tailieunhanh - Dictionary of Finantial and Business Terms part 9

Lag Payment of a financial obligation later than is expected or required, as in lead and lag. Also, the number of periods that an independent variable in a regression model is "held back" in order to predict the dependent variable. Lag response of prepayments There is typically a lag of about three months between the time the weighted average coupon of an MBS pool has crossed the threshold for refinancing and an acceleration in prepayment speed is observed. Lambda The ratio of a change in the option price to a small change in the option volatility. It is the partial derivative of. | 81 Dictionary of Finantial and Business Terms Lico Reis - Consultoria L nguas licoreis@ Lag Payment of a financial obligation later than is expected or required as in lead and lag. Also the number of periods that an independent variable in a regression model is held back in order to predict the dependent variable. Lag response of prepayments There is typically a lag of about three months between the time the weighted average coupon of an MBS pool has crossed the threshold for refinancing and an acceleration in prepayment speed is observed. Lambda The ratio of a change in the option price to a small change in the option volatility. It is the partial derivative of the option price with respect to the option volatility. Last split After a stock split the number of shares distributed for each share held and the date of the distribution. Last trading day The final day under an exchange s rules during which trading may take place in a particular futures or options contract. Contracts outstanding at the end of the last trading day must be settled by delivery of underlying physical commodities or financial instruments or by agreement for monetary settlement depending upon futures contract specifications. Last-In-First-Out LIFO A method of valuing inventory that uses the cost of the most recent item in inventory first. Law of large numbers The mean of a random sample approaches the mean expected value of the population as the sample grows. Law of one price An economic rule stating that a given security must have the same price regardless of the means by which one goes about creating that security. This implies that if the payoff of a security can be synthetically created by a package of other securities the price of the package and the price of the security whose payoff it replicates must be equal. Lead Payment of a financial obligation earlier than is expected or required. Lead manager The commercial or investment bank with the primary responsibility for .