What Is Business-to-Business (B2B)? Business-to-business (B2B), also called B-to-B, is a form of transaction between businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and a retailer. Business-to-business refers to business that is conducted between companies, rather than between a company and individual consumer. Business-to-business stands in contrast to business-to-consumer (B2C) and business-to-government…
What Is a Fidelity Bond? A fidelity bond is a form of business insurance that offers an employer protection against losses that are caused by its employees’ fraudulent or dishonest actions. Also known as an “honesty bond,” this form of insurance can protect against monetary or physical losses. In Australia, a fidelity bond is called…
What Is Investment Style? Investment style is the method and philosophy followed by an investor or money manager in selecting investments for a portfolio. Investment style is based on several factors and typically tends to be based on parameters such as risk preference, growth vs. value orientation, and/or market cap. The investment style of a…
What Is a Fairness Opinion? A fairness opinion is a report that evaluates the facts of a merger, acquisitioncarve-out, spin-off, buybackor another type of business purchase. It provides an opinion about whether or not the proposed stock price is fair to the selling or target company. Key Takeaways A fairness opinion is a report regarding the…
Long- and short-end bond prices have soared to all-time highs in reaction to the coronavirus outbreak and Tuesday’s surprise 50-basis-point rate cut by the Federal Reserve. Bond yields have dropped to new lows at the same time, lowering the cost of mortgages and other debt instruments. Many analysts now predict that interest rates will eventually…
IATA predicts 2020 global revenue losses up to $113 billion Airlines struggle to fill seats, cancel flights to save money Millennials may have killed many industries, but airlines have only the coronavirus outbreak to blame for their suffering. Let’s face it, no one wants to get on a plane and touch those trays these days….
What Are the Statutory Accounting Principles (SAP)? The Statutory Accounting Principles (SAP) are a set of accounting regulations prescribed by the National Association of Insurance Commissioners (NAIC) for the preparation of an insurance firm’s financial statements. The overarching objective of SAP is to assist state regulators in monitoring the solvency of insurance companies. Key Takeaways The…
What Is an Agency Bond? An agency bond is a security issued by a government-sponsored enterprise or by a federal government department other than the U.S. Treasury. Some are not fully guaranteed in the same way that U.S. Treasury and municipal bonds are. An agency bond is also known as agency debt. Key Takeaways Federal…
What Is a Night Depository? A night depository is a secured bank drop box where accountholders (usually small business owners or employees) can deposit their daily cash, checks, and credit card slips outside of normal banking hours (usually between 9 AM and 5 PM). The bank will collect the deposits and credit them to the…