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Q: please define a "cushion bond"
Category: glossary
, Asked by: A. R. From United Kingdom
A: the "cushion bond " is A type of callable bond that sells at a premium because the issued coupon payments are above market interest rates.
Mostly chosen by investors interested in generating high income conservatively. As interest rates rise, the cushion bond depreciates less than regular bonds, since it already pays a premium. On the other hand, as interest rates fall, the cushion bond's value appreciates less due to the risk of the company calling the bond.
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Q: please define "price swap derivative"
Category: glossary
, Asked by: Z. S. From Austria
A: the "price swap derivative " is An obligation made by one company to secure the declining value of another company's assets through the commitment of shares.
Made famous by Enron, this method of backing a company's declining assets helps to inflate the value of a troubled company by hiding losses. Furthermore, due to the volatile nature of the stock market, devaluations in price of the securing company directly relates to a commitment of more shares and thus a dilution occurs.
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Q: Which forex site offers fast installation interface, in your opinion?
Category: technical
, Asked by: W. Moore from Waco, United States
A: If you're looking for a forex site with a fast installation download, we absolutely recommend you to try "EToro USA". Downloading and installing the system's interface is no sweat - the communication is flowing, it never breaks off even once while you're downloading, and it's no trouble to understand and start playing.
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Q: Do you know a foreign exchange platform that has cautious supervising certifications that you can recommend for me?
Category: technical
, Asked by: A. Molina from United Kingdom
A: We think the best place for your purpose is "EToro USA". Regulated and certificated by NFA it is definitely counted amongst the more safe and secure sites around.
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Q: please tell me what a "two-way price" is
Category: glossary
, Asked by: F. X. From Canada
A: When both a bid and offer rate is quoted for a FX transaction.
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Q: please tell me what an "introducing broker" is
Category: glossary
, Asked by: Jesse T. From Cary, United States
A: A person or corporate entity which introduces accounts to FOREX.com for a fee.
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Q: do you know what the "toll revenue bond" is?
Category: glossary
, Asked by: F. T. From Ireland
A: a "toll revenue bond " is A type of municipal bond used to build a public project such as a bridge, tunnel or expressway. The principal and interest repayments are supplied by revenues from tolls paid by users of the public project in question.
The main reason municipalities use these revenue bonds is because the bonds allow them to avoid reaching legislated debt limits.
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Q: please tell me what the "marginal cost of production" is
Category: glossary
, Asked by: T. Hendrix from Dublin, Ireland
A: a "marginal cost of production " is The change in total cost that comes from making or producing one additional item. The purpose of analyzing marginal cost is to determine at what point an organization can achieve economies of scale. The calculation is most often used among manufacturers as a means of isolating an optimum production level.
Manufacturing concerns often examine the cost of adding one more unit to their production schedules. This is because at some point, the benefit of producing one additional unit and generating revenue from that item will bring the overall cost of producing the product line down. The key to optimizing manufacturing costs is to find that point or level as quickly as possible.
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Q: Will you give me a recommendation of a site that has not that big commission charges
Category: money
, Asked by: E. A. From Ireland
A: If you seek a site with the smallest commission, we definitely suggest you to visit "AVA FX". They don't charge any commission in this place, the minimum deposit is also really law - only $100, the customer service is classy, plus the graphics are absolutely modern.
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Q: Are you familiar with a foreign exchange web trading site that's famous for its reliable certificate source that you can refer me to?
Category: technical
, Asked by: V. L. From France
A: "Global Forex Trading (GFT)" is definitely the one to consider if you want a foreign exchange web trading site that has cautious certificates and regulations. Regulated and certificated by ASIC (Australia), NFA (USA), and FSA (Japan) it's one of the safest sites online.