What is the Brazilian Real (BRL)? The Brazilian Real is the official currency of the Federative Republic of Brazil and is represented by the ISO code BRL. Brazil is the biggest country in South America and is one of the BRIC (Brazil, Russia, India, China) nations – a group of countries that market analysts view…
What is the Colombian Peso (COP)? The Colombian Peso is the official currency of the Republic of Colombia. The peso is sometimes designated with a standard dollar sign – $ – and at other times denoted as COL$. The forex market symbol for the Colombian peso is COP. The peso is divided into 100 centavos….
What are the Four Asian Tigers? Four Asian Tigers is a term given to the economies of four countries – Hong Kong, Taiwan, Singapore, and South Korea. Driven by exports and rapid industrialization, the Four Asian Tigers have steadily retained a high rate of economic growth since the 1960s, joining the ranks of the richest…
What is a Foreign Fund? A foreign fund refers to a fund that invests in businesses outside the country of origin of the investor. They can be exchange-traded funds, closed-end funds, or mutual funds. They are sometimes referred to as international funds. Foreign funds provide private investors with access to overseas markets. Foreign investment introduces…
What is Foreign Aid? Foreign aid refers to the international movement of money, services, or goods from governments or international institutions for the benefit of the receiving country or its citizens. Foreign aid can be fiscal, military, or humanitarian and is considered one of the significant sources of foreign exchange. Foreign aid is the voluntary…
What is Foreign Debt? Foreign debt refers to the money that a government, an organization, or a household borrows from the government or private lenders of another country. The obligations to organizations such as the World Bank and the Asian Development Bank (ADB) are also categorized as foreign debt. The short-term debt can be used…
What is the Clientele Effect? The clientele effect is a theory which states that different policies attract different types of investors, and changes to the policies will cause a shift in demand for the company’s stock by investors, impacting its share price. In other words, the clientele effect is the existence of groups of investors…
What is Sovereign Debt? Sovereign debt is the government debt of a country, a sovereign nation. It is also referred to as government debt, national debt, public debt, or country debt. The sovereign debt of a country consists of all its debt liabilities to both domestic and foreign creditors. Technically, the sovereign debt of a…
What is a Trading Halt? A trading halt refers to a temporary stoppage of equity trading in accord with regulatory authority or stock exchange rules. The stoppage may occur for a single stock, an exchange, or a group of exchanges. Significant news about a company – whether it be good news or bad news –…
What is Securities Lending? Securities lending is the act of lending or loaning a financial security, a stock, bond, or derivative, to a firm or an investor. It involves the borrower to provide collateral for the security that they are borrowing. The collateral can be in the form of either cash, bonds, shares or letter…
