Remember ON the 7
Terms in this set (21)
Premium - intrinsic value
the value by which option is in the money
ex-dates for closed-end funds (T- 1) are determined by:
the exchanges on which they trade
Is margin trading in a fiduciary account okay or nah?
Trading on margin is prohibited in fiduciary accounts except with the appropriate documentation
An inverted yield curve is the result of:
investors buying long-term bonds and selling short-term bonds. Where short-term yields are then higher than long-term yields
States and debt overlap
State debt cannot overlap with any other municipal entity.
annual income / current market price X 100
Rulings under the Code of Arbitration Procedure
bound by the arbitration decision, not subject to appeal by either party.
The writer of an in-the-money put will receive the upcoming dividend from the underlying issuer if the contract is exercised
Put writer = obligated to purchase the stock. Provided the stock is purchased before the ex-date, its buyer becomes the owner of record on or before the record date, and is therefore entitled to the dividend.
Purchase or redemption of mutual fund shares occurs at the net asset value next calculated after the fund receives the order
Section 8 bonds
-Public Housing Authority bonds & New Housing Authority bonds
-backed by rental income.
-Essentially, these are revenue bonds backed by the U.S. government / AAA-rated.
A workable indication for a block of municipal bonds
DPP and tax shelter?
Oil and gas drilling programs pass through IDCs (intangible drillings costs), which the partners may use to reduce passive income.
available for claims of $50,000 or less. The statute of limitations for filing a claim is 6 years from the event giving rise to the claim.
Breakeven on a long put is the:
strike price less the premium.
the symbol "ss" on the consolidated tape.
used to identify stocks traded in 10-share units.
immediate-or-cancel order (IOC):
firm handling the order has one attempt to fill the order but a partial execution is binding on the customer.
municipal bond underwriting spread that remains after the syndicate manager subtracts the management fee is:
total takedown (= additional takedown + concession)
order protection rule
under the broad sweeping regulation NMS (National Market System) mandates that firms holding customer limit orders do not trade through or ahead of those limits with other customer orders or with the firm's own proprietary orders.
The locate requirement is applicable to...
all short sales.
a long coupon
after the first payment, subsequent payments will be made every 6 months.