the term used to describe a positive statement that is made in a negative way.
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NEGATIVE BASIS
When the price of cash is below the futures contract price.
NEGATIVE CARRY
1. In Banking, this occurs when income earned from a loan is less than the bank’s fund costs. Also known as negative cost of carry . 2. In Borrowing, this […]
NEGATIVE CASH FLOW
During a specific time period , more cash is going out as expenditure than is coming in as income. Does not necessarily indicate loss, just an timely imbalance. Temporary imbalance […]
NEGATIVE CONTRIBUTOR
An asset loses value by this specific type of action or process.
NEGATIVE CONVEXITY
Callable bonds’ principal is returned (1) before maturation in a declining interest rate environment or (2) after maturation in a rising interest rate environment. The first situation may require reinvesting […]
NEGATIVE COVENANT
1. Constraining provision in a debt agreement, like an adhesion contract type. Limits the borrower on stated points, like a ceiling on the executives’ salaries, or prohibition on debt acquisition […]
NEGATIVE DEMAND
Negative image or connotations caused lost consumer loyalty. Consumers avoid products or firms associated with unfair labor policies or harming the environment . Consumers are willing to pay a little […]
NEGATIVE DIVERGENCE
Overall trends being perceived to be taking place in a particular market are the point of disagreement by at least two averages or indexes.
NEGATIVE EQUITY
A mortgaged asset’s market value is below the loan amount taken against it. Some loan agreements force the borrower to cover the loss. The lender may ‘call’ the loan, demanding […]
NEGATIVE EVIDENCE
then that is applied to testimony that will deny rather than confirm an action or a fact.
NEGATIVE EXTERNALITY
Occurs when a product or decision exceeds the society’s private cost . It is generally viewed as a market failure because the consumption level or the product’s production exceeds society […]
NEGATIVE GAMMA
When large price shifts cause increased risk.
NEGATIVE GAP
Interest-incurring liabilities exceed interest generating assets in interest rate sensitivity analysis . A negative gap in a declining interest rate environment improves net interest income because falling interest rates reprice […]
NEGATIVE GOODWILL
Fairly-valued assets acquired that go beyond the acquisition limit. On the balance sheet this will affect listed transactions .
NEGATIVE MOMENTUM TRADING
When bad news causes a drop in stock prices.
NEGATIVE OBLIGATION
A duty to not take one side if another can present equal stock sense.
NEGATIVE PLEDGE
Unsecured loan agreement ‘ provision requiring the borrower to get the current lender’s consent before obtaining any secured loan . An example is a bond indenture clause prohibiting the bond […]
NEGATIVE PLEDGE CLAUSE
If the company issues stocks or bonds that have a negative effect on the shareholders, the borrower has this specific type of contract or agreement as cover.
NEGATIVE PREGNANT
Implicitly accepting culpability while explicitly denying the charge is what this type of ambiguous negative statement is. Contrast to affirmative pregnant .
NEGATIVE REINFORCEMENT
Increasing or maintaining an improper response or behavior’s likely reoccurrence based on removing a challenge, penalty, stimulus, or reward.
NEGATIVE SPACE
Unconfirmed standby seat booking as a travel industry term. Contrast to positive space .
NEGATIVE SUM GAME
Decision theory ‘s ‘lose-lose’ situation. All participants lose as the negatives or losses outweigh the positives or winnings, and no one leaves with anything positive or any winnings. Also refer […]
NEGATIVE WORKING CAPITAL
Up-to-date asset value is less than up-to-date liability value.
NEGATIVE YIELD CURVE
When short term interet rates are higher than long term rates.