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Equivalent annual benefit |
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Equivalent annual benefitThe annual annuity with the same value as the net present value of an investment project.Equivalent annual benefit Similar MatchesAnnual equivalent rateAnnual equivalent rateA figure quoted in loan advertisements to help people make compare one product with another. It indicates what the rate would be if interest was paid just once a year. Certainty Equivalent ReturnCertainty Equivalent ReturnThe certain (zero risk) return an investor would trade for a given (larger) return with an associated risk. For example, a particular investor might trade an uncertain expected 4% active return with 6% risk, for a certain active return of 1.5%. Tax equivalent yieldTax equivalent yieldThe pre-tax yield required from a taxable bond in order to equal the tax-free yield of a municipal bond. Equivalent strategyEquivalent strategyAn options strategy which has the same risk-reward profile as another strategy. For example, a long May 60-65 call vertical spread is equivalent to a short May 60-65 put vertical spread. Common stock equivalentCommon stock equivalentA convertible security that is traded like an equity issue because the optioned common stock is trading at a high price. Further Suggestionsequivalent pension benefitEquivalent quota Corporate taxable equivalent Coupon equivalent yield Equivalent tariff Tariff equivalent cash and equivalents Equivalent annual annuity Certainty equivalent Equivalent variation Corporate equivalent yield Producer subsidy equivalent Equivalent annual cost Bond equivalent yield Coupon equivalent rate Equivalent bond yield Ad valorem equivalent Equivalent loan Bond equivalent basis |
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