Confirmation Biasbehavioral
Confirmation bias is the tendency to search for, interpret, and remember information in a way that confirms one’s preconceptions. In practice, it can skew how data, news, and research are evaluated.
Terms starting with “C”
107 definitions found.
Conjunction Fallacybehavioral
Conjunction fallacy is a cognitive bias where people judge the probability of two events occurring together as greater than the probability of either event alone, violating basic probability principles.
Conservatism Biasbehavioral
Conservatism bias is a cognitive bias in which individuals underweight new evidence and update beliefs slowly after new information is received, leading to persistence of prior conclusions.
Conservatism Principlefundamental
The conservatism principle is an accounting principle that requires cautious reporting when outcomes are uncertain, typically by recognizing expenses and liabilities sooner and recognizing revenues and assets only when t…
Consumer Confidence Indexmacro
CCI (Consumer Confidence Index) is a monthly macroeconomic indicator published by The Conference Board that measures consumer sentiment by surveying households about current conditions and expectations for the economy.
Consumer Price Indexmacro
The Consumer Price Index (CPI) is a monthly price index that measures changes in the average prices paid by urban consumers for a representative basket of goods and services. It is used to gauge inflation and is publishe…
Consumer Price Index (CPI)macro
The Consumer Price Index (CPI) is a measure of the average change in prices paid by urban consumers for a fixed basket of goods and services. It is published by the U.S. Bureau of Labor Statistics and used as a gauge of …
Contangoderivatives
Contango is a market condition in futures markets where futures prices are higher than the current spot price, resulting in an upward-sloping futures curve.
Contingent Considerationcorporate
Contingent consideration is a portion of the purchase price in a corporate acquisition that depends on future events or performance milestones and is payable to the seller if those conditions are met.
Contingent Value Rights (CVR)corporate
A Contingent Value Right (CVR) is a contractual instrument issued in some mergers or acquisitions that provides for future payments to holders only if predefined post‑closing milestones or events occur. The payout amount…
Contract Monthderivatives
The contract month is the calendar month in which a futures or options contract expires and settles.
Convertible Bondfixed_income
A convertible bond is a fixed-income security that gives the holder the option to convert the bond into a predetermined number of the issuer's shares. The conversion terms—such as the conversion price and conversion rati…
Convexityfixed_income
Convexity is a measure of the curvature in a fixed-income security's price-yield relationship, capturing how much the duration changes as yields move.
Copperasset_classes
Copper is a base industrial metal traded as a commodity; in finance, it refers to exposure to copper prices as part of the commodities asset class.
Core Consumer Price Indexmacro
Core Consumer Price Index (Core CPI) is the Consumer Price Index excluding food and energy components, used to gauge underlying inflation by removing volatile components.
Core Inflationmacro
Core inflation is the rate of price change in an economy measured by a price index that excludes volatile food and energy components, used to gauge underlying inflation trends. Two widely cited measures are core Consumer…
Core PCE Price Indexmacro
Core PCE Price Index (Core Personal Consumption Expenditures Price Index; PCE stands for Personal Consumption Expenditures) measures changes in prices for goods and services purchased by households, excluding food and en…
Core Personal Consumption Expenditures (Core PCE)macro
Core Personal Consumption Expenditures (Core PCE) is the Bureau of Economic Analysis price index that measures changes in prices for goods and services purchased by households, excluding the volatile food and energy comp…
Core Personal Consumption Expenditures Price Indexmacro
The Core Personal Consumption Expenditures Price Index, commonly called the core PCE price index, is the Personal Consumption Expenditures price index excluding food and energy; it is used to gauge consumer inflation by …
Cornasset_classes
Corn is a major agricultural commodity traded on commodity markets as part of the commodities asset class. It is primarily accessed via futures contracts on exchanges and priced in dollars per bushel.
Corporate Bondfixed_income
A corporate bond is a debt security issued by a corporation to borrow money from investors, with the promise to pay periodic interest (the coupon) and repay the principal at maturity.
Correlationrisk_portfolio
Correlation is a statistical measure that describes how two variables move in relation to each other. It quantifies the direction and strength of their relationship.
Correlation Coefficientrisk_portfolio
The correlation coefficient, denoted r, is a statistic that measures the strength and direction of the linear relationship between two asset returns, with values between -1 and 1.
Correlation Matrixrisk_portfolio
Correlation matrix is a square table that shows the pairwise correlation coefficients between a set of assets or risk factors, typically ranging from -1 to 1.
Cost of Capitalcorporate
The cost of capital is the overall rate of return demanded by a company's lenders and investors to finance its operations and projects. In corporate finance, it is used as the discount rate in capital budgeting and as a …
Cost Of Carryderivatives
Cost of carry is the net expense of holding an asset from today until a specified future date, reflecting financing, storage, and insurance costs minus any income the asset produces (such as dividends) or convenience yie…
Cost Of Goods Soldfundamental
Cost of Goods Sold (COGS) is the direct costs tied to producing or purchasing the goods sold during a period, including materials, direct labor, and allocated manufacturing overhead; it excludes selling, general, and adm…
Cost Of Goods Sold (COGS)fundamental
Cost Of Goods Sold (COGS) is the direct costs tied to producing the goods that a company sells during a period, including material costs, direct labor, and allocated production overhead.
Cost Of Revenuefundamental
Cost of revenue (COR) is the direct costs incurred to produce the goods or deliver the services that generate a company's revenue during a period. It includes materials, direct labor, and allocated overhead.
Cost Principlefundamental
The Cost Principle, also known as the historical cost principle, is an accounting rule under U.S. GAAP that assets are recorded and reported on the balance sheet at their original purchase price, rather than at current m…
Couponfixed_income
In fixed-income securities, a coupon is the periodic interest payment made by the issuer to the bondholder. It is calculated as the bond's par value times the coupon rate and is typically paid on a set schedule.
Coupon Frequencyfixed_income
Coupon frequency is the number of periodic interest payments a bond or fixed-income security makes per year. Common frequencies include semiannual (two payments per year), annual, and quarterly.
Coupon Paymentfixed_income
A coupon payment is the periodic interest cash flow that a bond issuer pays to bondholders, based on the bond’s face value and its coupon rate.
Coupon Ratefixed_income
Coupon rate is the fixed annual interest rate that a bond's issuer promises to pay on its face value, expressed as a percentage.
Covariancerisk_portfolio
Covariance is a measure of how two random variables move together; it indicates the direction of their joint variation, with positive covariance meaning they tend to move in the same direction and negative covariance mea…
Covariance Matrixrisk_portfolio
A covariance matrix is a square matrix that contains covariances between pairs of asset returns; the diagonal elements are variances and the off-diagonal elements show how returns move together.
Creation and Redemptionasset_classes
Creation and redemption is the process by which authorized participants create or redeem ETF shares in large blocks called creation units by exchanging baskets of underlying securities (or cash) with the fund sponsor. Th…
Creation Basketasset_classes
A creation basket is the fixed list of securities (and sometimes cash) that an authorized participant delivers to an ETF sponsor to create new shares of an exchange-traded fund, with the basket designed to mirror the fun…
Creation Unitasset_classes
A creation unit is the standard block of ETF shares that Authorized Participants use to create or redeem ETF shares in exchange for a basket of securities and cash.
Credit Curvefixed_income
A credit curve is the relationship between credit risk premia (spreads) and maturity for a given issuer or credit index, typically shown as a plot of yields or spreads across different maturities. It reflects how investo…
Credit Default Swapderivatives
Credit Default Swap (CDS) is a financial derivative that transfers credit risk from a protection buyer to a protection seller, with a contingent payoff if a defined credit event occurs for a referenced entity, in exchang…
Credit Ratingfixed_income
A credit rating is an assessment by a credit rating agency of the creditworthiness of a borrower or debt security, reflecting the likelihood of timely interest and principal payments.
Credit Riskrisk_portfolio
Credit risk is the potential that a borrower or counterparty will fail to meet financial obligations when due, resulting in a loss to the lender or investor.
Credit Spreadfixed_income
The credit spread is the yield premium of a non-government bond over a risk-free benchmark of comparable maturity, representing the extra compensation investors require for credit risk. It is typically expressed in basis…
Cross Trademicrostructure
A cross trade is a transaction in which a broker-dealer matches two clients' orders internally, rather than routing the orders to a public market.
Crude Oilasset_classes
Crude oil is a naturally occurring liquid hydrocarbon mixture extracted from the earth and refined into fuels and other products; it is traded as a commodity in spot and derivative markets. Benchmark grades include West …
Cryptoasset_classes
Crypto refers to digital assets that rely on cryptography and a distributed ledger to record ownership and validate transactions, typically without a central issuer.
Cup and Handletechnical
Cup and Handle is a technical chart pattern consisting of a rounded cup shape followed by a short pullback or 'handle,' generally regarded as a continuation pattern in technical analysis.
Currency Swapderivatives
A currency swap is a derivative contract in which two parties exchange principal amounts and interest payments in different currencies over a defined period, typically with an initial and final exchange of notional amoun…
Current Assetsfundamental
Current assets are assets on a company's balance sheet that are expected to be converted to cash or used up within one year (or the operating cycle). Common components include cash and cash equivalents, accounts receivab…