Face Valuefixed_income
Face value (also called par value) is the amount the issuer promises to repay at a bond's maturity; it serves as the reference amount for calculating coupon payments and for quoting prices as a percentage of par (commonl…
Terms starting with “F”
65 definitions found.
Factor Investingstyles
Factor investing is a systematic approach to investing that seeks to capture persistent drivers of returns by tilting exposure toward securities with specific characteristics, or factors. Common factors include value, mo…
Factor Loadingsrisk_portfolio
Factor loadings are coefficients that measure how sensitive an asset's or portfolio's returns are to the movements of underlying risk factors in a multi-factor model. Each loading represents exposure to a specific factor…
Factor Modelrisk_portfolio
A factor model is a statistical framework that explains asset returns as a linear combination of selected risk factors plus an idiosyncratic error term.
Factor Premiastyles
Factor premia are the returns attributed to exposure to systematic risk factors in asset pricing models. They represent the portion of returns from a given factor beyond the broad market return.
Factor Premiumstyles
A factor premium is the excess return associated with exposure to a defined risk factor beyond the broad market return. It reflects compensation for bearing the factor's systematic risk.
Factor Rotationstyles
Factor rotation is the systematic shifting of a portfolio's exposure to different investment factors, such as value, momentum, quality, or size, to align with changing market conditions or risk/return expectations.
Fair Valuefundamental
Fair value is the estimated price at which an asset could be exchanged, or a liability settled, in an orderly transaction between knowledgeable, willing parties at the measurement date.
Falling Channeltechnical
A falling channel is a technical analysis pattern formed by two parallel downward-sloping trendlines that contain price action. Prices typically move between the lines, creating a downward-sloping channel with lower high…
Falling Three Methodstechnical
A Falling Three Methods is a bearish continuation candlestick pattern. It starts with a long bearish candle, followed by several smaller candles that trade within the first candle's range, and ends with another long bear…
Falling Wedgetechnical
A falling wedge is a price-chart pattern formed by two downward-sloping, converging trendlines that bound price action, typically during a downtrend. A breakout above the upper trendline is often interpreted as a signal …
Fama-French Five-Factor Modelstyles
The Fama-French Five-Factor Model is an asset pricing framework that extends the Fama-French three-factor model by adding profitability and investment factors.
Familiarity Biasbehavioral
Familiarity bias is a behavioral bias in which investors prefer investments, markets, or information that are familiar to them, often resulting in disproportionate weight toward known assets and underweighting of unfamil…
Federal Funds Ratemacro
The federal funds rate is the interest rate at which U.S. banks lend reserve balances to one another overnight, typically within the Federal Open Market Committee's target range.
Federal Funds Rate Target Rangemacro
The Federal Funds Rate Target Range is the policy range set by the Federal Reserve's Federal Open Market Committee (FOMC) for the overnight federal funds rate—the rate banks charge each other for reserve balances overnig…
Federal Open Market Committee (FOMC)macro
The Federal Open Market Committee (FOMC) is the Federal Reserve committee responsible for setting monetary policy by directing open market operations and establishing the target range for the federal funds rate. It meets…
Federal Reservemacro
The Federal Reserve is the central bank of the United States. It conducts monetary policy, supervises banks, and provides financial services to depository institutions and the U.S. government, with the goal of promoting …
Federal Reserve Balance Sheetmacro
The Federal Reserve Balance Sheet is the Federal Reserve System's published ledger of its assets and liabilities, showing what the central bank holds (such as U.S. Treasury securities and mortgage-backed securities) and …
Federal Reserve Systemmacro
The Federal Reserve System, or the Fed, is the central banking system of the United States responsible for conducting monetary policy, supervising banks, and maintaining financial stability.
Fibonacci Extensiontechnical
A Fibonacci Extension is a price projection tool used in technical analysis to estimate potential future price levels by applying Fibonacci ratios to a prior price move, projecting beyond the end of the move.
Fibonacci Retracementtechnical
A technical analysis tool that uses horizontal price levels derived from the Fibonacci sequence to identify potential retracement areas where a price move may pause or reverse.
Fillmicrostructure
In market microstructure, a fill is the completion of an order's execution on a trading venue. It occurs for the entire quantity or a portion of the order.
Fill or Killmicrostructure
Fill or Kill (FOK) is an order instruction that requires the entire order quantity to be filled immediately; if the full amount cannot be executed right away, the order is canceled.
Fill Or Kill (FOK)microstructure
Fill Or Kill (FOK) is an order instruction that requires the entire order quantity to be executed immediately. If full execution cannot be achieved instantly, the order is canceled in its entirety.
Fill Or Kill (FOK) Ordermicrostructure
A Fill Or Kill (FOK) order is an all-or-none order instruction that requires the entire specified quantity to be filled immediately at the chosen price; if the full amount cannot be filled at once, the order is canceled.
Financial Conditions Indexmacro
A Financial Conditions Index (FCI) is a composite measure that summarizes the stance of financial markets by combining several variables such as interest rates, credit spreads, asset prices, and funding conditions into a…
Financial Leveragecorporate
Financial leverage is the use of debt financing to fund a company's operations or growth, with the aim of magnifying the impact of earnings on shareholders' equity.
Fixed Legderivatives
The Fixed Leg is the portion of a swap that requires payments at a predetermined fixed rate on the notional amount, in contrast to a floating leg whose payments vary with a reference rate.
Fixed Ratederivatives
A fixed rate is an interest rate in a derivative contract that remains unchanged for the life of the contract and is used to determine the fixed leg cash flows. In contexts like an interest rate swap, one party pays this…
Flagtechnical
A flag is a short- to medium-term chart pattern in technical analysis that features a sharp price move followed by a small rectangular consolidation, interpreted as a continuation of the initial move.
Flat Yield Curvefixed_income
A flat yield curve occurs when yields across different maturities are similar, resulting in little to no slope on the yield curve.
Floating Legderivatives
In a derivative such as an interest-rate swap, the floating leg is the portion of the contract whose payments reset at specified intervals based on a reference interest rate and thus vary with market rates. The other leg…
Floating Ratederivatives
A floating rate is an interest rate that resets periodically based on a reference benchmark, causing payments to move with changes in that benchmark.
Floating Rate Notefixed_income
A floating rate note (FRN) is a debt instrument whose coupon payments reset periodically based on a reference rate plus a fixed spread.
Floating Rate Note (FRN)fixed_income
A floating-rate note (FRN) is a debt security whose periodic coupon payments adjust based on a published reference rate plus a fixed spread. The coupon resets at predetermined intervals and the principal is typically rep…
Floorderivatives
A floor is a derivative feature that sets a minimum level for a payment or rate in a floating-rate arrangement. It is often used with a cap in cap-and-floor structures to limit downside and upside in cash flows.
Follow-On Offeringcorporate
A follow-on offering is a public issuance of additional shares by an already-listed company to raise additional capital. It can involve new shares issued by the company (primary offering) or shares sold by existing share…
FOMCmacro
The Federal Open Market Committee (FOMC) is the Federal Reserve committee that sets U.S. monetary policy, including the target range for the federal funds rate and the conduct of open market operations.
Force Indextechnical
Force Index (FI) is a momentum indicator developed by Alexander Elder that multiplies volume by price change to gauge the strength behind a price move.
Form 10-Kregulation
Form 10-K is the comprehensive annual report filed with the U.S. Securities and Exchange Commission (SEC) by most publicly traded U.S. companies. It provides audited financial statements, a description of the business, r…
Form 144 (Notice of Proposed Sale of Securities)regulation
Form 144 (Notice of Proposed Sale of Securities) is a form filed with the U.S. Securities and Exchange Commission by insiders or affiliates who plan to dispose of restricted or control securities under Rule 144. The form…
Form 3 (Initial Statement of Beneficial Ownership)regulation
Form 3 is the initial SEC filing by a person who first becomes a beneficial owner of more than 10% of a registered class of a company's equity securities or assumes a director or officer role, disclosing ownership and re…
Form 4regulation
Form 4 is a form filed with the U.S. Securities and Exchange Commission (SEC) by insiders to disclose changes in ownership of a registrant's equity securities. It is required under Section 16(a) of the Securities Exchang…
Form 4 (Statement of Changes in Beneficial Ownership)regulation
Form 4, the Statement of Changes in Beneficial Ownership, is the U.S. Securities and Exchange Commission filing insiders submit to report changes in ownership of a company's equity securities. It is generally due within …
Form 5 (Annual Statement of Beneficial Ownership)regulation
Form 5 is the annual statement of beneficial ownership filed with the U.S. Securities and Exchange Commission (SEC) by certain insiders to report changes in ownership not previously reported on Form 4.
Form 8-Kregulation
Form 8-K is the Securities and Exchange Commission's current report that U.S. publicly traded companies file to disclose material events between quarterly or annual reports.
Form S-4regulation
Form S-4 is the Securities and Exchange Commission filing used to register securities to be issued in certain business combinations, such as mergers, consolidations, or exchange offers, and to provide transactional discl…
Forward Contractderivatives
A forward contract is a customized, non-standardized agreement between two parties to exchange an asset at a specified price on a future date. It is typically traded over-the-counter (OTC) and settled at maturity either …
Forward Guidancemacro
Forward guidance is a central bank communications tool that describes the intended path of policy rates or other policy actions to influence market expectations about future monetary conditions. By signaling policymakers…
Forward P/E Ratiostyles
Forward price-to-earnings ratio is a valuation metric that uses forecasted earnings per share (EPS) for the next 12 months to compute a price-to-earnings (P/E) multiple.