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what was the housing act of 1949
the housing act of 1949 was passed to help address the decline of urban housing following the post world war ii exodus to the suburbs a part of the harry truman administration s fair deal it provided governance over how government financial resources would shape the growth of american cities specifically by increasing ...
what was the fair housing act of 1968
the fair housing act of 1968 outlaws discrimination against home renters and buyers by landlords sellers and lenders on account of their race color religion national origin later amendments added sex disability and familial status the act is enforced by the u s department of housing and urban development hud 8 the u s ...
what was the outcome of the fair housing act of 1968
despite the historic nature of the fair housing act and its stature as the last major act of legislation of the civil rights movement housing remained segregated and discrimination continued in many regions of the u s in 1974 the federal government expanded the fair housing act of 1968 to include protections for gender...
what is national income accounting
national income accounting is a bookkeeping system that a government uses to measure the level of the country s economic activity in a given time period accounting records of this nature include data regarding total revenues earned by domestic corporations wages paid to foreign and domestic workers and the amount spent...
where
national income accounting vs economic policythe quantitative information associated with national income accounting can be used to determine the effect of various economic policies considered an aggregate of the economic activity within a nation national income accounting provides economists and statisticians with det...
what is a primary use for national income accounting
national income accounting is used to measure economic growth and activity it can also be useful in tracking trends and guiding monetary policy such as policy tax rate setting
what are the problems of national income accounting
the key issues with national income accounting are the exclusion of goods or services that have no monetary value and the possible double counting of goods other issues include the fact that black market goods are excluded and reliable and adequate data is generally lacking
what government purchases are included in national income accounting
national income accounting includes government purchases such as any federal state or local government spending government purchases include infrastructure spending such as buying steel for a project and paying employees however transfer payments such as social security payments are not included the bottom linenational...
what is a national insurance contribution nic
a national insurance contribution nic is a tax paid by british employees and employers to fund government benefits programs contributions are made through payroll deductions and are based on several criteria including an employee s age and earnings individuals need a national insurance number issued by the federal gove...
how national insurance contributions nics work
national insurance is a tax paid by individuals and corporations in the united kingdom it is a withholding tax just like fica in the united states employees and employers pay a share of the national insurance contributions which the employer collects through payroll deductions self employed individuals pay both portion...
what is a national insurance number
a national insurance number in the u k is a unique identifier assigned to one particular individual the number is used to administer the country s national insurance system and is similar to a social security number in the united states a person s ni number ensures that national insurance contributions are recorded aga...
does everyone in the u k make national insurance contributions
individuals must meet certain eligibility criteria before they can begin making national insurance contributions employees must be 16 or older and must meet minimum income thresholds employers generally withhold employee contributions through payroll deductions self employed individuals are responsible for making their...
what do national insurance contributions fund
national insurance contributions made by employees in the united kingdom are used to fund various social benefit programs these include the country s pension system unemployment benefits and sickness benefits among others the bottom linemany countries have systems in place to fund social benefit programs the national i...
what is the national market system nms
the national market system nms promotes free market transparency by regulating how all major exchanges disclose and execute trades it is the system for equity trading and order fulfillment in the u s that consists of trading clearing depository and quote distribution functions the nms governs the activities of all form...
what is the national registration database
the national registration database nrd is a canadian database that was launched in 2003 to replace the original paper form system it allows security dealers and investment advisors to file registration forms electronically understanding the national registration database nrd the nrd increases the efficiency of the fili...
why the nrd was formed
securities regulators recognized that the registration process could be drastically improved by introducing an electronic system that would replace the existing paper based system a national web based registration system could help the csa achieve its long term goals of easing the regulatory burden for capital market p...
what is the national retail federation nrf
the national retail federation nrf is a retail trade association founded in 1911 that is made up of members from all phases of the retail industry including department stores specialty discount catalog internet and independent retailers restaurant chains and grocers as well as businesses that supply goods and services ...
what is a national securities clearing corporation
national securities clearing corporation nscc is a subsidiary of depository trust clearing corporation dtcc that provides centralized clearing risk management information and settlement services to the financial industry the nscc offers multilateral netting so that brokers can offset buy and sell positions into a singl...
how the national securities clearing corporation nscc works
the national securities clearing corporation was established in 1976 and is a registered clearing corporation regulated by the u s securities and exchange commission sec before its inception strong demand for paper stock certificates had become nearly overwhelming for many stock brokerages causing the stock exchanges t...
what is the national securities markets improvement act nsmia
the national securities markets improvement act is a law passed in 1996 that sought to simplify securities regulation in the u s by apportioning more regulatory power to the federal government understanding national securities markets improvement act nsmia the national securities markets improvement act nsmia amended t...
what is the national stock exchange of india nse
the national stock exchange of india nse is india s largest financial market incorporated in 1992 and launched in 1994 the nse has developed into a sophisticated electronic market 1as of december 2023 the nse was the sixth largest stock exchange in the world as measured by market capitalization 2in january 2024 its mar...
how old is india s nse
the nse was established in 1992 but didn t commence operations until 1994 1
what is the nse s purpose
the exchange believes its purpose is to improve the financial well being of people key characteristics are reliability expertise innovation and trust 13
what roles does the nse have
the roles the indian stock exchange sees for itself are exchange regulator index provider data and analytics it services educator and market developer 13the bottom lineindia s national stock exchange has grown steadily in value and popularity it is the largest stock exchange in india followed by the bse in january 2024...
what is nationalization
nationalization refers to the action of a government taking control of a company or industry which generally occurs without compensation for the loss of the net worth of seized assets and potential income the action may be the result of a nation s attempt to consolidate power resentment of foreign ownership of industri...
what is a natural gas etf
a natural gas exchange traded fund etf is a type of pooled investment product that provides investors with exposure to natural gas prices these funds are often overseen by a professional manager who invests on behalf of the investors and tend to invest in a basket of natural gas futures contracts rather than hold stock...
what is the objective of investing in a natural gas etf
the objective of investing in a natural gas etf is to gain exposure to the natural gas market investors may seek to profit from price movements hedge against natural gas price changes or diversify their investment portfolios
how do natural gas etfs track the price of natural gas
natural gas etfs employ various mechanisms to track the price of natural gas one common approach involves investing in natural gas futures contracts which are financial agreements specifying the purchase or sale of natural gas at a future date these contracts closely mirror the movements in natural gas prices allowing ...
do natural gas etfs physically hold natural gas
some natural gas etfs may directly hold physical natural gas in storage facilities aiming to replicate the spot price of the commodity the bottom linenatural gas etfs are investment vehicles that provide exposure to the natural gas market they utilize various strategies though many invest via futures contracts the purp...
what are natural gas liquids
natural gas liquids ngl are components of natural gas that are separated from the gas state in the form of liquids this separation occurs in a field facility or a gas processing plant through absorption condensation or other methods there are several types of natural gas liquids and many different applications for ngl ...
what is the natural gas storage indicator
the natural gas storage indicator is the u s energy information administration s eia estimate of working natural gas volumes held in underground storage facilities at the national and regional levels the eia provides weekly estimates of working gas volumes held in underground storage facilities at the lower 48 states a...
what is a natural hedge
a natural hedge is a management strategy that seeks to mitigate risk by investing in assets whose performances are inherently negatively correlated for instance a natural hedge against owning financial stocks is to hold bonds since interest rate changes tend to influence each in opposite fashion a natural hedge can als...
what is natural language processing nlp
natural language processing nlp is a field of artificial intelligence ai that enables computers to analyze and understand human language both written and spoken it was formulated to build software that generates and comprehends natural languages so that a user can have natural conversations with a computer instead of t...
what is natural law
natural law is a theory in ethics and philosophy that says that human beings possess intrinsic values that govern their reasoning and behavior natural law maintains that these rules of right and wrong are inherent in people and are not created by society or court judges understanding natural lawnatural law holds that t...
when a child tearfully exclaims it s not fair that or when viewing a documentary about the suffering of war we feel pain because we re reminded of the horrors of human evil and in doing this we are also providing evidence for the existence of natural law a well accepted example of natural law in our society is that it ...
philosophers of natural law often do not explicitly concern themselves with economic matters likewise economists systematically refrain from making explicit moral value judgments yet the fact that economics and natural law are intertwined has been borne out consistently in the history of economics natural law and the u...
what is the theory of natural law
natural law is a theory of ethics that says that human beings possess intrinsic values that govern our reasoning and behavior it states that there are universal moral standards that are seen across time periods and societies because these standards form the basis of a just society
what are examples of natural law in systems of government
in the u s constitution the right of citizens to life liberty and the pursuit of happiness is a motto based on natural law in the penal code certain crimes are almost universally accepted as punishable including murder and rape these types of crimes are seen as damaging both the humanity of the victim and the social fa...
how does natural law affect business
natural law is seen in the concept of ethical business practices especially the principle that a firm should not defraud its customers or other stakeholders for instance the marketing of drugs should be made with full disclosure of potential harms and not be sold as snake oil
what are some flaws in natural law theory
since natural law assumes universalizing rules it does not account for the fact that different people or different cultures may view the world differently for instance if people interpret differently what it means for something to be fair or just the results will differ the bottom linenatural law is an ethical theory t...
what is a natural monopoly
a natural monopoly is a type of monopoly in an industry or sector with high barriers to entry and start up costs that prevent any rivals from competing as such a natural monopoly has only one efficient player this company may be the only provider of a product or service in an industry or geographic location natural mon...
how do natural monopolies work
a natural monopoly is a monopoly where there is only one provider of a good or service in a certain industry it occurs when one company or organization controls the market for a particular offering this type of monopoly prevents potential rivals from entering the market due to the high cost of starting up and other bar...
how is a natural monopoly different from a regular monopoly
as the name implies a natural monopoly exists naturally market forces allow one player in the market to become the only player in a certain industry without stifling the competition regular monopolies on the other hand are created when a company controls the market by eliminating the competition this happens when a key...
what are some of the most common types of natural monopolies
the most common types of natural monopolies include those found in the telecommunications center the utility industry oil and gas companies and the railroad industry the bottom linemonopolies can be both a boon and a blessing to consumers and the market in general unlike regular monopolies natural monopolies occur beca...
what is natural selection
in modern biology natural selection is a process whereby species which have traits that enable them to adapt in an environment survive and reproduce and then pass on their genes to the next generation natural selection means that species that can adapt to a specific environment will grow in numbers and eventually great...
when natural selection is applied conceptually in the field of finance the assumption is that over the long term only those companies that can respond and successfully adapt to changes in the financial and business environment will survive
understanding natural selectionone of the most well known examples of natural selection in the field of biology is that of the english peppered moth although the english peppered moth has always existed in a variety of colors until the industrial revolution in england the light gray spotted variety was the most abundan...
when applied in a financial context natural selection means that due to the dynamism and complexity of the business environment only a handful of companies can remain in business for long periods of time companies that don t adapt may experience a potentially decreasing market share due to increased or improving compet...
natural selection is a dynamic and ongoing process while the ability to adapt to recent changes in the industry may be a good indicator of a company s or trader s overall aptitude it does not guarantee that they will be able to adapt to all future changes in the business environment example of natural selectionduring t...
what is the natural unemployment rate
the natural unemployment rate is the minimum unemployment rate resulting from real or voluntary economic forces natural unemployment reflects workers moving from job to job the number of unemployed replaced by technology or those lacking the skills to gain employment investopedia theresa chiechiunderstanding natural un...
what is natural vs cyclical unemployment
the cyclical unemployment rate is the difference between the natural unemployment rate and the current rate of unemployment as defined by the u s bureau of labor statistics
why is the natural unemployment rate significant
the natural rate of unemployment is considered the lowest acceptable level that a healthy economy can sustain without creating inflation
what is nav return
the net asset value nav return is the change in the value of a fund s assets over a period a mutual or exchange traded fund s etf nav return can differ from total or market returns because funds may trade at a premium or discount to their nav funds trading above their nav are said to trade at a premium while funds trad...
why might a fund s nav be higher or lower than its market price
the nav for a fund may vary from its market price if the supply of shares in the fund is too high or low compared with demand for shares if there are too few shares but significant demand the share price may rise above nav
do mutual funds ever trade above or below nav
no because mutual fund shares are bought and sold directly with the fund provider the shares always trade at nav there is no bid ask spread or opportunity to buy or sell shares above or below nav
should you buy a fund that s trading above its nav
buying a fund that s trading above nav may be a good idea but trading above nav isn t a reason to buy the fund on its own it could indicate investor confidence in the portfolio or high demand for the shares but it s important to consider your investment goals and the market risk of it going the wrong way on you before ...
what is near field communication nfc
near field communication nfc is a short range wireless technology that makes your smartphone tablet wearables payment cards and other devices even smarter near field communication is the ultimate technology solution for connectivity with nfc you can transfer information between devices quickly and easily with a single ...
how does near field communication technology work
nfc technology works by combining four key elements an nfc microchip within a device which acts as an antenna and receiver a reader writer that scans and allows nfc devices to access data an nfc software application on the device that can use data received by the nfc chip and an information or communications service pr...
when nfc operates in a peer to peer mode and because nfc enabled devices store personal information these devices are vulnerable to security breaches including cybercrime and digital pickpocketing
hackers and cyber criminals can try to access nfc enabled devices they may develop malicious software that can steal confidential information from these devices furthermore hackers can create tokens that mimic an nfc enabled device and gain access to this sensitive information one of the primary uses for nfc technology...
what does nfc do on my phone
enabling nfc on your phone allows you to make touchless payments using your device it also allows you to share or receive information wirelessly interact with rfid enabled cards like transit cards that contain microchips and be used with other enabled devices like room keys and so on
should nfc be on or off
because nfc draws battery power and because it could pose potential security risks such as digital pickpocketing nfc should usually be turned off when not in use
is nfc dangerous
there is no evidence to suggest that nfc technology is harmful to your health nfc or near field communication is a type of wireless technology that allows devices to exchange data over short distances it operates at a frequency of 13 56 mhz which is considered to be a low power frequency while some studies have shown t...
what is near money
near money sometimes referred to as quasi money or cash equivalents is a financial economics term describing non cash assets that are highly liquid and easily converted to cash understanding near moneynear money is a term that analysts use to understand and quantify the liquidity and nearness of liquidity for financial...
when making central bank decisions federal economists will usually consider m1 m2 and m3 implications
in the u s the fed primarily uses m1 and m2 statistics for policy considerations the fed stopped reporting m3 in 2006 2near money is considered part of the m2 money supply 3money vs near moneyin all assessments of near money it can be important to make the distinction between money and near money money includes cash in...
what is near term
the near term is a period of time not far into the future the term is used to describe events that may occur soon in finance the term is often used to explain the timeframe during which an event or change is expected to occur traders will often use the term near term when expecting a price move to happen in the near fu...
when discussing business the near term may refer to an active or soon to be active period of time the current business quarter could be referred to as the near term since everything that happens in that quarter will occur over the next three months
if a business is getting ready to launch a new product or marketing campaign within the next few months that would also be a near term initiative even though it may have been in the works for months or years near term in trading exampleconsider the following hypothetical scenario it s the start of april and a trader is...
what is near the money
the phrase near the money refers to an options contract whose strike price is close to the current market price of the corresponding underlying security near the money is synonymous with at the money it is very seldom that the underlying asset s price will be exactly at the strike price so near the money is used and th...
when at the money options have a delta value of 0 5 or 0 5 for put options this means that the option is equally likely to either end up out of the money or in the money by the time the options contract expires near the money options will have a higher or lower delta value depending on how close they are to the strike ...
investopedia does not provide tax investment or financial services and advice the information is presented without consideration of the investment objectives risk tolerance or financial circumstances of any specific investor and might not be suitable for all investors investing involves risk including the possible loss...
what is a neckline
the neckline is a level of support or resistance found on a head and shoulders pattern that is used by traders to determine strategic areas to place orders a neckline connects the swing lows which occur following the first two peaks of the head and shoulders topping pattern a move below the neckline signals a breakout ...
what does a neckline tell you
the neckline is the part of the head and shoulders chart pattern that connects the two reaction lows topping pattern or highs bottoming pattern to form an area of support or resistance the head and shoulders chart pattern is commonly used to predict bullish or bearish reversals
when the price breaks below the neckline of a topping pattern it means the prior uptrend is likely over and a downtrend is underway when the price breaks above the neckline of an inverse pattern it means the prior downtrend is likely over and an uptrend is underway
the neckline is a straight line that connects the lows top or highs inverse and is extended out to the right after the head and shoulders form their third peak top if the price drops below the neckline then the pattern is considered complete and a further downside move is expected the neckline s slope may sometimes nee...
how do you determine a head and shoulders stock pattern
a head and shoulders pattern can be determined if prices fall below the neckline after the third peak this is considered confirmation that a reversal is in progress and most analysts will predict further declines
what does a head and shoulders pattern look like on a stock chart
a head and shoulders pattern consists of three consecutive peaks with the second peak rising above the other two the straight line connecting the two troughs is called the neckline when prices fall below the neckline after the third top the pattern is considered to be confirmed
what should i do with a head and shoulders stock
in technical analysis a head and shoulders pattern is considered a bearish sign indicating that the asset may continue to lose value however it is not a foolproof indicator and most analysts will examine other factors for confirmation
what does a stock price do after a head and shoulders pattern
stock prices generally fall after a head and shoulders pattern but this is not a certainty technical analysts also examine trading volume relative strength and other metrics to gauge market sentiment
how do you trade an inverse head and shoulders
an inverse head and shoulders pattern is the reverse of a head and shoulders pattern it is usually a bullish sign indicating that prices have reached a bottom the conventional move is to go long after the pattern is confirmed in anticipation of new highs investopedia does not provide tax investment or financial service...
what is the needs approach
the needs approach is a way of determining the appropriate amount of life insurance coverage an individual should purchase this approach is based on the creation of a budget of expenses that will be incurred including funeral expenses estate settlement costs and replacement of a portion of future income to sustain the ...
when calculating your expenses it is best to overestimate your needs a little for instance the needs approach will consider any outstanding debts and obligations that should be covered such as a mortgage or car payments the needs approach also recognizes that the need for income replacement may gradually decline as chi...
the needs approach contrasts with the human life approach the human life approach calculates the amount of life insurance a family will need based on the financial loss the family would incur if the insured person were to pass away today the human life approach usually takes into account factors such as the insured ind...
what is negative amortization
negative amortization is a financial term referring to an increase in the principal balance of a loan caused by a failure to cover the interest due on that loan for example if the interest payment on a loan is 500 and the borrower only pays 400 then the 100 difference would be added to the loan s principal balance unde...
what is negative arbitrage
negative arbitrage is the opportunity lost when bond issuers assume proceeds from debt offerings and then hold that money in escrow for a period of time usually in cash or short term treasury investments until the money is able to be put to use to fund a project or to repay investors negative arbitrage may occur with a...
how negative arbitrage works
negative arbitrage occurs when a borrower pays off its debts at a higher interest rate than the rate the borrower earns on the money set aside to repay the debt basically the borrowing cost is more than the lending cost for example to fund the construction of a highway a state government issues 50 million in municipal ...
what is negative assurance
negative assurance is a determination by an auditor that a particular set of facts is believed to be accurate since no contrary evidence has been found to dispute them negative assurance is normally used by auditors in situations where it is not possible to positively confirm the accuracy of financial reports the goal ...
what does negative assurance mean
negative assurance refers to the level of certainty that something is accurate because no proof to the contrary is present in other words since there is no proof that the information is inaccurate or that deceptive practices e g fraud occurred it is presumed to be accurate
what is positive assurance
positive assurance identifies proof of facts during an audit by documenting proof an auditor can affirm no fraud has been committed in the absence of positive assurance negative assurance may be used
what does assurance mean in an audit
assurance in auditing refers to the opinions issued by a professional regarding the accuracy and completeness of what s analyzed for example an accountant assuring that financial statements are accurate and valid asserts that they have reviewed the documents using acceptable accounting standards and principles
what is a negative bond yield
a negative bond yield is when an investor receives less money at the bond s maturity than the original purchase price for the bond a negative bond yield is an unusual situation in which issuers of debt are paid to borrow in other words the depositors or buyers of bonds are effectively paying the bond issuer a net amoun...
why investors buy negative yielding bonds
investors that are interested in buying negative yielding bonds include central banks insurance companies and pension funds as well as retail investors however there are various distinct reasons for the purchase of negative yielding bonds many hedge funds and investment firms that manage mutual funds must meet certain ...
what is negative carry
negative carry is a condition in which the cost of holding an investment or security exceeds the income earned while holding it a negative carry trade or investment is often undesirable to professional portfolio managers because it means the investment is losing money as long as the principal value of the investment re...
how negative carry works
any investment that costs more to hold than it returns in payments can result in negative carry a negative carry investment can be a securities position such as bonds stocks futures or forex positions real estate such as a rental property or even a business even banks can experience negative carry if the income earned ...
what is a negative confirmation
negative confirmation is a letter or document requesting that the recipient should only respond to the sender if there were an issue with the contents of the message or the recipient wanted to opt out of the event that the letter had addressed negative confirmation letters can be used in many types of business situatio...
what is negative convexity
negative convexity exists when the shape of a bond s yield curve is concave a bond s convexity is the rate of change of its duration and it is measured as the second derivative of the bond s price with respect to its yield most mortgage bonds are negatively convex and callable bonds usually exhibit negative convexity a...
where
p bond price when interest rate is decreasedp bond price when interest rate is increasedp 0 bond pricedy change in interest rate in decimal formfor example assume a bond is currently priced at 1 000 if interest rates are decreased by 1 the bond s new price is 1 035 if interest rates are increased by 1 the bond s new pr...
when applying this to estimate a bond s price using duration a convexity adjustment must be used the formula for the convexity adjustment is
convexity adjustment convexity x 100 x dy 2in this example the convexity adjustment would be convexity adjustment 25 x 100 x 0 01 2 0 25finally using duration and convexity to obtain an estimate of a bond s price for a given change in interest rates an investor can use the following formula bond price change duration x...
what is negative correlation
negative correlation is a relationship between two variables in which one variable increases as the other decreases and vice versa in statistics a perfect negative correlation is represented by the value 1 0 while a 0 indicates no correlation and 1 0 indicates a perfect positive correlation a perfect negative correlati...
when assets that are often negatively correlated move in the same direction this is an example of systematic risk systematic risk can not be diversified away it will exist in financial markets and is the inherent risk present in investing though asset classes may traditionally be negatively correlated macroeconomic con...
example of negative correlationexamples of negative correlation are common in the investment world a well known example is the negative correlation between crude oil prices and airline stock prices jet fuel which is derived from crude oil is a large cost input for airlines and has a significant impact on their profitab...
why is correlation important
correlation is important because it is often an indicator of portfolio risk when a collection of securities is negatively correlated they pose less risk because when one security falls in value another often increases investors may also actively seek out greater risk in exchange for greater potential returns using this...
how is correlation calculated
correlation is first calculated by finding the covariance of each of the variables then the correlation coefficient is determined by dividing the covariance by the product of the variables standard deviations
what are the types of correlation
there are three types of correlation positive negative and no correlation there are also several types of correlation calculation methods including pearson correlation kendall rank correlation spearman correlation and the point biserial correlation
is negative correlation better than positive correlation
for some investors negative correlation is better than positive correlation this means that investors are exposed to less risk have the chance to invest in different types of securities and often experience less portfolio volatility for others negative correlation means hedging their investment which minimizes potentia...
what is a negative covenant
a negative covenant is an agreement that restricts a company from engaging in certain actions think of a negative covenant as a promise not to do something negative covenants are also referred to as restrictive covenants for example a covenant entered into with a public company might limit the amount of dividends the f...
when a bond is issued the features of the bond are included in a document known as the bond deed or trust indenture the trust indenture highlights the responsibilities of an issuer and is overseen by a trustee to protect the interests of investors the trust indenture also stipulates any negative covenants that the issu...
for example the negative covenant may restrict the ability of the firm to issue additional debt specifically the borrower may be required to maintain a debt equity ratio of no more than 1 likewise negative pledge clauses in loan contracts restrict the borrower from using the pledged asset as collateral for other loans ...
what is the negative directional indicator di
the negative directional indicator di measures the presence of a downtrend and is part of the average directional index adx if di is sloping upward it s a sign that the price downtrend is getting stronger this indicator is nearly always plotted along with the positive directional indicator di image by sabrina jiang inv...
what does the negative directional indicator tell you
the di line is used in conjunction with the di line to help show the direction of the trend