Related Words

Exposure Lock: Feature that holds focus or exposure while you compose the image.

Lock-Up Period: A lock-up period is the time during which you cannot sell an investment that you own. You are most likely to encounter a lock-up period if you acquire shares in an initial public offering (I . . . View Full Definition

Locked In: When an investor is unable to take advantage of preferential tax treatment because of time remaining on a required holding period. Also, a commodities position in which the market has a limi . . . View Full Definition

Lockbox: A collection and processing service provided to firms by banks, which collect payments from a dedicated postal box to which the firm directs its customers to send payment to. The banks make . . . View Full Definition

Lock-Up Option: Often used in risk arbitrage. Privilege offered a white knight (friendly acquirer) by a target company to buy crown jewels or additional equity. The aim is to discourage a hostile takeover. . . . View Full Definition

Lock-In Clause: A condition in a promissory note that prohibits prepayment of the note.

Lock-Out: With PAC bond CMO classes, the period before the PAC sinking fund becomes effective. With multifamily loans, the period of time during which prepayment is prohibited.

Lock-Up Cds: CDs that are issued with the tacit understanding that the buyer will not trade the certificate. Quite often, the issuing bank will insist that it hold the certificate for safekeeping by it t . . . View Full Definition

Locked Market: A market is locked if the bid price equals the ask price. This can occur, for example, if the market is brokered and one side pays brokerage only, in over-the-counter trading the initiator o . . . View Full Definition

Locked Rotor Torque: The minimum torque that a motor will develop at rest for all angular positions of the rotor (with rated voltage applied at rated frequency).