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Under the belt |
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Under the beltLong position in a stock.Under the belt Similar MatchesUnderlying futures contractUnderlying futures contractA futures contract that supports an option on that future, which is executed if the option is exercised . Price undertakingPrice undertakingA commitment by an exporting firm to to raise its price in an importing-country market, as a means of settling an anti-dumping suit and preventing an anti-dumping duty. Undervalued securityUndervalued securityA security selling below its market value or liquidation value. UnderwriterUnderwriterA financial institution which, in return for a fee or commission, agrees to purchase unsold shares in a new issue, if the issue is not fully subscribed.From the company's point of view, having its new issue underwritten is a form of insurance. It means that if it has priced an issue too high and the market shuns it, the company can still be sure that it will get money from the new issue.Of course, security comes at a price. Underwriters charge a fee for the back-up they provide. If the new issue is very popular, it will pocket that fee and make a handsome profit. Occasionally, they get badly burned. New issues underwritten immediately before the 1987 stock market crash lost a lot of money.Sometimes companies do a rights issue at a deep discount to reduce the underwriting fees. Underlying debtUnderlying debtMunicipal bonds issued by government entities but under the control of larger government entities and for which the larger entity shares the credit responsibility. Further SuggestionsUnderdeveloped countryUnderwriting fee Underwithholding Underwriters discount Firm commitment underwriting Underbooked Underwriting income Underwriting Commission Managing underwriter underlying instrument Underwriting syndicate Popunder Underwriting agreement Underpricing Undertakings for Collective Investment in Tradable Securities Single undertaking Underbanked Launder Underlying Financing Lead underwriter Undermargined account laundering Underperform Underwriting spread Underwritten offering |
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