Super Finance Glossary
Over 10,000 financial glossary terms...
Current-coupon issues: Related: Benchmark issues
Discount rate: The interest rate that the Federal Reserve charges a bank to borrow funds when a bank is temporarily short of funds. Collateral is necessary to borrow, and such borrowing is quite limited because the Fed views it as a privilege to be used to meet short-term liquidity needs, and not a device to increase earnings. In context of NPV or PV calculations, the discount rate is the annual percentage applied. In the context of project financing, the discount rate is often the all-in interest rate or the interest rate plus margin.
Resistance: An effective upper bound on prices achieved because of many willing sellers at that price level.
Statement of Financial Accounting Standards No. 52: The currency translation standard currently used by US firms. It mandates the use of the current rate method. See: Statement of Financial Accounting Standards No. 8.
Fill: The execution of an order.
