Common Ground Taxonomy and Discount: Difference between pages
From ACT Wiki
(Difference between pages)
imported>Doug Williamson (Create page - source - IPSF - https://ec.europa.eu/info/business-economy-euro/banking-and-finance/sustainable-finance/international-platform-sustainable-finance_en) |
imported>Doug Williamson (Layout.) |
||
Line 1: | Line 1: | ||
'' | # ''Noun.'' In relation to a discount instrument, the difference between the current market price and the redemption amount. | ||
# A coupon bond trading in the market ''at a discount'' has a market value less than its par value. | |||
( | # A foreign currency trading ''at a discount'' in the forward foreign exchange market is weaker in the forward market than in the spot market. | ||
# ''Verb.'' In relation to a money amount, make smaller. For example, to discount back a future cashflow to a (smaller) present value. | |||
# ''Verb.'' In relation to financial instruments, to exchange an instrument with a future maturity date, for a 'discounted' market value today. Today's market value being smaller than the redemption amount (receivable at maturity) by the amount of the discount. | |||
== See also == | == See also == | ||
* [[ | * [[Coupon bond]] | ||
* [[Discount instruments]] | |||
* [[ | * [[Discount rate]] | ||
* [[ | * [[Premium]] | ||
* [[ | * [[Spot market]] | ||
* [[ | |||
Revision as of 21:45, 30 April 2016
- Noun. In relation to a discount instrument, the difference between the current market price and the redemption amount.
- A coupon bond trading in the market at a discount has a market value less than its par value.
- A foreign currency trading at a discount in the forward foreign exchange market is weaker in the forward market than in the spot market.
- Verb. In relation to a money amount, make smaller. For example, to discount back a future cashflow to a (smaller) present value.
- Verb. In relation to financial instruments, to exchange an instrument with a future maturity date, for a 'discounted' market value today. Today's market value being smaller than the redemption amount (receivable at maturity) by the amount of the discount.