- Compounding frequency
- The number of compounding periods in a year. For example, quarterly compounding has a compounding frequency of 4. The New York Times Financial Glossary
Financial and business terms. 2012.
Financial and business terms. 2012.
compounding frequency — The number of compounding periods in a year. For example, quarterly compounding has a compounding frequency of 4. Bloomberg Financial Dictionary … Financial and business terms
Discrete Compounding — refers to the method by which interest is calculated and added to the principal at certain set points in time. For example, interest may be compounded daily, weekly, monthly or even yearly. Discrete compounding is the opposite of continuous… … Investment dictionary
Compound interest — The effect of earning 20% annual interest on an initial $1,000 investment at various compounding frequencies Compound interest arises when interest is added to the principal, so that from that moment on, the interest that has been added also… … Wikipedia
Nominal interest rate — In finance and economics nominal interest rate or nominal rate of interest refers to the rate of interest before adjustment for inflation (in contrast with the real interest rate); or, for interest rates as stated without adjustment for the full… … Wikipedia
Continuous-repayment mortgage — Analogous to continuous compounding, a continuous annuity[1][2] is an ordinary annuity in which the payment interval is narrowed indefinitely. A (theoretical) continuous repayment mortgage is a mortgage loan paid by means of a continuous annuity … Wikipedia
Future value — measures the nominal future sum of money that a given sum of money is worth at a specified time in the future assuming a certain interest rate, or more generally, rate of return; it is the present value multiplied by the accumulation function.The … Wikipedia
Amortization calculator — An amortization calculator is used to determine the periodic payment amount due on a loan (typically a mortgage), based on the amortization process. The amortization repayment model factors varying amounts of both interest and principal into… … Wikipedia
Bond duration — Financial markets Public market Exchange Securities Bond market Fixed income Corporate bond Government bond Municipal bond … Wikipedia
Fixed rate mortgage — A fixed rate mortgage (FRM) is a mortgage loan where the interest rate on the note remains the same through the term of the loan, as opposed to loans where the interest rate may adjust or float. Other forms of mortgage loan include interest only… … Wikipedia
Origination — The process through which a mortgage lender creates a mortgage secured by some amount of the mortgagor s real property. Also known as loan origination, everyone must go through the origination process when securing a mortgage for a piece of real… … Investment dictionary