Related Words

Affirmative Covenant: A bond covenant that specifies certain actions the firm must take.

Positive Covenant (Of A Bond): A bond covenant that specifies certain actions the firm must take. Also called an affirmative covenant.

Covenants: A statistical measure of the degree to which random variables move together. A positive covariance implies that one variable is above (below) its mean value when the other variable is above . . . View Full Definition

Negative Covenants: Statements of actions or events of the borrower must prevent from occurring or existing, for example, additional borrowing without the lender's consent.

Covenants That Run With The Land: Convenants that become part of the property rights and benefit or bind successive owners of the property.

Negative Covenant: A bond covenant that limits or prohibits certain actions unless the bondholders agree.

Protective Covenant: A part of an indenture or loan agreement that limits certain actions a company may take during the term of the loan to protect the lender's interests.

Restrictive Covenants: A clause in a deed that limits the way the real estate ownership can be used.

Restrictive Covenant: A contract clause requiring executives or other highly skilled employees to refrain from seeking and obtaining employment with competitor organizations in a specific geographical region and . . . View Full Definition

Rate Covenant: A provision governing a municipal revenue project financed by a revenue bond issue, which establishes the rates to be charged users of the new facility.