SHOP

Lending from one individual to another and not involving a bank as the traditional lender.

See Peer-to-Peer Lending.

Electronic execution of trades offered in competition between different dealers and their clients.

Financial tests which are performed regularly (e.g., every 3 months) and can include tests such as maintaining a minimum net worth, debt/EBITDA not to exceed a certain amount, capping capital expenditures, and requiring minimum interest coverage.

See Lead Market Maker.

An order to buy or sell a security at a specified price or better.

The LMM provides defined market quotes for listed Exchange Traded Products on the NYSE Arca exchange. LMMs must maintain continuous, two-sided quotes for each security in which the firm is registered as set forth by the parameters in NYSE Arca Rule 7.23. LMM must meet minimum performance requirements which include…

Delays that can be incurred in the processing of network data. Low latency network connections generally experience small delay times while high latency connections generally suffer from long delays.

Covenants that are tested for specific events such as incurring additional indebtedness, paying dividends and acquiring new businesses

HFT is a form of automated trading. These automated strategies try to find market liquidity imbalances or short-term pricing inefficiencies leaving no positions at the end of the day. HFT produces large-scale turnover of many positions, making small returns on each position.

See High-Frequency Trading.

Fintech is short for financial technology. It is technology-driven innovation in the design and delivery of banking, lending and capital markets financial services and products. Examples would be mobile payment systems, cryptocurrencies, the use of blockchain, peer to peer lending, and robo-advisors.