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Negative covenant |
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Negative covenantA bond covenant that limits or prohibits certain actions unless the bondholders agree.Negative covenant Similar MatchesNegative yield curveNegative yield curveWhen the yield on a short-term security is higher than the yield on a long-term security, partially because high interest rates are creating a greater demand for short-term borrowing. Negative convexityNegative convexityA bond characteristic such that the price appreciation will be less than the price depreciation for a large change in yield of a given number of basis points. For example, a fixed-rate mortgage may lose value as rates go down because of prepayments. Negative cash flowNegative cash flowOccurs when spending in a business is greater than earnings. Negative durationNegative durationOccurs when the price of an MBS moves in the same direction as interest rates. N Negative AmortizationN Negative AmortizationA condition created when a loan payment is less than interest alone. Even though payments are made on time, the amount owing increases. Further SuggestionsNegative amortizationNegative NPV tie in project negative equity Negative pledge clause Negative income tax Negative working capital Negative list Negative externality |
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