Definition Of

Bollinger Bands

Bollinger Bands means plus or minus two standard deviations where the standard deviations are calculated historically in a moving window estimation. Hence, the bands will widen if the most recent data is more volatile. If the prices break out of the band, this is considered a

Bond covenant

Bond covenant is a contractual provision in a bond indenture. A positive covenant requires certain actions, and a negative covenant

Bond discount

Bond discount is the difference by which a bond's market price is lower than its face value. The antithesis of a bond premium, which prevails when the market price of a

Bond fund

Bond fund is a mutual fund that emphasizes income—consistent with risk, rather than growth—by investing in corporate, municipal, or US government debt obligations,

Bond of Indemnity

Bond of Indemnity is an insurance policy that indemnifies the corporation, the shareholder and the Transfer Agent against any and all claims arising from the replacement by the Transfer Agent of

Bond points

Bond points are a conventional unit of measure for bond prices set at $1 and equivalent to 1% of the $100 face value of the bond. A price of

Bond rating

Bond rating is a rating based on the possibility of default by a bond issuer. The ratings range from AAA (highly unlikely to default) to D (in

Bond ratio

Bond ratio is the percentage of a company's capitalization represented by bonds. The ratio is calculated by dividing the total bonds due after one year by that

Bond swap

Bond swap is the sale of one bond issue and purchase of another bond


Bondholder is the firm often has stockholders and bondholders. In a liquidation, the