Know Accelerated Vesting Retiring Bonds Affirmative Obligation

Accelerated Vesting : Accelerated vesting is a form of vesting that takes place at a faster rate than the initial vesting schedule in a company's stock option plan. This allows the option holder to receive the monetary benefit from the option much sooner. If a company decides to undertake accelerated vesting, then it may expense the costs associated with the stock options sooner Retiring Bonds: Bonds can be callable or convertible.Corporations setup sinking funds to buy back bonds. Bonds are brought back at the current market price. If bonds are trading at premium they can't be brought back. Retiring of bonds can be accomplished in 3 ways : 1) Redemption 2) Conversion 3) Refunding Affirmative Obligation: Affirmative obligation is an obligation of Newyork Stock Exchange (NYSE) specialists to enter the market on a particular security (either by posting or bidding and ask) when there is not sufficient market demand and supply to efficiently match orders. It is a New York Stock Exchange rule that governs the behavior of specialists. Affirmative obligation is the mandate of the specialists to step in and act as either the buyer or the seller when public investor orders exist do not match up naturally. It is also known as positive_obligation. Who is a fund manager? Fund manager/investment manager is the person(s) resposible for implementing a fund's investing strategy and managing its portfolio trading activities. A fund can be managed by one person, by two people as co-managers and by a team of three or more people. Fund managers are paid a fee for their work, which is a percentage of the fund's average assets under management. Also known as an "investment manager". VAriation Margin: Amount necessary to bring the margin account back up to the initial margin Hedgers have smaller margins than speculators Clearinghouse has clearing margin. This ensures clearinghouse is liquid enough at all times to honor obligations under futures contract