A Euronote is an underwritten, fully negotiable, unsecured, unsubordinated promissory note of a high-quality corporate, financial or sovereign borrower, issued in the Euromarket in...
What are Eurocurrency deposits and Euro-certificates of deposit (ECDs)?
A deposit in a currency foreign to the bank’s domestic currency is a Eurocurrency deposit. Banks take Eurocurrency deposits either in the interbank market or from nonbank deposito...
An exchange-traded fund (ETF) is an open-end investment company (mutual fund) or unit investment trust (UIT) whose shares trade on the secondary market in intraday trading at its i...
A dividend is a distribution made by a company to its shareholders in the form of cash, the company’s own shares, or other assets in proportion to the number of shares owned. Thei...
What are discount yield and bond equivalent yield?
The discount yield – the term used by the US Treasury (USDT) for bank discount yield (BDY) – is the yield quoted on US T-bills on a simple interest basis (i.e., without compounding...
What are depositary receipts (DRs)?
A depositary receipt is a negotiable certificate (receipt) issued by a domestic depository bank for equity or debt instruments of a foreign-based corporation that are held on depos...
What are default rights and remedies?
The actions permitted by a contract and applicable law that a party may take to protect and recover its property interests in the event of default of another party to the contract...
A debenture is a corporate bond that is not secured by a claim on a specific asset or group of assets, instead it is backed only by the general credit and reputation of the issuer...
A covered bond is a generally fixed-rate capital market debt instrument issued directly by a financial institution that is liable for the security’s repayment and backed by a speci...
A corporate bond is any secured or unsecured, interest‑bearing or discount capital market debt instrument issued by a corporation, regardless of its maturity, as opposed to a bond...
