The amount of money an issuer agrees to pay the lender at the expiration date of the bond.
Author: todorm
Principal
The money lent to a borrower or put into an investment. The term can also be used to describe a private company’s owner or the main participant in a deal.
Primary Market
A market that issues new securities on an exchange, aided by underwriting groups and consisting of investment banks.
Primary Dealer
A pre-approved financial institution that is authorized to make business deals with the United States Federal Reserve.
Price-Weighted Index
A stock market index in which each stock makes up a fraction of the index that is proportional to its price per share.
Price Spread
The spread is the gap between the bid and the ask prices of a security or asset, like a stock, bond, or commodity.
Price/Sales
A ratio that compares a company’s stock price to its revenues, helping investors to make good investments.
Price/Earnings Ratio
A ratio that measures the current share price relative to the per-share earnings.
Price/Cash Flow
A ratio that measures the value of a stock’s price relative to its operating cash flow per share.
Price/Book
A ratio that compares a company’s market value to its book value.