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Banking

Borrowing Costs

The costs that arise from borrowing money from others to finance construction or purchase of assets. This includes interest payments,...

Bear Hug

A very attractive buyout offer that is presented by a potential acquirer to the stockholders of an acquisition target, so...

Bearer Bond

A bond which pays coupons or periodical interest payment to the owner. Originally, it has detachable coupons, where the owner,...

Bond-Over-Stock Warrant

An outperformance warrant in which the payout is determined based on the performance of a bond index minus the return...

Bond Value of a Convertible

The value of a convertible bond (CB) without its conversion feature, i.e., only as a straight bond. The bond value...

Balanced Convertible

A convertible whose price is influenced by movements in both interest rates and share prices. Broadly speaking, a noncallable bond...

B&B

It stands for bed and breakfast; the functional, but not necessarily the economic, equivalent of an overnight repurchase agreement (repo)....

Bed and Breakfast

The functional, but not necessarily the economic, equivalent of an overnight repurchase agreement (repo). Banks and financial institutions usually sell...

Busted Convertible

A convertible bond (CB) whose value is pulled down by a declining stock (its potential equity participation). In other words,...

Bowie Bond

A royalties-backed (future-cash-flow-backed) bond that was issued by rock star David Bowie on his albums (e.g. The Rise and Fall...