Tuesday, October 26, 2010

No spring chicken


Idiom Definitions for 'No spring chicken'


If someone is no spring chicken, they are not young.

winnows


winnows3rd person singular present of win·now (Verb)

1. Blow a current of air through (grain) in order to remove the chaff.
2. Remove (chaff) from grain

Tuesday, October 19, 2010

edifice

ed·i·fice  (d-fs)
n.
1. A building, especially one of imposing appearance or size.
2. An elaborate conceptual structure: observations that provided the foundation for the edifice of evolutionary theory.

Monday, October 18, 2010

Annuity



The term annuity is used in finance theory to refer to any terminating stream of fixed payments over a specified period of time. This usage is most commonly seen in discussions of finance, usually in connection with the valuation of the stream of payments, taking into account time value of money concepts such as interest rate and future value.
Examples of annuities are regular deposits to a savings account, monthly home mortgage payments and monthly insurance payments. Annuities are classified by payment dates. The payments (deposits) may be made weekly, monthly, quarterly, yearly, or at any other interval of time.

Microsoft


Microsoft Corporation is a public multinational corporation headquartered in Redmond, Washington, USA that develops, manufactures, licenses, and supports a wide range of products and services predominantly related to computing through its various product divisions. Established on April 4, 1975 to develop and sell BASIC interpreters for the Altair 8800, Microsoft rose to dominate the home computer operating system (OS) market with MS-DOS in the mid-1980s, followed by the Microsoft Windows line of OSs. The ensuing rise of stock in the company's 1986 initial public offering (IPO) made an estimated four billionaires and 12,000 millionaires from Microsoft employees. Microsoft would come to dominate other markets as well, notably the office suite market with Microsoft Office.
Primarily in the 1990s, critics contend the company used monopolistic business practices and anti-competitive strategies including refusal to deal and tying, put unreasonable restrictions in the use of its software, and used misrepresentative marketing tactics; both the U.S. Department of Justice and European Commission found the company in violation of antitrust laws. Known for its interviewing process with obscure questions, various studies and ratings were generally favorable to Microsoft's diversity within the company as well as its overall environmental impact with the exception of the electronics portion of the business.

Structured settlement

structured settlement is a financial or insurance arrangement, including periodic payments, that a claimant accepts to resolve a personal injury tort claim or to compromise a statutory periodic payment obligation. Structured settlements were first utilized in Canada and the United States during the 1970s as an alternative to lump sum settlements. Structured settlements are now part of the statutory tort law of several common law countries including Australia, Canada, England and the United States. Structured settlements may include income taxand spendthrift requirements as well as benefits and are considered to be an asset backed security. Often the structured settlement will be created through the purchase of one or more annuities, which guarantee the future payments. Structured settlement payments are sometimes called “periodic payments” and when incorporated into a trial judgment is called a “periodic payment judgment." This is also called a coupon for a regular bond.

Tuesday, October 5, 2010

Shambolic


sham·bo·lic/SHamˈbälik/

Adjective: Chaotic, disorganized, or mismanaged.

Sunday, October 3, 2010

verily


ver·i·ly/ˈverəlē/

Adverb: Truly; certainly. 

Friday, October 1, 2010

Butterfly Spread

Butterfly Spread
An option strategy that has both limited risk and limited profit potential, constructed by combining a bull spread and a bear spread. Three striking prices are involved, with the lower two being utilized in one spread and the higher two in the opposite spread. The strategy can be established with either puts or calls; there are four different ways of combining options to construct the same basic position.

Box Spread

Box Spread
A type of option arbitrage in which both a bull spread and a bear spread are established for a near-riskless position. One spread is established using put options and the other is established using calls. The spread may both be debit spreads (call bull spread vs. put bear spread) or both credit spreads ( call bear spread vs. put bull spread). 
Break-Even Point--the stock price (or prices) at which a particular strategy neither makes nor loses money. It generally pertains to the result at the expiration date of the options involved in the strategy. A "dynamic" break-even point is one that changes as time passes.

Bid Price

Bid Price
The price at which a buyer is willing to buy an option or stock.

Beta

Beta
A measure of how a stock's movement correlates to the movement of the entire stock market. The Beta is not the same as volatility

Bear Spread

Bear Spread
An option strategy that makes its maximum profit when the underlying stock declines and has its maximum risk if the stock rises in price. The strategy can be implemented with either puts or calls. In either case, an option with a higher striking price is purchased and one with a lower striking price is sold, both options generally having the same expiration date.

2nd Definition
In options trading, a bear spread is a bearish, vertical spread options strategy that can be used when the options trader is moderately bearish on the underlying security.
Because of put-call parity, a bear spread can be constructed using either put options or call options. If constructed using calls, it is a bear call spread. If constructed using puts, it is a bear put spread.

Bear call spread

A bear call spread is a limited profit, limited risk options trading strategy that can be used when the options trader is moderately bearish on the underlying security. It is entered by buying call options of a certain strike price and selling the same number of call options of lower strike price (in the money) on the same underlying security with the same expiration month.


Example

Consider a stock that costs $100 per share, with a call option with a strike price of $105 for $2 and a call option with a strike price of $95 for $7. To implement a bear call spread, one buys the $105 call option, paying a premium of $2, and sells the $95 call option, making a premium of $7. The total profit after this initial options trading phase will be $5.
After the options reach expiration, the options may be exercised. If the stock price ends at a price P below or equal to $95, neither option will be exercised and your total profit will be the $5 per share from the initial options trade.
If the stock price ends at a price P above or equal to $105, both options will be exercised and your total profit per is equal to the sum of $5 from the original options trading, a loss of (P - $95) from the sold option, and a gain of (P - $105) from the bought option. Total profits will be ($5 - (P - $95) + (P - $105)) = -$5 per share (i.e. a loss of $5 per share). The loss is due to speculation that the price would go down but it actually did not.
Bear Put Spread
A bear put spread is a limited profit, limited risk options trading strategy that can be used when the options trader is moderately bearish on the underlying security. It is entered by buying higher striking in-the-money put options and selling the same number of lower striking out-of-the-money put options on the same underlying security and the same expiration month. The options trader hopes that the price of the underlying drops, maximizing his profit when the underlying drops below the strike price of the written option, netting him the difference between the strike prices minus the cost of entering into the position.

Bearish

Bearish
An adjective describing an opinion or outlook that expects a decline in price, either by the general market or by an underlying stock, or both

Average Down

Average Down
To buy more of a security at a lower price, thereby reducing the holder's average cost. (Average Up: to buy more at a higher price.)

Automatic Exercise

Automatic Exercise
A protection procedure whereby the Options Clearing Corporation attempts to protect the holder of an expiring in-the-money option by automatically exercising the option on behalf of the holder.

At-the-money

At-the-money
An option is at-the-money if the strike price of the option is equal to the market price of the underlying security.

Assignment

Assignment
The receipt of an exercise notice by an option writer (seller) that obligates him to sell (in the case of a call) or purchase (in the case of a put) the underlying security at the specified strike price.

Ask Price

Ask Price
The price at which a seller is offering to sell an option or stock

Arbitrage

Arbitrage
The process in which professional traders simultaneously buy and sell the same or equivalent securities for a riskless profit.

Thursday, September 30, 2010

tomfoolery means

tom·fool·er·y  (tm-fl-r)
n. pl. tom·fool·er·ies
1. Foolish behavior.
2. Something trivial or foolish; nonsense.

Sham means

Sham meaning
noun, adjective, verb, shammed, sham·ming.
–noun
1.
something that is not what it purports to be; a spuriousimitation; fraud or hoax.
2.
a person who shams; shammer.
3.
a cover or the like for giving a thing a different outwardappearance: a pillow sham.
–adjective
4.
pretended; counterfeit; feigned: sham attacks; a shamGothic façade.
5.
designed, made, or used as a sham.
–verb (used with object)
6.
to produce an imitation of.
7.
to assume the appearance of; pretend to have: to shamillness.
–verb (used without object)
8.
to make a false show of something; pretend.

Wednesday, September 29, 2010

Narrow Market

Definition
market with few bid and ask offers. Characterized by low liquidity ,high spreads, and high volatility. Small changes in supply and/or demand can have a dramatic impact on market pricealso called thin market. opposite of liquid market.

Thin Market

What does Thin Market mean?
A market with a low number of buyers and sellers. Since few transactions take place in a thin market, prices are often more volatile and assets are less liquid. The low number of bids and asks will also typically result in a larger spread between the two quotes.

Also known as a "narrow market".