Irrational Call Option: The implied call imbedded in a MBS. Irrational because the call is sometimes not exercised when it is in the money (interest rates are below the threshold to refinance), and sometimes exercised when it is not in the money. Option exercise like this affects payments on the MBS.

 

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Irrational Call Option: The implied call imbedded in a MBS. Irrational because the call is sometimes not exercised when it is in the money (interest rates are below the threshold to refinance), and sometimes exerci . . . View Full Definition

Non-Recurring Adoption Costs: One time adoption expenses, which may be at least partially reimbursed by states up to a maximum amount to families adopting children with special needs. Allowable expenses for this reimburs . . . View Full Definition

Naked Option Strategies: An unhedged strategy making exclusive use of one of the following: Short call strategy (selling or writing call options), and short put strategy (selling or writing put options). By themselv . . . View Full Definition

Noncallable: When a bond is noncallable, the issuer cannot redeem it before the stated maturity date. Some bonds have call protection for their full term, and others for a fixed period — often ten years. . . . View Full Definition

Nonqualifying Stock Option: An employee stock option that does not satisfy IRS qualifying rules and therefore is liable for taxation upon exercise .

On-Call Time: Used to define periods of time when an employee is off duty but is required to remain on or close to the company premises or to respond to a call or page within a specified period of time, r . . . View Full Definition

On-Call Pay: Additional compensation awarded to employees who are required to remain on call during off-duty hours.

Naked Option: When you write, or sell, a call option but don't own the underlying instrument, such as a stock in the case of an equity option, the option is described as naked. Similarly, you write a nake . . . View Full Definition

Multioption Financing Facility: A syndicated confirmed credit line with attached options.

Maintenance Call: A call for additional money or securities when a margin account falls below its exchange-mandated required level.