(FINANCE) when a corporation "goes public"; the first sale of stock by a corporation. All sales of stock or bonds on the stock market require the services of an underwriter, or investment bank. Outside of the USA and China, it is common for regular banks to offer underwriting for corporations.
Incorporation is a legal status that allows (but by no means requires) a firm to issue stock. Moreover, once a corporation lists stock, it does not necessarily do so on a major exchange. Some corporations areclosely held, which means they have a small number of shareholders who are mostly affiliated with management; other corporations are "private," which means they have no stock issues at all, and control/shares of profits are determined contractually.
Some corporations have issues of stock, and that stock is traded, but it is not listed. Instead, it is traded on the "pink pages." Such companies are usually in a bad way, but not necessarily.
An IPO is the first issue of stock by a corporation THAT DOESN'T ALREADY have a listed stock. If a company is "taken private" (i.e., bought out by a PE fund and de-listed) then it can have another IPO (or "sponsored IPO"). Most likely, however, if a listed company will need to raise money on the stock market, it will have a "follow-on offering."
Incorporation is a legal status that allows (but by no means requires) a firm to issue stock. Moreover, once a corporation lists stock, it does not necessarily do so on a major exchange. Some corporations areclosely held, which means they have a small number of shareholders who are mostly affiliated with management; other corporations are "private," which means they have no stock issues at all, and control/shares of profits are determined contractually.
Some corporations have issues of stock, and that stock is traded, but it is not listed. Instead, it is traded on the "pink pages." Such companies are usually in a bad way, but not necessarily.
An IPO is the first issue of stock by a corporation THAT DOESN'T ALREADY have a listed stock. If a company is "taken private" (i.e., bought out by a PE fund and de-listed) then it can have another IPO (or "sponsored IPO"). Most likely, however, if a listed company will need to raise money on the stock market, it will have a "follow-on offering."
A fantasy of many entrepreneurs is "going public" with a big initial public offering, and retiring to a beachfront mansion.
by Abu Yahya September 02, 2010
Get the Initial Public Offeringmug. (US HISTORY) federally chartered bank. In 1863, the US Congress passed the National Bank Act that empowered banks with federal charters to issue currency backed by US Treasury securities.
National bank notes were issued until 1935; after 1928, they looked exactly the same as "national notes," or paper money circulated by the US Treasury.
(The US Treasury stopped issuing banknotes in 1971. Such notes were distinguished from federal reserve notes by a red seal and the absence of the legend, "federal reserve note" at the top of the bill).
National bank notes were issued until 1935; after 1928, they looked exactly the same as "national notes," or paper money circulated by the US Treasury.
(The US Treasury stopped issuing banknotes in 1971. Such notes were distinguished from federal reserve notes by a red seal and the absence of the legend, "federal reserve note" at the top of the bill).
Any national bank could issue currency equal in value to 90% of US treasury securities that it had on deposity with the Treasury. National bank notes initially had their own distinctive engraving, but after 1928 were visually almost indistinguishable from federal reserve notes.
by Abu Yahya May 05, 2010
Get the national bankmug. (ECONOMICS) Total unemployed, plus discouraged workers, plus all other persons marginally attached to the labor force, as a percent of the civilian labor force plus all persons marginally attached to the labor force. This includes workers who are not counted as "discouraged workers" for minor technical reasons. Therefore, if one wants to cite the percentage of discouraged unemployed, the true figure is U-5, not U-4.
The US Bureau of Labor Statistics regularly publishes six estimates of unemployment. The others are U-1, U-2, U-3, U-4, and U-6. Eurostat publishes one monthly estimate of unemployment for the European Union, which is approximately midway between U-3 and U-4.
The unemployment statistics for the USA are collected through a monthly Current Population Survey (CPS) (also known as the household survey) and an establishment survey.
The US Bureau of Labor Statistics regularly publishes six estimates of unemployment. The others are U-1, U-2, U-3, U-4, and U-6. Eurostat publishes one monthly estimate of unemployment for the European Union, which is approximately midway between U-3 and U-4.
The unemployment statistics for the USA are collected through a monthly Current Population Survey (CPS) (also known as the household survey) and an establishment survey.
For economists, U-5 and U-6 can help provide some insight into labor market movements. In particular, the spread between U-5 and U-6 can show how quickly businesses are returning to normality after a recession, because it offers a way to gauge changes in the number of hours worked as well as in the number of workers hired.
by Abu Yahya July 15, 2010
Get the U-5mug. (FINANCE) used to refer to an option that has no intrinsic value, given the prevailing spot price. The two obvious examples are the call option and the put option.
*If the strike price of a call option is greater than the current price (or "spot price") of the underlying stock, then there is no point in exercising the option.
*If the strike price of a put option is less than the spot price, then there is no point in exercising the option/
Please note that "having no intrinsic value" IS NOT THE SAME THING as "worthless." An option that is out of the money is not worthless, unless it is about to expire. Assuming there is a lot of time left on the option before it expires, there remains the possibility the spot price of the underlying item could move in a favorable direction, and make the option "in the money."
*If the strike price of a call option is greater than the current price (or "spot price") of the underlying stock, then there is no point in exercising the option.
*If the strike price of a put option is less than the spot price, then there is no point in exercising the option/
Please note that "having no intrinsic value" IS NOT THE SAME THING as "worthless." An option that is out of the money is not worthless, unless it is about to expire. Assuming there is a lot of time left on the option before it expires, there remains the possibility the spot price of the underlying item could move in a favorable direction, and make the option "in the money."
Buying a call option that is out of the money is a long position; buying a put option that is out of the money is a short position.
by Abu Yahya April 15, 2010
Get the out of the moneymug. national income and product accounting; refers to the formal system of measuring capital accounts, current accounts, and gross domestic product.
National income and product accounting is the centerpiece of national economic
accounting in the United States. The NIPA's show the real and nominal value of output, the composition of output, and the distribution across types of income generated in its production.
Abraham & Mackie, *Beyond the Market,* p.40
accounting in the United States. The NIPA's show the real and nominal value of output, the composition of output, and the distribution across types of income generated in its production.
Abraham & Mackie, *Beyond the Market,* p.40
by Abu Yahya February 14, 2009
Get the NIPAmug. (SOCIOLOGY) merchant class in a colony; usually dependent on exports of raw material from the colony (or former colony) in exchange for overpriced imports from the former colonial power.
As a class, the compradors are usually nationalistic--they usually want the trappings of independence. However, they are totally dependent on the global economy and its structure of hegemony. The rich nations benefit from excellent terms of trade, specialization in manufactured goods or intellectual property, etc.
After nominal independence, the comprador class usually become very powerful in the former colony; major powers like the USA or the EU ensure the comprador remain the de facto leaders of the colony. Anti-US rhetoric is usually just political theater or may reflect petty rivalry on the part of the compradors with their foreign masters.
As a class, the compradors are usually nationalistic--they usually want the trappings of independence. However, they are totally dependent on the global economy and its structure of hegemony. The rich nations benefit from excellent terms of trade, specialization in manufactured goods or intellectual property, etc.
After nominal independence, the comprador class usually become very powerful in the former colony; major powers like the USA or the EU ensure the comprador remain the de facto leaders of the colony. Anti-US rhetoric is usually just political theater or may reflect petty rivalry on the part of the compradors with their foreign masters.
Eventually, the terms of trade become so bad that the relationship breaks down and the country suffers a sovereign debt default, revolution, or permanent FUBAR status. At this point the comprador class has to share power with the local Junker class.
by Abu Yahya May 18, 2010
Get the compradormug. The belief efforts to protect people from calamity will only lead to them being more careless, and bringing on more calamity.
This is a fallacy because it (a) assumes people can adjust personal risk to replicate an incomparable situation, and (b) it confusing risk-taking and risky behavior. "Risk-taking" is a neutral term that includes anything that increases risk in some way, such as operating a machine at a higher speed. This usually is done to get some other benefit. "Risky behavior" is foolish, feckless, or sloppy behavior that has no intrinsic utility to the person engaging in it.
This is a fallacy because it (a) assumes people can adjust personal risk to replicate an incomparable situation, and (b) it confusing risk-taking and risky behavior. "Risk-taking" is a neutral term that includes anything that increases risk in some way, such as operating a machine at a higher speed. This usually is done to get some other benefit. "Risky behavior" is foolish, feckless, or sloppy behavior that has no intrinsic utility to the person engaging in it.
An example of the curmudgeon's fallacy is the erroneous claim that safer cars make for careless drivers.
by Abu Yahya October 19, 2008
Get the curmudgeon's fallacymug.