Home » Money

moneygirl Glossary ~ KL

Submitted by on January 14, 2011 – 7:22 pmNo Comment

The KL’s of Money

Key industry: An industry that plays a critical role in a country’s economy.

Keynesian economics: An economic theory of British economist, John Maynard Keynes that outlines that active government intervention is necessary to ensure economic growth and stability.

Killer bees: People who help a company in fending off a take-over bid – usually bankers who devise strategies to make the target less attractive, or more difficult to buy.

Know your customer (KYC): An ethical business position, where financial advisors recommend suitable options for a customer’s financial situation.

Kruggerand: A gold coin minted in South Africa, which may sell for slightly higher prices.

Lady Macbeth Strategy: A strategy where a 3rd party poses as a helper in a takeover bid – then joins forces with an unfriendly bidder.

Lag: Late payment of a financial obligation.

Laissé-faire: Doctrine that a government should not interfere with business and economic affairs.

Landlord: A property owner who rents property to a tenant.

Late Charge: A fee charged to a borrower for late payment.

Launder: To move illegally acquired cash through financial systems so that it appears to be legally acquired.

Leader: A stock that is the first to move in a market upswing or downturn.

Leading economic indicators: Economic signs that tend to rise or fall in advance of the rest of the economy.

Lease: A long-term rental agreement.

Leasehold improvement: An improvement or upgrade made to leased property.

Lease rate: The amount of payment per period, stated in the lease.

Lease term: The life or length of the lease, including any renewal options.

Legal bankruptcy: A legal proceeding for liquidating or reorganizing a business.

Legal entity: A person or organization that can legally enter into a contract (and can also be sued for breaking the contract!).

Legal monopoly: A government owned company that is allowed to be the only company offering a particular service in a particular area (such as alcohol in Canada).

Lemon: An investment with poor results (cars that often break down are referred to as “lemons”).

Lend: To provide money on the condition that it is to be returned – often with interest.

Lessee: A person or entity who / that leases an asset from another.

Lessor: A person or entity who / that leases an asset to another.

Leveraged company: A company that has debt.

Leveraged portfolio: A portfolio that includes risky assets – purchased with borrowed funds.

Leveraged stock: Stocks financed with credit.

Levered portfolio: Investments financed by borrowing.

License agreement: A contract allowing a company to market the owning company’s products or services – for a fee or royalty.

Life cycle: Life of a product or business – from beginning to end.

Life insurance: A policy that pays money to the insured person’s survivors after death.

Limited warranty: A warranty with certain conditions and limitations on the parts covered, type of damage covered, and/or time period for which the agreement is good.

Line of credit: A loan agreement between a bank and a customer allowing a customer to borrow up to a certain amount.

Liquid: Easy to convert to CASH.

Living will: A document specifying the kind of medical care a person wants or does not want in the event of a terminal illness or incapacity.

Loan: Borrowing money.

Leave a comment!

You must be logged in to post a comment.