Verification of an individual’s personal and professional history, often conducted by employers or financial institutions.
Evaluating the effectiveness of investment strategies using historical data.
Testing investment strategies using historical data to evaluate their effectiveness.
Financial instruments that pay out only if the underlying asset reaches a certain price level.
Barrier to entry
Obstacles that prevent new firms from entering a market, such as high start-up costs or regulatory requirements.
Basel III Accord
A set of international banking regulations that aim to improve the stability and resilience of the banking sector.
Basel III regulations
International banking regulations aimed at improving the stability and resilience of the banking sector.
Statistical measure of a stock’s volatility relative to the overall market.
Measure of a stock’s volatility relative to the overall market.
Difference between the highest price a buyer is willing to pay for a security and the lowest price a seller is willing to accept.
Hostile bidder in a corporate takeover attempt.
Mathematical formula used to calculate the theoretical value of options contracts.
Large trades of securities that are executed outside of the open market.
Blue sky laws
State-level securities regulations designed to protect investors from fraudulent or risky investments.
Bond credit rating agencies
Companies that assess the creditworthiness of bond issuers.
Amount of debt owed to bondholders by a company or government.
Bond market volatility
The degree of fluctuation in bond prices.
Bond portfolio diversification
The practice of investing in a variety of bonds to reduce risk.
Bond pricing dynamics
The factors that influence the price of a bond.
Assessment of the creditworthiness of a bond issuer, used by investors to evaluate risk.
Debt securities issued by companies or governments, typically with a fixed interest rate and maturity date.
The return an investor receives on a bond investment.
Distribution of additional shares to existing shareholders, usually as a result of a company’s profits.
Process of determining the final price and allocation of securities in a new offering based on demand from investors.
Book Building Phase
The period during which investors place orders for a new securities offering.
Process of generating demand for a new securities offering by soliciting indications of interest from potential investors.
Book building process
The process of generating demand for a new securities offering.
Plan for creating and promoting a brand’s identity and image.
Strategy for differentiating a brand from its competitors and establishing its unique value proposition.
Brand reputation management
Process of monitoring and improving a brand’s reputation and public perception.
Business plan development
Process of creating a comprehensive document that outlines a company’s goals, strategies, and financial projections.
Individuals or entities that purchase goods or services.