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39 Cards in this Set
- Front
- Back
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Primary market
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Where securities are initally issued
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Secondary market
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where securities are bought and sound
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Municipal bonds
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bonds sold by state and local government
tax free for state tax if you live in that state |
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perpetuities or consols
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Bonds with out maturity date
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Coupon Securities
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Bonds with coupons (every 6 months paid)
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Zero-Coupon Bonds
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bonds with out coupons
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Prefered sock
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get fixed dividends
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concertible prefrred stock
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can be converted into common stock at a predermined price
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Bull market
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prices are rising
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bear market
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prices are falling
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fixed rate securities
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interst rate is fixed over the life of the loan
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ARMS (adjustable rate mortages)
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variiable intrest rates periodicallly
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Government Natinoal MOrtages Assoc (ginnie Mae)
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a mortage pool that helsp keep the cash flows smooth
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securitization
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these poosl can be sold into the fiance markets
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option contracts
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contracts to buy or sell stock
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call option
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gives the owner to an underlyin at a fixed price (strike)
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put option
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gives the owner right to sell at a fixed price
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optino writers
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sellers of options
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Captial market
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segment of the market place wehre financial intstruments are sold
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Commercial paper
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mostly held by money market mutual funds, short term liabilties from creditworthy busines firms
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Negotiable Cd's
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bank deposits with fixed maturity date
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US treasury bills
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most liquid in money market instruments
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real assets
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heavy things that you can kick n touch
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mutual fund
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a diverse fund, not guarentee
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index fund
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mtual fund that simply buys stocks that compose a well known index
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Commercial Bank
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the most prominent of all financial instutations
lend out money |
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private pension fund
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similar to life insurance companies
invest for long term |
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Mutual fund
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frequently stock market related instuttions
moderate risks, long term |
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Life insurance companies
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insure people against risk of death
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money market mutual fund
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like the old fashion mutual fund but highly liqued short term MM intrstumetns
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State and local gov rettirement fudns
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like privatge pension funds
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Savings and loan associates
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fudns acquired through savings deposits
lend money |
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Comercial and consumer finance companies
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lendin money to peopel who buy cars n take vactions or to businesf irms whoneed workin captial
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propertly and casual insuarance companies
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insured against buglary and fire and cars
with premiums they invest in high grade munis and corp bonds |
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credit unions
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like Savings n loans
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S&P 500
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is average of 500 stocks
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NYSE composite
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is more than 1500 stocks average
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Dow jones
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is 30 stocks average
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NASDAQ
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is more than 4000 stocks averaged
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