Exam 1 Keyword List

1.                  topics are included in a broad-based study of finance

2.                  Bankers' acceptances

3.                  bid price

4.                  bond issue

5.                  Brokerage houses

6.                  Business cycles

7.                  Capital markets

8.                  certainty equivalent

9.                  Closed‑end funds

10.              Collateral

11.              commercial banks

12.              commercial paper

13.              Corporate bonds

14.              Corporate finance

15.              Credit Unions

16.              debenture

17.              default risk

18.              default risk premium

19.              depository institutions

20.              Derive prices

21.              difference between brokers and dealers

22.              expected rate of inflation

23.              F.D.I.C.

24.              federal funds rate

25.              Federal funds

26.              Federal Home Loan Bank Board

27.              Federal Reserve

28.              Federal Savings and Loan Insurance Corporation

29.              Finance companies

30.              financial markets

31.              FIRREA of 1989

32.              functions performed by securities markets

33.              Garn‑St.Germain Act of 1932

34.              Glass‑Steagall Act of 1933

35.              indenture

36.              Investment banks

37.              Investments

38.              level of interest rates

39.              limit order

40.              liquid investment

41.              liquidity

42.              Long‑term bonds

43.              Managers of corporations should act in ways that market interest rates


44.              market order

45.              maturity risk premiums

46.              Money market mutual funds

47.              Money markets

48.              Mortgage bonds

49.              Mutual Savings banks

50.              NASDAQ

51.              National Banking Act of 1863

52.              negotiable certificates of deposit (NCD)

53.              New York Stock Exchange

54.              nominal interest rate

55.              Pawnshops

56.              property insurance industry

57.              real interest rate

58.              Regulation Q

59.              relationship between risk and return in finance

60.              Resolution Trust Corporation

61.              Revenue bonds

62.              risk‑neutral

63.              riskiness of the borrower

64.              Savings and Loan institutions

65.              secondary market

66.              Securities that mature in less than one year

67.              shareholder wealth

68.              shareholders

69.              short‑term bonds

70.              Sinking funds

71.              thrift institution

72.              Treasury bills

73.              typical life cycle

74.              uninsured deposits

75.              United States Treasury Department

76.              Variable rate bonds

77.              yield curve