Absolute Momentumstyles
Absolute Momentum, commonly known as time-series momentum, is a momentum-style approach that bases exposure on an asset's own past returns rather than its performance relative to other assets.
Terms starting with “A”
56 definitions found.
Accounts Payablefundamental
Accounts Payable (AP) are obligations to suppliers for goods or services delivered and invoiced that the company expects to pay in the near term. AP appears as a current liability on the balance sheet and represents shor…
Accounts Receivablefundamental
Accounts receivable (AR) is money owed to a business by customers for goods or services delivered on credit. It is a current asset on the balance sheet representing amounts the company expects to collect.
Accretioncorporate
Accretion is the gradual increase in the carrying amount of a liability or asset over time due to accruals such as interest or amortization; in corporate finance, the term is also used to describe the expected increase i…
Accrual Basis Accountingfundamental
Accrual basis accounting is an accounting method that records revenues when earned and expenses when incurred, regardless of when cash transactions occur.
Accrualsstyles
Accruals are accounting adjustments that recognize revenues when earned and expenses when incurred, regardless of when cash is received or paid.
Accruals Anomalystyles
An asset-pricing anomaly describing the observed relationship that firms with higher accruals (non-cash earnings components) tend to have lower subsequent stock returns, while those with lower accruals tend to have highe…
Accrued Expensesfundamental
Accrued expenses are expenses that have been incurred in a period but not yet paid or invoiced. They are recorded as a current liability on the balance sheet and as an expense on the income statement for the period in wh…
Accrued Interestfixed_income
Accrued interest is the interest on a fixed-income security that has accumulated since the last coupon payment date but has not yet been paid to the holder. In a trade, the buyer often pays the seller the accrued interes…
Accrued Liabilitiesfundamental
Accrued liabilities are a balance sheet liability representing expenses that have been incurred but not yet billed or paid.
Accumulated Amortizationfundamental
Accumulated amortization is a contra-asset account that records the total amortization expense charged against a company's intangible assets since they were acquired, reducing their net book value.
Accumulated Depreciationfundamental
Accumulated Depreciation is the cumulative amount of depreciation expense recorded against a tangible fixed asset since it was acquired, reducing its gross carrying value to reflect wear, tear, and obsolescence.
Accumulation/Distribution Linetechnical
The Accumulation/Distribution Line (ADL) is a cumulative technical indicator that uses price and volume to gauge buying and selling pressure, indicating whether money is accumulating or distributing over time.
Accumulation/Distribution Line (ADL)technical
The Accumulation/Distribution Line (ADL) is a cumulative technical indicator that uses where the price closes within the daily range and the day's volume to gauge net inflow or outflow of capital into a security. It sums…
Acquisitioncorporate
An acquisition is a corporate action in which one company gains control of another by purchasing a majority of its voting shares or its assets.
Acquisition Financingcorporate
Acquisition financing is the funding a company uses to pay for the acquisition of another company or its assets, typically as part of a mergers and acquisitions (M&A) transaction. It may involve debt financing, equity fi…
Active Returnrisk_portfolio
The portion of a portfolio's return that is attributable to active management decisions, calculated as the portfolio return minus the benchmark return.
Active Riskrisk_portfolio
Active risk is the standard deviation of the difference between a portfolio's returns and its benchmark returns, representing the volatility of active management decisions.
Actively Managed Fundasset_classes
An actively managed fund is a pooled investment vehicle in which a fund manager selects securities and makes trading decisions with the goal of outperforming a benchmark, rather than simply tracking an index.
Additional Paid-In Capitalfundamental
Additional Paid-In Capital (APIC) is the portion of stockholders' equity that arises when investors pay above the par value of newly issued shares. It remains in equity and is separate from retained earnings, which come …
Adjusted Funds from Operationsasset_classes
Adjusted Funds from Operations (AFFO) is a real estate metric used by REITs that starts with Funds From Operations (FFO) and subtracts recurring capital expenditures and certain adjustments to reflect sustainable cash fl…
Agricultural Commodityasset_classes
An agricultural commodity is a raw or minimally processed agricultural product traded in commodity markets, such as corn, wheat, soybeans, coffee, and sugar.
Algorithmic Tradingmicrostructure
The use of computer programs to automatically submit and manage orders according to predefined rules or strategies. In modern markets, it is a central element of market microstructure, shaping how orders are routed, fill…
All-Or-None (AON) Ordermicrostructure
An All-Or-None (AON) order is an order instruction that requires the entire quantity to be filled before it is executed; if the full amount cannot be filled, the order is not executed.
Allowance For Doubtful Accountsfundamental
An allowance for doubtful accounts is a contra-asset account that estimates the portion of accounts receivable that may not be collected, reducing gross receivables to net realizable value. It is used under the allowance…
Alpharisk_portfolio
Alpha is the excess return of a portfolio or investment relative to a benchmark, after accounting for market risk (beta).
Alternative Betastyles
Exposure to non-market systematic risk factors beyond the market beta described in the Capital Asset Pricing Model (CAPM).
Alternative Trading Systemmicrostructure
Alternative Trading System (ATS) is a registered U.S. trading venue that matches and executes orders for securities outside traditional exchanges. It is typically operated by broker-dealers and regulated under Regulation…
Alternative Trading System (ATS)microstructure
An Alternative Trading System (ATS) is a registered, non-exchange trading venue that matches orders for securities and is operated by a broker-dealer.
Ambiguity Aversionbehavioral
Ambiguity aversion is a behavioral tendency to prefer options with known probabilities of outcomes over options with unknown or ambiguous probabilities.
American Optionderivatives
An American option is an option contract that can be exercised at any time up to and including its expiration date, granting the holder the right to transact the underlying asset at the strike price.
Amortizationfundamental
Amortization is the systematic reduction of a loan's outstanding principal over time through regular payments that also cover interest. In accounting, amortization is the gradual expensing of an intangible asset's cost o…
Anchoringbehavioral
Anchoring is a cognitive bias where an initial reference point (the anchor) unduly influences later judgments and estimates, with insufficient adjustment as new data emerges.
Anchoring Biasbehavioral
Anchoring bias is a cognitive bias in which people rely too heavily on the first piece of information encountered (the anchor) when making judgments, even when subsequent data should be more relevant.
Annual Report on Form 10-Kregulation
The Annual Report on Form 10-K is the comprehensive annual filing that U.S. public companies submit to the Securities and Exchange Commission describing the business, financial condition, results of operations, and risks…
Anti-Dilutioncorporate
An anti-dilution provision is a clause in a securities agreement that adjusts the conversion price or the number of shares issued to protect investors from dilution when new equity is issued at a lower price.
Anti-Money Launderingregulation
Anti-Money Laundering (AML) refers to laws and procedures that financial institutions and other regulated entities use to detect, deter, and report money laundering and related crimes.
Aroon Downtechnical
Aroon Down is a component of the Aroon technical indicator that measures the number of periods since the lowest price within a specified look-back window, expressed as a percentage of that window.
Aroon Uptechnical
Aroon Up is a technical indicator that measures how long it has been since the highest price in a defined look-back period, expressed as a percentage of that period.
Ascending Triangletechnical
An Ascending Triangle is a price-chart pattern formed when the price makes higher lows while a horizontal resistance remains unchanged. It is typically interpreted as a continuation signal in an uptrend when price breaks…
Ask Sizemicrostructure
Ask size is the quantity of shares or contracts available for sale at the current best ask price, reflecting the size of the supply at the top of the ask side in the order book.
Asset Allocationrisk_portfolio
The process of dividing an investment portfolio among different asset classes to balance risk and potential return.
Asset Purchase Agreementcorporate
An Asset Purchase Agreement (APA) is a contract used in corporate mergers and acquisitions to transfer specified assets from a seller to a buyer, rather than transferring stock in the target company. It typically defines…
Asset Purchasesmacro
Asset purchases are monetary policy actions in which a central bank buys financial assets from the market to inject liquidity and influence interest rates. When executed on a large scale, these operations are commonly de…
Asset Swap Spreadfixed_income
Asset swap spread is the difference, in basis points, between the yield on a fixed-rate bond and the prevailing currency interest-rate swap rate for the same maturity; it captures the bond's credit and liquidity premium …
Asset Turnoverfundamental
Asset turnover is a financial ratio that measures how efficiently a company uses its assets to generate sales, calculated as net sales divided by average total assets.
Asset-Backed Security (ABS)fixed_income
An asset-backed security (ABS) is a fixed-income security whose cash flows come from a pool of underlying assets—such as auto loans, credit card receivables, or student loans—rather than from the issuer's general obligat…
Assignmentderivatives
Assignment is the process by which the writer of an options contract is notified to fulfill the contract obligations after the holder exercises the option; for a call writer, this means delivering the underlying asset at…
At The Moneyderivatives
At The Money (ATM) describes an option whose strike price is equal to the current price of the underlying asset. For stock options, ATM options typically have zero intrinsic value.
Audit Committeeregulation
An audit committee is a subset of a company's board of directors charged with overseeing financial reporting, internal controls, and the external audit process.