What Is a Stock Relisting Vs Delisting? Relisting and delisting are procedures for adding and removing securities from a stock exchange. Companies may be delisted willingly or as a result of regulatory issues. A relisting is the same as a fresh listing or an initial public offering (IPO). A firm […]
What Is an Interest Floor Rate? An interest floor rate for interest-bearing securities is an agreement between the issuer and the investor that the floating rate of return will not fall below a specified floor level over an agreed period of time. For an adjustable-rate mortgage, it is the minimum […]
What is a Swaption – Swap Option? A swaption, also known as a swap option, is an option to engage in a swap, such as an interest rate swap or another sort of swap. The buyer receives the right, but not the obligation, to enter into a specified swap agreement […]
What Is New Growth Theory? The New Growth Theory is an economic concept. It holds that humans’ unlimited desires foster ever-increasing productivity and economic growth. It contends that because of people’s insatiable desire for profit, real GDP per person will continue to rise indefinitely. The New Growth Theory, sometimes known […]
What Is Painting the Tape? Painting the tape is a kind of market manipulation in which market participants try to affect the price of a security. One method is by purchasing and selling it among themselves in order to create the illusion of significant trading activity. The purpose of painting […]
What Is Segment Margin? Segment margin is the amount of profit or loss generated by one component of a firm. Knowing the gross margin for the whole firm is not usually sufficient in huge corporations. However, knowing the segment margins for each division of the firm offers a more realistic […]