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Super Finance Glossary

Over 10,000 financial glossary terms...

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Browsing by the letter "D"

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Disorderly Market
Definition: A characterization of market conditions whereby there is excessive volatility at a time when there is no news. The volatility is often caused by order imbalances. In some markets, shorts trying to cover can cause disorderly conditions. If disorderly conditions arise, sometimes trading is halted.
Disposable Income
Definition: The amount of personal income an individual has after taxes and government fees, which can be spent on necessities, or non-essentials, or be saved.
Distress Sale
Definition: The selling of assets under adverse conditions, e.g., an investor may have to sell securities to cover a margin call.
Distressed Securities
Definition: A security of a firm that has declared or is about to declare bankruptcy. In the context of hedge funds, a style of management that focuses on securities of companies that have declared bankruptcy and may be undergoing reorganization. Investment holdings can include bonds as well as stock in these firms.
Distributable Net Income
Definition: Distributable net income is a tax concept and is commonly referred to as "dni." it limits and characterizes income that will be taxed to the beneficiaries, if distributed or required to be distributed, rather than to the trust. It is the taxable income of the trust modified by generally excluding dividend distributions, personal exemptions, capital gains and losses, extraordinary dividends and taxable stock dividends, and including tax-exempt interest. Irc § 643(a).
Distributed
Definition: New Treasury issues in dealers' hands are said to be distributed.
Distributing Syndicate
Definition: A syndicate consisting of a number of brokerage firms or investment bankers that work together to sell and disperse a large lot of securities.
Distribution
Definition: Selling a large lot of a security in such a way that the security price is not heavily influenced.
Distribution Area
Definition: An established price range in which a stock has been trading for a significant amount of time. See: Accumulation area.
Distribution By Coupon
Definition: Classification of a portfolio's securities according to coupon rate—the interest rate that an issuer promises to pay, expressed as an annual percentage of face value.
Distribution By Credit Quality
Definition: Classification of a portfolio's securities according to credit rating.
Distribution By Issuer
Definition: Classification of a portfolio's holdings by type of issuer or type of instrument.
Distribution By Maturity
Definition: An indicator of interest rate risk. In general, the higher the concentration of longer-maturity issues, the more a portfolio's share price will fluctuate in response to changes in interest rates.
Distribution Cost Advantage
Definition: A source of competitive advantage that depends on the efficient delivery of a product or service to customers.
Distribution Period
Definition: The few days between the Board of Directors' declaration of a stock dividend (declaration date) and the date of record, or the date an individual must own shares to be entitled to a dividend.
Distribution Plan
Definition: A mutual fund's plan to charge distribution costs such as advertising to the investors of the fund.
Distribution Schedule
Definition: The frequency (monthly, quarterly, semiannually, or annually) of a mutual fund's scheduled distributions of dividends or capital gains.
Distribution Stock
Definition: A small amount of a specific stock that forms part of a larger block of stock that is sold small amount by small amount so as not to disrupt the stock's market price.
Distributions
Definition: Payments from fund or corporate cash flow. May include dividends from earnings, capital gains from sale of portfolio holdings and return of capital. Fund distributions can be made by check or by investing in additional shares. Funds are required to distribute realized capital gains (if any) to shareholders at least once per year if they are not to be taxed by the fund itself. Some corporations offer Dividend Reinvestment Plans (DRP).
Divergence
Definition: When two or more averages or indexes fail to show confirming trends.
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