| Face
Value |
The
value of a bond that appears on the face of the bond, unless the
value is otherwise specified by the issuing company. Face value is
ordinarily the amount the issuing company promises to pay at maturity.
Face value is not an indication of market value. Sometimes referred
to as par value. (see Par) |
| Fair
Market Price |
A
reasonable price for securities based on supply and demand. |
| Financial
Futures |
Futures
contracts based on financial instruments such as U.S. Treasury bonds,
CDs and other interest-sensitive issues, currencies and stock market
indicators. (see Futures, Stock
Index Futures) |
Fiscal
Periods
(Nasdaq) |
Because
not all companies have the same fiscal year end, Nasdaq in cooperation
with I/B/E/S, uses FY1, FY2, etc., to identify unique fiscal periods
for forecast data. For comparison purposes, I/B/E/S rounds off the
quarter end dates to the nearest month end.
The
following is a description of how this labeling works:
FY
= fiscal year
Q = quarter
SAN = semiannual
The
most recently reported earnings number is denoted with a zero
(0). Then, the first estimate year is denoted with a one (1),
the year after that, a two (2), and so on. So, as an example,
if FY0 corresponds to the December 96 year end reported, then
FY1 data refers to estimates for December 97, FY2 refers to estimates
for the December 98 year end, and so on. The same conventions
are used for interim periods (quarter and semiannual).
|
| Fiscal
Year |
A
corporation's accounting year. Due to the nature of that particular
business, some companies do not use the calendar year for their bookkeeping. |
| Fixed
Charges |
A
company's fixed expenses, such as bond interest, which it has agreed
to pay whether or not earned, and which are deducted from income
before earnings in equity capital are computed. |
| Flat
Income Bond |
This
term means that the price at which a bond is traded includes consideration
for all unpaid accruals of interest. Bonds that are in default of
interest or principal are traded flat. Income bonds that pay interest
only to the extent earned are usually dealt in "and interest," which
means that the buyer pays to the seller the market price plus interest
accrued since the last payment date. |
| Float |
This
is the number of freely traded shares in the hands of the public.
Float is calculated as Shares Outstanding minus Shares Owned by Insiders,
5% Owners, and SEC Rule 144 Shares. (see Shares
Outstanding) |
| Floor |
The
trading area where stocks are bought and sold. Also, a term used
by some Analysts to describe the lower 'support' level with-in a
securities price valuation. |
| Floor
Brokers |
There
are two main types: Commission brokers, employed by brokerage houses,
buy and sell securities on the floor for the general public. Independent
floor brokers work for themselves. They execute orders for brokerages
without full-time commission brokers or for overly busy brokers. |
| Footnotes |
Footnotes
for Nasdaq traded Funds:
| A |
To
be used if the fund's return to shareholders may differ due
to capital gains or losses. This footnote applied to money
market funds only. |
| B |
To
be used if there are any sales charges or account charges which
impact yield. This footnote applies to money market funds only. |
| C |
Return
of Capital information is being submitted for the year in the
Capital Gains Distribution field. |
| D |
To
be used on any day that a mutual fund's net asset value is
reduced by a capital gains distribution. |
| F |
To
be used by any type of fund that reports quotations as of the
day prior to the day of reporting. |
| G |
To
be used if the fund's capital gains figure includes short term
gains. |
| N |
To
be used by mutual funds when the fund does not have a sales
load, i.e. there is no front-end and no contingent deferred
sales load. |
| P |
To
be used by mutual funds if the fund has adopted a rule 12(b)1
distribution plan under which a specific charge is made against
the net assets of the fund. |
| R |
To
be used by mutual funds with redemption fees, contingent deferred
sales charges, or other charges deducted from net asset value
upon redemption (other than charges for special services such
as wire transfer). |
| S |
To
be used on the ex-date for stock splits or stock dividends. |
| T |
To
be used if the fund began reporting prices during the current
year. |
| X |
To
be used by mutual funds on any day a fund goes ex-dividend. |
|
| Formula
Investing |
An
investment technique. One formula calls for the shifting of funds
from common shares to preferred shares or bonds as a selected market
indicator rises above a certain predetermined point - and the return
of funds to common share investments as the market average declines.
(see Dollar Cost Averaging) |
| Free
and Open Market |
A
market in which supply and demand are freely expressed in terms of
price. Contrasts with a controlled market in which supply, demand
and price may all be regulated. |
| Fundamental
Research |
Analysis
of industries and companies based on such factors as sales, assets,
earnings, products or services, markets and management. As applied
to the economy, fundamental research includes consideration of gross
national product, interest rates, unemployment, inventories, savings,
etc. (see Technical
Research) |
| Futures |
A
contract specifying a future date of delivery or receipt of a certain
amount of a specific tangible or intangible product. The commodities
traded in futures markets include stock index futures; agricultural
products like wheat, soybeans and pork bellies; metals; and financial
instruments. Futures are used by business as a hedge against unfavourable
price changes and by speculators who hope to profit from such changes. |
