Category: Z

Account used by a company handling very large endorsements.

Method of preparing cash flow budgets and operating plans which start from zero at the beginning of each year.

A spread with the long position in cap or call and the short on the floor or put. This also occurs vice versa. Refer to collar.

Strategy of trading where one option purchased is equal to one option sold.

The probability of bankruptcy. It is based on five financial ratios.

A discounted bond that is traded and pays no coupon interest during its life. The difference between par value and discount value generates profit.

an early mortality table which showed the actual mortality experienced by those insured by major insurers between 1925 and 1934.

Zero coupon bond that can be converted to common stock at a set price or if government issued into a bond bearing interest.

Way of analyzing an assets swap.

A convertible bond that is discounted and exchanged into stock. While it is a bond it acquires interest.