Found:  15 Items

Ladder Portfolio

A portfolio of bonds that mature in equal amounts over a specific period of time.

Leading Economic Indicators

Economic series that tend to rise or fall in advance of the rest of the economy.

Leverage

Increasing the return on an investment through borrowing or special contract terms. Using borrowed funds to maximize the rate of return on investment.

Leveraged Portfolio

A portfolio that includes risky assets purchased with funds borrowed.

Liability Swap

An interest rate swap used to alter the cash flow characteristics of an institution's liabilities so as to provide a better match with its assets.

Limit Order

An order to buy a security at or below the current market price, or to sell it above or at the current market price.

Liquid (Asset)

Assets easily convertible to cash with little impact on price.

Liquid Market

A market allowing the buying or selling of large quantities of an asset at any time and at low transactions costs.

Liquidation

Upon a brokerage client's failure to meet a margin call, the closing of positions within the account. If the position is long, the security is sold. If the position is short, the security is bought. Also, the dissolution of a company in which its assets are sold to pay its debts. Any remaining cash is distributed to its shareholders.

Liquidity

Refers to the ease with which investments can be converted to cash at their present market value. Additionally, liquidity is a condition of an investment that shows how greatly the investment price is affected by trading. An investment that is highly liquid is composed of enough units (such as shares) that many transactions can take place without greatly affecting the market price. High liquidity is associated with a high number of buyers and sellers trading investments at a high volume.

Listed Investments

Investments which have an official listing on one of the world's recognised stock markets.

Listed Option

A call or put option that has been authorized for trading on, and by, a registered exchange. Also known as an "exchange-traded option".

Listed Security

A stock or bond that has been authorized for trading on, and by, a registered exchange. Each stock exchange has different criteria to determine a security's eligibility for listing.

Loan Stock

This pays holders a fixed rate of interest and is repayable on or by a given date. Loan stocks are usually unsecured (see Debenture Stock).

London International Financial Futures and Options Exchange

The marketplace for Futures and Options.