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Forward discount |
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Forward discountOpposite of forward premium.Forward discountA currency trades at a forward discount when its forward price is lower than its spot price.Forward discount Similar MatchesDiscount periodDiscount periodThe period during which a customer can deduct the discount from the net amount of the bill when making payment. DiscountDiscount1. Any reduction in price or value, especially when below a stated or normal price. 2. To buy or sell commercial paper at a price below face value to account for interest to accrue before maturity. Accrued market discountAccrued market discountThe rise in the market value of a discount bond as it approaches maturity (when it is redeemable at par) and not because of falling market interest rates. Bond discountBond discountThe difference between a bond's face value and the lower market price.If the market price is higher than the face value, the difference is known as the bond premium.When interest rates rise, it is usual for bond prices to fall and when interest rates fall it is usual for bond prices to increase. Dividend Discount ReturnDividend Discount ReturnThe rate of return which equates the present value of future expected dividends with the current market price of a security. Further SuggestionsDiscounted cash flow (DCF)Discount Arbitrage deep discount Accretion (of a discount) Discount payment Risk adjusted discount rate Discount factor Average discount rate Discounted in or by market Straight Discount discount rate Discounted payback Discount yield Dividend Discount Model (DDM) Volume discount Stepped discount mortgage discount yield discounted cashflow Discount Interest Discounted payback period rule Documented discount notes Discounting Unamortized bond discount Rediscount Original Issue Discount securities (OIDS) |
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