FINASTRA

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Across
  1. 2. It is a measure of volatility or systematic risk, of security/ portfolio in comparison to the market. It is used in the capital asset pricing model to calculate the expected return of an asset
  2. 4. The yield is the income return on an investment, such as the interest or dividends received from holding a particular security.
  3. 5. Loss in the value of assets due to obsolescence or new technology
  4. 7. Discounting is the process of determining the present value of a payment or a stream of payments that is to be received in the future.
  5. 8. A long term security yielding a fixed rate of interest
  6. 11. A debt instrument in which an investor loans money to an entity for a defined period at a fixed or variable interest rate
  7. 12. Fixed sum of money paid to someone each year
Down
  1. 1. Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount.
  2. 3. A security with a price that is dependent upon or derived from underlying asset(s). The derivative is a contract between two or more parties based upon the asset(s). It includes commodities, currencies, etc.
  3. 6. Rate at which the central bank lends to the commercial banks
  4. 9. Receiving something of value in exchange for an obligation to pay back
  5. 10. With this method, assets are measured at their gross book value rather than at net book value to produce a higher return on equity (ROE). It is also known as DuPont identity