Narrative Fallacybehavioral
Narrative fallacy is the tendency to construct and rely on a coherent story to explain past events or to predict future outcomes, often treating randomness as if it followed a deliberate pattern.
Terms starting with “N”
29 definitions found.
National Best Bid And Offer (NBBO)microstructure
The National Best Bid And Offer (NBBO) is the highest bid and the lowest offer for a security across all eligible U.S. exchanges and market centers, as compiled and published by the Securities Information Processor.
Natural Gasasset_classes
Natural gas is a fossil fuel used for heating, electricity generation, and industrial processes. It is traded as a commodity in energy markets, with prices quoted and futures contracts traded on major exchanges.
Natural Rate of Unemploymentmacro
The natural rate of unemployment (NRU) is the level of unemployment that persists when the economy is producing at its potential and inflation remains stable; it comprises frictional and structural unemployment and is no…
Negative Convexityfixed_income
Negative convexity is a situation where a fixed-income security's price-yield relationship curves downward, so the price rises less when yields fall and declines more when yields rise; it is commonly seen in securities w…
Net Asset Valueasset_classes
Net Asset Value (NAV) is the per-share value of a fund’s net assets, calculated by dividing total assets minus liabilities by shares outstanding.
Net Asset Value (NAV)asset_classes
Net Asset Value (NAV) is the per-share value of a fund's assets minus its liabilities, divided by the number of shares outstanding.
Net Book Valuefundamental
Net Book Value (NBV) is the value at which an asset is carried on a company’s balance sheet, calculated as the asset’s original cost minus accumulated depreciation (and amortization or impairment, as applicable).
Net Incomefundamental
Net income is the total profit for a period after subtracting all expenses from revenue, including operating costs, interest, taxes, and non-cash charges such as depreciation and amortization.
Net Lease REITasset_classes
A Real Estate Investment Trust (REIT) that owns properties leased under net leases, where tenants are responsible for some or all ongoing operating costs in addition to base rent.
Net Marginfundamental
Net margin, also called net profit margin, is the percentage of revenue that remains as net income after all expenses, interest, taxes, and other costs have been deducted. It is calculated as Net Income divided by Revenu…
Net Operating Incomeasset_classes
Net Operating Income (NOI) is the annual income from a property's operations, calculated as gross operating income minus operating expenses, excluding debt service, taxes, depreciation, and other non-operating items.
Net Present Value (NPV)corporate
Net Present Value (NPV) is the difference between the present value of expected cash inflows and the present value of expected cash outflows for an investment, using a specified discount rate.
Net Realizable Valuefundamental
Net Realizable Value (NRV) is the estimated selling price of an asset in the ordinary course of business minus the estimated costs to complete, dispose of, and transport it.
Net Settlementmicrostructure
Net settlement is the process by which a clearinghouse or central counterparty (CCP) nets multiple trade obligations and settles only the net cash and securities transfers rather than every individual trade.
Neutral Interest Ratemacro
The neutral interest rate is the level of the policy rate that would neither accelerate nor slow the economy when inflation is near the target and output is at potential. It is often denoted r*, and it is not directly ob…
Neutral Ratemacro
The neutral rate, or natural rate of interest, is the level of the short-term nominal interest rate that would be compatible with full employment and stable inflation when monetary policy is neither expansionary nor cont…
No-Load Fundasset_classes
A no-load fund is a mutual fund that does not charge a front-end sales load when shares are purchased; it may still have ongoing fees such as the fund's expense ratio.
Nominal GDPmacro
Nominal Gross Domestic Product (Nominal GDP) is the total market value of all final goods and services produced domestically in a given period, measured using current prices.
Nominal Gross Domestic Productmacro
Nominal Gross Domestic Product (nominal GDP) is the market value, in current prices, of all final goods and services produced within a country during a specific period.
Nominal Interest Ratemacro
The nominal interest rate is the rate stated on a loan or security, before adjusting for inflation.
Nominal Yieldfixed_income
Nominal yield is the bond's stated annual coupon rate expressed as a percentage of its face value.
Non-Current Assetsfundamental
Non-current assets are long-term assets that are expected to provide economic benefits for more than one year (or beyond the normal operating cycle) and are not classified as current assets on the balance sheet.
Noncontrolling Interestfundamental
Noncontrolling Interest (NCI) is the portion of a subsidiary's equity not owned by the parent company, representing the stake held by outside investors. It is shown as a separate equity component in consolidated financia…
Noncurrent Assetsfundamental
Noncurrent assets are long-term assets that are expected to provide economic benefits beyond one year or one operating cycle, whichever is longer.
Nonfarm Payrollsmacro
A monthly statistic from the U.S. Bureau of Labor Statistics (BLS) that reports the net change in payroll employment for all nonfarm jobs in the United States. It excludes farm workers and private household employees (an…
Normal Yield Curvefixed_income
A normal yield curve is an upward-sloping term structure in which longer-maturity yields exceed shorter-maturity yields for bonds of similar credit quality. It reflects higher compensation for locking in funds over longe…
Notional Amountderivatives
The notional amount is the reference value used to calculate payments in a derivative contract; it is not typically the amount exchanged and may not equal the actual risk or cash flows involved.
Notional Principalderivatives
The notional principal (or notional amount) is the reference dollar amount used to calculate payments in a derivative contract; it is typically not exchanged at settlement.