List of finance topics

Fundamental financial concepts

Finance an overview
Arbitrage
Capital (economics)
Capital asset pricing model
Cash flow
Cash flow matching

Debt
Default
Consumer debt
Debt consolidation
Debt settlement
Credit counseling
Bankruptcy
Debt diet
Debt-snowball method

Discounted cash flow

Financial capital
Funding

Financial modeling

Entrepreneur
Entrepreneurship

Fixed income analysis

Gap financing

Hedge
Basis risk

Interest rate
Risk-free interest rate
Term structure of interest rates

Short rate model
Vasicek model
Cox-Ingersoll-Ross model
Hull-White model
Chen model
Black-Derman-Toy model

Interest
Effective interest rate
Nominal interest rate
Interest rate basis
Fisher equation
Crowding out
Annual percentage rate
Interest coverage ratio

Investment
Foreign direct investment
Gold as an investment
Over-investing

Leverage
Locked-in value
Long (finance)
Liquidity
Margin (finance)
Mark to future
Mark to market
Market Impact
Medium of exchange
Microcredit

Money
Currency
Coin
Banknote
Counterfeit

Portfolio
Modern portfolio theory

Reference rate
Reset

Return
Absolute return
Investment performance
Relative return

Right-financing

Risk
Risk management
Risk measure
Coherent risk measure
Spectral risk measure
Value at Risk

Scenario analysis
Short (finance)
Speculation
Day trading
Position trader
Spread
Standard of deferred payment
Store of value
Time horizon
Time value of money
Discounting
Present value
Future value
Net present value
Internal rate of return
Modified internal rate of return
Annuity
Perpetuity
Unit of account
Volatility
Yield
Yield curve

Accounting (financial records)
Accounting
Philosophy of Accounting
List of accounting topics
Financial accountancy
Financial statements
Balance sheet
Cash flow statement
Income statement
Auditing
Management accounting
Accounting software

Actuarial topics
Actuarial topics

Institutional setting

Financial services companies
Financial institutions
Bank
List of banks
List of banks in Canada
List of banks in Hong Kong
List of banks in Singapore
List of bank mergers in United States
Advising bank
Central bank
List of central banks
Commercial bank
Community development bank
Cooperative bank
Custodian bank
Depository bank
Investment bank
Islamic banking
Merchant bank
Microcredit
Mutual bank
Mutual savings bank
National bank
Offshore bank
Private bank
Savings bank
Swiss bank
Bank holding company
Building society
Clearing house
Commercial lender
Community development financial institution
Credit rating agency
Credit union
Diversified financial
Edge Act Corporation
Export Credit Agencies
Financial adviser
Financial intermediary
Financial planner
Futures exchange
List of futures exchanges
Government sponsored enterprise
Hard money lender
Independent Financial Adviser
Industrial loan company
Insurance regulatory
Insurance company
Investment adviser
Investment company
Investment trust
Large and Complex Financial Institutions
Mutual fund
Non-banking financial company
Prime brokerage
Retail broker
Savings and loan association
Stock broker
Stock exchange
List of stock exchanges
Trust company

Banking terms
Anonymous banking
Automatic teller machine
Deposit
Deposit creation multiplier
Loan
Pre-qualification
Pre-approval
Subprime
Withdrawal

Financial regulation
Corporate governance
Financial regulation
Bank regulation
Banking license

Designations and accreditation
Certified Financial Planner
Chartered Financial Analyst
CFA Institute
Chartered Financial Consultant
Canadian Securities Institute
Independent Financial Adviser
Chartered Insurance Institute
Financial Risk Manager
Chartered Accountant

Fraud
Forex scam
Insider trading
Legal origins theory
Petition mill
Ponzi scheme

Industry bodies
International Swaps and Derivatives Association
National Association of Securities Dealers

Regulatory bodies
Autorité des marchés financiers
Bank for International Settlements
Canadian securities regulation

United Kingdom
Financial Services Authority (UK)

European Union
European Securities Committee (EU)
Committee of European Securities Regulators (EU)

United States
Commodity Futures Trading Commission (U.S.)
Municipal Securities Rulemaking Board (US)
Office of the Comptroller of the Currency (US)
U.S. Securities and Exchange Commission

United States legislation
Glass-Steagall Act (US)
Gramm-Leach-Bliley Act (US)
Sarbanes-Oxley Act (US)
Securities Act of 1933 (US)
Securities Exchange Act of 1934 (US)
Investment Advisers Act of 1940 (US)
USA PATRIOT Act

Financial markets

Market and instruments
Capital markets
Securities
Financial markets
Primary market
Initial public offering
Aftermarket
Free market
Bull market
Bear market
Bear market rally
Market maker
Dow Jones Industrial Average
Nasdaq
List of stock exchanges
List of stock market indices
List of corporations by market capitalization

Equity market
Stock market
Stock
Common stock
Preferred stock
Treasury stock
Equity investment
Index investing
Private Equity
Financial reports and statements
Fundamental analysis
Dividend
Dividend yield
Stock split

Equity valuation
Dow Theory
Elliott Wave Theory
Economic value added
Gordon model
Growth stock
Mergers and acquisitions
Leveraged buyout
Takeover
Corporate raid
PE ratio
Market capitalization
Income per share
Stock valuation
Technical analysis
Chart patterns
V-trend

Investment theory
Behavioral finance
Dead cat bounce
Efficient market hypothesis
Market microstructure
Stock market crash
Stock market bubble
January effect
Mark Twain effect
Quantitative behavioral finance
Quantitative analyst
Statistical arbitrage

Bond market
Bond (finance)
Zero-coupon bond
Junk bonds
Convertible bond
Accrual bond
Municipal bond
Sovereign bond
Bond valuation
Yield to maturity
Bond duration
Bond convexity
Fixed income

Money market
Repurchase agreement
International Money Market
Currency
Exchange rate
International currency codes
Table of historical exchange rates

Commodity market
Commodity
Asset
Commodity Futures Trading Commission
Day trading
Drawdowns
Forfaiting
Fundamental analysis
Futures contract
Fungibility
Gold as an investment
Hedging
Jesse Lauriston Livermore
List of traded commodities
MACD
Ownership equity
Position trader
Risk (Futures)
Seasonal traders
Seasonal spread trading
Slippage
Speculation
Spread
Technical analysis
Breakout
Bear market
Bottom (technical analysis)
Bull market
Moving average
Open Interest
Parabolic SAR
Point and figure charts
Resistance
RSI
Stochastic oscillator
Stop loss
Support
Top (technical analysis)
Trade
Trend

Derivatives market
Derivative (finance)
(see also Financial mathematics topics; Derivatives pricing)
Underlying instrument

Forward markets and contracts
Forward contract

Futures markets and contracts
Backwardation
Contango
Futures contract
Currency future
Financial future
Interest rate future
Futures exchange

Option markets and contracts
Options
Stock option
Box spread
Call option
Put option
Strike price
Put-call parity
The Greeks
Black-Scholes formula
Black model
Binomial options model
Implied volatility
Option time value
Moneyness
At-the-money
In-the-money
Out-of-the-money
Straddle
Option style
Vanilla option
Exotic option
Binary option
European option
Interest rate floor
Interest rate cap
Bermudan option
American option
Quanto option
Asian option
Employee stock option
Warrants
Foreign exchange option
Interest rate options
Bond options
Real options
Options on futures

Swap markets and contracts
Swap (finance)
Interest rate swap
Basis swap
Asset swap
Forex swap
Stock swap
Equity swaps
Currency swap
Variance swap

Derivative markets by underlyings
Equity derivatives
Accelerated Market Participation Securities (AMPS)
Accelerated Return Equity Securities (ARES)
Asset Return Obligation Securities (ASTROS)
Automatic Common Exchange Securities (ACES)
Basket Adjusting Structured Equity Securities (BASES)
Basket Opportunity Exchangeable Securities (BOXES)
Bifurcated Option Note Unit Securities (BONUSES)
Broad Index Guarded Equity-Linked Securities (BRIDGES)
Canadian Originated Preferred Securities (COPrS)
Closed-end fund
Commodity-Indexed Preferred Securities (ComPS)
Common-Linked Higher Income Participation Securities (CHIPS)
Common stock
Convertible Contingent Debt Securities (CODES)
Corporate-Backed Trust Securities (CorTS)
Corporate Obligation Basket Listed Trust Securities (COBALTS)
Currency Protected Notes (CPNS), (SPNS)
Currency Protected Securities (CPS)
Customized Upside Basket Securities (CUBS)
Debt Exchangeable for Common Stock (DECS)
Equity Growth Long-Term Strategy (EGLS)
Enhanced Equity-Linked Debt Securities (ELKS)
Enhanced Income Securities (EISs)
Enhanced Stock Index Growth Notes (E-SIGNS)
Equity Providing Preferred Income Convertible Securities (EPPICS)
Exchange Preferred Income Cumulative Shares (EPICS)
Exchange-traded fund (ETF)
Exchangeable Capital Units (ExCaps)
Foreign Currency Return Notes (FORENS)
Global Bond Linked Securities (GLOBELS)
Hybrid Income Securities Units (HITS)
Income Deposit Securities (IDS)
Inverse exchange-traded fund
Leading Stockmarket Return Securities (LASERS)
Leveraged Upside Indexed Accelerated Return Securities (LUNARS)
Liquid Yield Option Notes (Zero Cupon) (LYONS)
Mandatorily Exchangeable Debt Securities MEDS)
Mandatory Adjustable Redeemable Convertible Securities (MARCS)
Market Index Target Term Securities (MITTS)
Market Participation Securities (MPS)
Medium Term Equity Related Investment Securities (MERITS)
Monthly Income Debt Securities (MIDS)
Monthly Income Preferred Securities (MIPS)
Participating Index Notes (PINS)
Performance Equity-Linked Redemption Quarterly Pay Securities (PERQS)
Performance Equity-Return Linked Securities (PERKS)
Performance Leveraged Upside Securities (PLUS)
Principal Accruing Enhanced Return Securities (PACERS)
Preferred Equity Redemption Cumulative Stock (PERCS)
Preferred Income Equity Redeemable Shares (PIERS)
Preferred Redeemable Increased Dividend Equity Securities (PRIDES)
Preferred stock
Premium Equity Participating Securities (PEPS)
Premium Income Equity Securities (PIES)
Protected Exchangeable Equity-Linked Securities (PEEQS)
Protected Growth Securities (ProGroS)
Protected Performance Equity Linked Securities (PROPELS)
Public Credit & Repackaged Securities (PCARS)
Public Income Notes (PINES)
Putable Automatic Rate Reset Securities (PARRS)
Quarterly Income Capital Securities (QUICS)
Quarterly Income Debt Securities (QUIDS)
Quarterly Income Preferred Securities (QUIPS)
Quarterly Interest Bond (QUIB)
Real Estate Investment Trust (REIT)
Reset Put Securities (REPS)
Return Enhanced Convertible Securities (RECONS)
Rights
Risk Adjusting Equity Range Securities (RANGERS)
Secure Principal Energy Receipts (SPERS)
Select Equity Indexed Notes (SEQUINS)
Senior Quarterly Income Debt Securities (SQUIDS)
Shared Preference Redeemable Securities (SpuRS)
Shares of Beneficial Interest (SBI)
Step-Up Increasing Redeemable Equity Notes (SIRENS)
Step-Up REIT Securities (StREITs)
Stock Appreciation Income-Linked Securities (SAILS)
Stock market Annual Reset Term (Notes) (SMART)
Stock Participation Accreting Redemption Quarterly-pay Securities (SPARQS)
Stock Return Income Debt Securities (STRIDES)
Stock Upside Note Securities (SUNS)
Structured Asset Trust Unit Repackaging (SATURNS)
Structured Repackaged Asset-Backed Trust Securities (STRATS)
Structured Yield Product Exchangeable for Common Stock (STRYPES)
Subordinated Capital Income Securities (SKIS)
Target Return Investment Growth Securities (TRIGGERS)
Targeted Efficient Equity Securities (TEES)
Targeted Growth Enhanced Terms Securities (TARGETS)
Term Convertible Securities (TECONS)
Threshold Appreciation Price Securities (TAPS)
Trust Automatic Common Exchange Securities (TRACES)
Trust Certificate (TRUC)
Trust Investment Enhanced Return Securities (TIERS)
Trust Issued Mandatory Exchange Securities (TIMES)
Trust Originated Preferred Securities (TOPrS)
Trust Preferred Stock (TruPs)
Trust Units Exchangeable for Preference Shares (TrUEPrS)
Warrants
Warrants & Income Redeemable Equity Securities (WIRES)
Yield Enhanced Equity-Linked Debt Securities (YEELDS)
Yield Enhanced Stock (YES)

Interest rate derivatives
LIBOR
Forward rate agreement
Interest rate swap
Interest rate cap
Exotic interest rate option
Bond option
Forward rate agreement
Interest rate future
Money market instruments
Interest rate swap
Range accrual Swaps/Notes/Bonds
In-arrears Swap
Constant maturity swap (CMS) or constant treasury swap (CTS) derivatives (swaps, caps, floors)
Interest rate Swaption
Bermudan swaptions
Cross currency swaptions
Power Reverse Dual Currency note (PRDC or Turbo)
Target redemption note (TARN)
CMS steepener
Snowball
Inverse floater
Strips of Collateralized mortgage obligation
Ratchet caps and floors

Credit derivatives
Credit default swap
Collateralized debt obligation
Credit default option
Total return swap
Securitization

Foreign exchange derivatives
Foreign exchange option
Currency future
Forex swap
Foreign exchange hedge
Binary option: Foreign exchange

Valuation
Value (economics)
Fair value
Intrinsic value
"The Theory of Investment Value"

Discounted cash flow valuation
Cash flow
Operating cash flow
Time value of money
Present value
Future value
Actualization
Discounting
Bond valuation
Yield to maturity
Duration
Convexity
Equity valuation
Equivalent Annual Cost
Net present value
Discount rate
Capital Asset Pricing Model
Arbitrage pricing theory
Cost of capital
Weighted average cost of capital
Fundamental analysis
Stock valuation
Business valuation
The investment decision

Relative valuation
Dividend yield
Financial ratio
Market-based valuation
PE ratio
Relative valuation
Stock image
Stock profile

Contingent claim valuation

Corporate finance
Balance sheet analysis
Financial ratio
Business plan
Capital budgeting
Capital investment decisions
The investment decision
Business valuation
Stock valuation
Fundamental analysis
Real options
Valuation topics
Fisher separation theorem
The financing decision
Capital structure
Cost of capital
Weighted average cost of capital
Modigliani-Miller theorem
The Dividend Decision
Dividend
Dividend tax
Dividend yield
Modigliani-Miller theorem
Corporate action
Managerial finance
Management accounting
Mergers and acquisitions
leveraged buyout
takeover
corporate raid
Real options
Return on investment
Return on assets
Return on equity
Return on capital
Working capital management
cash conversion cycle
Return on capital
Economic value added
Just In Time
Economic order quantity
Discounts and allowances
Factoring (trade)

Investment management
Fund management
Active management
Efficient market hypothesis
Portfolio
Modern portfolio theory
Capital asset pricing model
Arbitrage pricing theory
Passive management
Index fund
Activist shareholder
Mutual fund
Open-end fund
Closed-end fund
List of mutual-fund families
Financial engineering
Long-Term Capital Management
Hedge fund
Hedge
Visualization of Financial Implications

Personal finance
529 plan (college savings)
Budget
Coverdell Education Savings Account (Coverdell ESAs, formerly known as Education IRAs)
Credit and debt
Credit card
Debt consolidation
Mortgage loan
Continuous-repayment mortgage
Debit card
Direct deposit
Employment contract
Commission
Employee stock option
Employee or fringe benefit
Health insurance
Paycheck
Salary
Wage
Financial literacy
Insurance
Predatory lending
Retirement plan
401(a)
401(k)
403(b)
457 plan
Keogh plan
Individual Retirement Account
Roth IRA
Traditional IRA
SEP IRA
SIMPLE IRA
Conduit IRA
Pension
Social security
Tax advantage
Wealth
Comparison of accounting software
Personal financial management
Comparison of personal financial management online tools
Investment club
Collective investment scheme
Car financing

Public finance
Central bank
Federal Reserve
Fractional-reserve banking
Deposit creation multiplier
Tax
Income tax
Payroll tax
Sales tax
Tax advantage
Tax, tariff and trade
crowding out
Industrial policy
Agricultural policy
Currency union
Monetary reform

Insurance
Actuarial science
Annuities
Catastrophe modeling
Earthquake loss
Extended coverage
Insurable interest
Insurable risk
Insurance
Health insurance
Injury cover
Disability insurance
Flexible spending account
Health savings account
Long term care insurance
Medical savings account
Life insurance
Life insurance tax shelter
Permanent life insurance
Term life insurance
Universal life insurance
Variable universal life insurance
Whole life insurance
Property insurance
Auto insurance
Boiler insurance
Earthquake insurance
Home insurance
Title insurance
Pet insurance
Casualty insurance
Business continuation insurance
Fidelity bond
Liability insurance
Personal umbrella liability policy
Commercial general liability policy
Political risk insurance
Surety bond
Terrorism insurance
Credit insurance
Reinsurance
Self insurance
Travel insurance
Insurance contract

Economics and finance
Economic growth
Financial economics
Mathematical economics
Managerial economics
Utility theory

Mathematics and finance

Time value of money
Present value
Future value
Discounting
Net present value
Internal rate of return
Annuity
Perpetuity

Financial mathematics

Mathematical tools
Probability
Probability distribution
Binomial distribution
Log-normal distribution
Poisson distribution
Expected value
Value at risk
Risk-neutral measure
Stochastic calculus
Markov process
Brownian motion
Itô's lemma
Girsanov's theorem
Radon-Nikodym derivative
Martingale representation theorem
Feynman-Kac formula
Dynkin's formula
Stochastic differential equations
Monte Carlo methods in finance
Monte Carlo methods for option pricing
Quasi-Monte Carlo methods in finance
Partial differential equations
Heat equation
Finite difference method
Volatility
ARCH model
GARCH model

Derivatives pricing
Rational pricing assumptions
Risk neutral valuation
Arbitrage free pricing
Futures
Futures contract pricing
Options (and Real options)
Black-Scholes formula
Black model
Binomial options model
Monte Carlo methods for option pricing
The Greeks
Volatility
Implied volatility
Historical volatility
Volatility smile
Volatility surface
SABR Volatility Model
Swaps
Swap Valuation
Interest rate derivatives
Short-rate models (used in pricing bond options, swaptions and other interest rate derivatives)
Rendleman-Bartter model
Vasicek model
Ho-Lee model
Hull-White model
Cox-Ingersoll-Ross model
Black-Karasinski model
Black-Derman-Toy model
Longstaff-Schwartz model
Chen model

Constraint finance
Creditary economics
Environmental finance
Feminist economics
Green economics
Islamic economics
Uneconomic growth
Value of Earth
Value of life

Virtual finance

Virtual finance

The history of finance

Tulip mania 1620s/1630s
South Sea Bubble & Mississipi Company 1710s; see also Stock market bubble
Panic of 1837
Railway mania 1840s
Erie War 1860s
Long Depression 1873 to 1896
Post-WWI hyperinflation; see Hyperinflation and Inflation in the Weimar Republic
Wall Street Crash 1929
Great Depression 1930s
Oil Shock 1973
1979 energy crisis
Notable Bankrupts
Savings and Loan Crisis 1980s
Black Monday 1987
Asian financial crisis 1990s
Dot-com bubble 1995-2001
Stock market downturn of 2002
United States housing bubble 2001-


Financial software tools

Straight Through Processing Software
Technical Analysis Software
Algorithmic trading
List of numerical analysis software
Comparison of numerical analysis software

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Credit insurance

Credit insurance is a term used to describe both trade credit insurance and credit life insurance.
Credit life insurance is a consumer purchase, often sold with a big ticket purchase such as an automobile. The insurance will pay off the loan balance in the event of the death or the disability of the borrower. Although purchased by the consumer/borrower, the benefit payment goes to the company financing the purchase to satisfy a debt.
Credit insurance or trade credit insurance (also known as business credit insurance) is an insurance policy and risk management product that covers the payment risk resulting from the delivery of goods or services. Credit insurance usually covers a portfolio of buyers and pays an agreed percentage of an invoice or receivable that remains unpaid as a result of protracted default, insolvency or bankruptcy. Trade credit insurance is purchased by business entities to insure their accounts receivable from loss due to the insolvency of the debtors. This product is not available to private individuals.
The costs (called a "premium") for this are usually charged monthly, and are calculated as a percentage of sales of that month or as a percentage of all outstanding receivables.
Credit insurance insures the payment risk of companies, not of private individuals. Policy holders require a credit limit on each of their buyers for the sales to that buyer to be insured. The premium rate is usually low and reflects the average credit risk of the insured portfolio of buyers.
In addition, credit insurance can also cover single transactions or trade with only one buyer.
History
Credit Insurance was born at the end of nineteenth century, but it was mostly developed in Western Europe between the first and Second World Wars. Several companies were founded in every country, some of them also managed the political risk to export on behalf of their State.
Over the '90s, a concentration of the trade credit insurance market took place and three groups now account for over 85% of the global credit insurance market. These main players focused on Western Europe, but rapidly expanded towards Eastern Europe, Asia and the Americas.:
• Atradius. A merger between NCM and Gerling Kreditversicherung. Later renamed Atradius after it was demerged from the Gerling insurance group.
• Coface. Formerly a French government sponsored institution established in 1946, this company is now part of the Natixis group.
• Euler Hermes, merger of the two credit insurance companies of the Allianz Group.
Notable credit insurance providers include
• Atradius
• Coface (France)
• Euler Hermes (Germany)
Brokerage service providers
Credit insurance is said to be a broker driven business.[citation needed] Brokers mainly help in creating market competition between different insurers for better premium pricing and policy wordings for policy holders. Brokers also help policy holders to comply with the policy wordings in order to ensure smooth claiming process, if any.

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Mortgage insurance

Mortgage insurance is an insurance policy which compensates lenders or investors for losses due to the default of a mortgage loan. Mortgage insurance can be either public or private depending upon the insurer. The policy is also known as a mortgage indemnity guarantee (MIG), particularly in the UK.
For example, Mr. Smith decides to purchase a house which costs $150,000. He pays 10% in $15,000 downpayment and takes out a $135,000 mortgage. Lenders will often require mortgage insurance for mortgage loans which exceed 80% (the typical cut-off) of the property's sale price. Because of his limited equity, the lender requires that Mr. Smith pay for mortgage insurance that protects the lender against his default. The lender then requires the mortgage insurer to provide insurance coverage at, for example, 25% of the 135,000, or $33,750, leaving the lender with an exposure of $101,250. The mortgage insurer will charge a premium for this coverage, which may be paid by either the borrower or the lender. If the borrower defaults and the property is sold at a loss, the insurer will cover the first $33,750 of losses. Coverages offered by mortgage insurers can vary from 20% to 50% and higher.
To obtain public mortgage insurance from the Federal Housing Administration, Mr. Smith must pay a mortgage insurance premium (MIP) equal to 1.5 percent of the loan amount at closing. This premium is normally financed by the lender and paid to FHA on the borrower's behalf. Depending on the loan-to-value ratio, there may be a monthly premium as well.
Private mortgage insurance
Private mortgage insurance is typically required when down payments are below 20%. Rates can range from 1.5% to 6% of the principal of the loan based upon loan factors such as the percent of the loan insured, loan-to-value (LTV), fixed or variable, and credit score. The rates may be paid annually, monthly, or in some combination of the two (split premiums). In the U.S., payments by the borrower are tax-deductible until 2010.
Borrower-Paid Private Mortgage Insurance (BPMI or "Traditional Mortgage Insurance")
is a default insurance on mortgage loans provided by private insurance companies and paid for by borrowers. BPMI allows borrowers to obtain a mortgage without having to provide 20% down payment, by covering the lender for the added risk of a high loan-to-value (LTV) mortgage. The US Homeowners Protection Act of 1998 requires PMI to be canceled when the amount owed reaches a certain level, particularly when the loan balance is 78 percent of the home's purchase price. Often, BPMI can be cancelled earlier by submitting a new appraisal showing that the loan balance is less than 80% of the home's value due to appreciation (this generally requires two years of on-time payments first).
Lender-Paid Private Mortgage Insurance (LPMI)
Similar to BPMI, except that it is paid for by the lender, and the borrower is often unaware of its existence. LPMI is usually a feature of loans that claim not to require Mortgage Insurance for high LTV loans. The cost of the premium is built into the interest rate charged on the loan.

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