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Super Finance Glossary

Over 10,000 financial glossary terms...

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Browsing by the letter "C"

Displaying next 480 results of 977
Concession
Definition: The per-share or per-bond compensation of a selling group for participating in a corporate underwriting.
Concession Agreement
Definition: An understanding between a company and the host government that specifies the rules under which the company can operate locally.
Conditional Call
Definition: Applies mainly to convertible securities. Circumstances under which a company can effect an earlier call, usually stated as percentage of a stock's trading price during a particular period, such as 140% of the exercise price during a 40-day trading span.
Conditional Call Options
Definition: A protective guarantee that, in the event a high yield bond is called, the issuing corporation will replace the bond with a noncallable bond of the same life and terms as the bond that is being called.
Conditional Sales Contracts
Definition: Similar to equipment trust certificates, except that the lender is either the equipment manufacturer or a bank or finance company to which the manufacturer has sold the conditional sales contract.
Condominium
Definition: A building or development with individually-owned apartments or houses. The owner has a deed, and possibly a mortgage, on the unit. The owner holds a common or joint ownership in all common areas and facilities that serve the project; land, roofs, hallways, entrance, elevators, etc.
Condor
Definition: Applies to derivative products. Option strategy consisting of both puts and calls at different strike prices to capitalize on a narrow range of volatility. The payoff diagram takes the shape of a bird.
Conduit Theory
Definition: A theory that because investment companies are merely conduits for capital gains, dividends, and interest, which are in fact passed through to shareholders, the investment company should not be taxed at the corporate level.
Confidence Indicator
Definition: A measure of investors' faith in the economy and the securities market. A low or deteriorating level of confidence is considered by many technical analysts as a bearish sign.
Confidence Letter
Definition: Statement by an investment bank that it is highly confident that the financing for its client/acquirer's takeover can and will be obtained. Often used in risk arbitrage.
Confidence Level
Definition: In risk analysis, the degree of assurance that a specified failure rate is not exceeded.
Confirmation
Definition: The written statement that follows any "trade" in the securities markets. Confirmation is issued immediately after a trade is executed. It spells out settlement date, terms, commission, etc.
Confirmation Statement
Definition: A statement sent by a futures commission merchant to a customer when a futures or options position has been initiated which typically shows the price and the number of contracts bought and sold. See P&S (Purchase and Sale).
Confirmed Letter Of Credit
Definition: A letter of credit which a bank other than the bank that opened it agrees to honor as though they had themselves issued it. This additional confirmation is in addition to the obligation of the bank which issued the letter of credit.
Confirming Bank
Definition: The bank which has confirmed a letter of credit opened by another bank.
Conflict Between Bondholders And Stockholders
Definition: Bondholders and stockholders may have interests in a corporation that conflict. Sources of conflict include dividends, distortion of investment, and underinvestment. Protective covenants in bond documents work to resolve these conflicts.
Conforming Loans
Definition: Mortgage loans that meet the qualifications of Freddie Mac or Fannie Mae, which are bought from lenders and issued as pass-through securities.
Congestion
Definition:

(1) A market situation in which shorts attempting to cover their positions are unable to find an adequate supply of contracts provided by longs willing to liquidate or by new sellers willing to enter the market, except at sharply higher prices (see Squeeze, Corner );

(2) in technical analysis, a period of time characterized by repetitious and limited price fluctuations.

Conglomerate
Definition: A firm engaged in two or more unrelated businesses.
Conglomerate Merger
Definition: A merger involving two or more firms that are in unrelated businesses.
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