B-School
What is 'B-School' Abbreviation of business school, an educational institution that focuses on teaching business-related courses. While business schools may offer courses ranging from undergraduate degrees to postdoctoral programs, their prime offering is the Master of Business Administration (MBA) program. Top-tier business schools are usually renowned for the high quality of their graduates, many of whom climb...
E-Micro Forex Futures
What is 'E-Micro Forex Futures' Currency futures contracts traded on CME Globex that are one-tenth the size of standard Forex futures. Currency futures are exchange-traded futures contracts that have currency exchange rates as the underlying commodity. There are standard and E-micro contracts to suit a variety of traders' needs, accounts and risk tolerances. Explaining 'E-Micro...
Z-Share
What is 'Z-Share' A class of mutual fund shares that employees of the fund's management company are allowed to own. Employees may have the option of buying Z-shares or receiving them as a part of compensation or a reward package. Explaining 'Z-Share' While Z-class shares would be sold at the current net asset value,...
CAGR – Compound Annual Growth Rate
The Compound Annual Growth Rate (CAGR) is a financial term that measures the annual rate of growth of an asset over a given time period. Calculating annual rate of growth reduces the impact of volatility of the asset. This is especially useful in comparing growth of different types of assets. Following formula is used to calculate the CAGR of...
Zacks Investment Research
What is 'Zacks Investment Research' A company, founded in 1977, dedicated to providing professional investors with the financial data and analysis needed to make better speculative decisions for themselves and their clients. Zacks is probably known best for providing an extensive array of consensus earnings-per-share (EPS) estimates. However, the company also offers research reports,...
Gadfly
What is 'Gadfly' Gadfly is a term for an investor who attends the annual shareholders meeting to criticize the corporation's executives. Named after small insects that bite and annoy livestock, the gadfly looks to irritate a corporation's management until it acts or compromises on shareholder concerns. A gadfly addresses many issues for the shareholders, often raising questions...
Z-Bond
What is 'Z-Bond' The final tranche in a series of mortgage-backed securities that is the last one to receive payment. Used in some collateralized mortgage obligations (CMO), Z-bonds pay no coupon payments while principal is being paid on earlier bonds. Interest that would have been paid on Z-bonds is used instead to pay down principal more rapidly...
Naked Position
What is 'Naked Position' A securities position that is not hedged from market risk. Both the potential gain and the potential risk are greater when a position is naked instead of covered (a covered position is hedged from market risk). Explaining 'Naked Position' If an investor simply holds 500 shares of Ford, he or she...
Wachovia Hybrid and Preferred Securities (WHPPSM) Indicies
What is 'Wachovia Hybrid and Preferred Securities (WHPPSM) Indicies' Market capitalization weighted indicies designed by Wachovia to measure the performance of the U.S. preferred shares in addition to five other specialized indecies. The Wachovia Hybrid and Preferred Securities (WHPS) Aggregate Index consist of preferred securities representing in excess of $100 billion in total market value. The specialized...
Macro Accounting
What is 'Macro Accounting' Accounting for the total or aggregate economic activities of a nation. Macro accounting forms the basis for the official statistics that summarize a nation's economic development and performance, and looks at the whole economic picture rather than focusing on individuals or single companies. Also known as "national accounting. Explaining...