also comments
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Interest Only (IO) Strips definition explanation
What is Interest Only (IO) Strips?
The interest portion of mortgage, Treasury or bond payments, which is separated and sold individually from the principal portion of those same payments. The periodic payments of several bonds can be “”stripped”” to form synthetic zero-coupon bonds.
Also, an IO strip might be part of a larger collateralized mortgage obligation (CMO), asset-backed security (ABS) or collateralized debt obligation (CDO) structure. Read more for examples and further explanation including related video clips and also comments
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American Municipal Bond Assurance Corporation definition explanation
What is American Municipal Bond Assurance Corporation?
The first municipal bond insurance company, formed in 1971 as a subsidiary of MGIC Investment Corp. of Milwaukee; now more commonly known as Ambac Financial Group, Inc. The American Municipal Bond Assurance Corporation insures new municipal bond offerings worldwide and is one of the leading firms in its field. A municipal bond issuer may purchase insurance coverage in order to increase investor confidence that principal and interest payments will be made in full and on time if the issuer defaults. Read more for examples and further explanation including related video clips and also comments
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Callable Certificate Of Deposit definition explanation
What is Callable Certificate Of Deposit?
An FDIC insured certificate of deposit (CD) that contains a call feature similar to other types of callable fixed-income securities. Callable CDs can be redeemed (called away) by the issuing bank prior to their stated maturity, usually within a given time frame, and at a preset call price. Read more for examples and further explanation including related video clips and also comments
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