general Finance jargan

liability

what is owed

ETFs

exchange-traded funds
It is a single investment fund that holds a large group of assets—like stocks, bonds, or commodities. You can buy and sell shares of an ETF on a stock market just like you buy a regular company stock

How ETFs Work

• Basket of assets: One share gives you a small piece of many different investments at the same time.

• Trade like stock: Prices go up and down all day long while the market is open.

• Track an index: Most ETFs copy a market index like the S&P 500. [1, 2, 3]

residual claim

is the right to access what is left of a company's income or assets after all fixed and prior obligations—such as wages, taxes, supplier bills, and debt interest—are fully paid

OTC

over the counter trade as opposed to trading through a stock exchange

physical delivery of bond

basis points

one basis point = 1%