Related Words

Demand Shock: Short-term securities that are repayable immediately upon the holder's demand.

Price Elasticity Of Demand: The relationship between the change in the price of a commodity and the corresponding change in the quantity that is sold. If a small change in the price is accompanied by a relatively large . . . View Full Definition

Precautionary Demand (For Money): The need to meet unexpected or extraordinary contingencies with a buffer stock of cash.

Money Market Demand Account (MMDA): An account that pays interest based on short-term interest rates.

Hedging Demands: A strategy designed to reduce investment risk using call options, put options, short-selling, or futures contracts. A hedge can help lock in profits. Its purpose is to reduce the volatility . . . View Full Definition

Shockwave: A plug-in that allows for multimedia movies to play through a browser.

Speculative Demand (For Money): Purchasing risky investments that present the possibility of large profits, but also pose a higher-than-average possibility of loss. A profitable strategy over the long term if undertaken by . . . View Full Definition

Variable-Rate Demand Note: Short-term certificate of deposits that pay interest periodically on roll dates. On each roll date, the coupon on the CD is adjusted to reflect current market rates.

Video On-Demand (VOD): Allows VCR-type control of broadcast or cable programs, or video and movies offered on a PPV basis.

Variable Rated Demand Bond (VRDB): A whole life insurance policy that provides a death benefit dependent on the insured's portfolio market value at the time of death. Typically the company invests premiums in common stocks, s . . . View Full Definition