Home Wikituition Browse all terms Categories
Random term

Terms starting with F

35 terms · page 1 of 2

A–Z
All A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Filtering by: Starts with F Clear all
Market Basics & Instruments

Face Value

The nominal value assigned to a share by the company at issue, used for accounting and for expressing dividends, and unrelated to what the…

Paid-up Share Capital = Face Value x Number of Shares Issued ₹ Technical Analysis & Chart Patterns

Falling Wedge

A formation in which both boundaries slope downward but converge, with the upper boundary falling more steeply than the lower.

Test: lower highs and lower lows, with the line through the highs falling faster than the line through the lows qualitative Technical Analysis & Chart Patterns

False Breakout

A move beyond a defined level that reverses back into the prior range shortly afterwards.

Test: price breaches the level and then closes back inside the range within a stated number of periods qualitative Market Psychology & Behavioural Finance

Familiarity Bias

Preferring investments one recognises, treating familiarity as a proxy for safety.

Test: the allocation favours known names or sectors without a corresponding analytical basis qualitative Market Psychology & Behavioural Finance

Fear

The emotional response to potential loss that leads investors to reduce exposure or avoid it entirely.

Test: exposure is reduced or avoided on the basis of recent price movement rather than on a changed assessment of the asset qualitative Market Psychology & Behavioural Finance

Fear of Missing Out

The anxiety of being left out of a rise that others are participating in, leading to purchases made without analysis.

Test: the decision to buy is triggered by others' gains rather than by any assessment of the asset's value qualitative Technical Analysis & Chart Patterns

Fibonacci Extension

Levels projected beyond a prior move at set multiples of its size, used to mark possible areas where an advance may pause.

Extension Level = Retracement Low + (High - Low) x Ratio, where common ratios are 127.2%, 161.8%, 200% and 261.8% % Technical Analysis & Chart Patterns

Fibonacci Retracement

Horizontal levels drawn at set percentages of a prior price move, used to mark potential areas where a pullback may pause.

Retracement Level = High - (High - Low) x Ratio, where common ratios are 23.6%, 38.2%, 50%, 61.8% and 78.6% % Corporate Actions, Dividends & Governance

Final Dividend

A dividend recommended by the board after the year's accounts are prepared and approved by shareholders at the annual general meeting.

Test: the dividend is recommended with the annual results and requires an ordinary resolution at the annual general meeting ₹ Fundamental Analysis & Valuation

Financial Leverage

The use of borrowed money to increase the return on shareholders' capital, and the risk that comes with it.

Equity Multiplier = Total Assets / Shareholders' Equity; Degree of Financial Leverage = Percentage Change in Net Profit / Percentage Change in Operating Profit ratio (x, times) Financial Statements & Accounting

Financing Cash Flow

The net cash raised from or returned to providers of capital through borrowing, share issues, dividends and buybacks.

Financing Cash Flow = Borrowings Raised + Share Issues - Borrowings Repaid - Dividends Paid - Buybacks - Interest Paid ₹ crore Indian Market, Regulation & Taxation

First In, First Out

The convention that the earliest-acquired units of a security are treated as sold first.

Test: on a partial sale, the cost and holding period of the oldest lot are used first, then the next oldest qualitative Economy, Macro & Market Cycles

Fiscal Deficit

The gap between the government's total expenditure and its total revenue excluding borrowings, in a year.

Fiscal Deficit = Total Expenditure - (Revenue Receipts + Non-Debt Capital Receipts) % Economy, Macro & Market Cycles

Fiscal Policy

The government's use of taxation and spending to influence economic activity.

Fiscal Impulse = Change in the Fiscal Deficit as a percentage of GDP, adjusted for the cycle % Technical Analysis & Chart Patterns

Flag Pattern

A short, shallow consolidation in a small parallel channel that slopes against the direction of a sharp preceding move.

Test: a steep prior move, followed by a brief parallel-sided consolidation retracing only a small portion of it qualitative Funds, ETFs & Index Investing

Flexi-Cap Fund

An equity fund free to invest across large, mid and small-cap companies in any proportion.

Test: minimum 65% in equity with no mandated split across market capitalisation segments qualitative Bonds & Fixed Income

Floating-Rate Bond

A bond whose coupon resets periodically against a reference rate rather than staying fixed.

Coupon = Reference Rate at Reset + Fixed Spread % Market Basics & Instruments

Follow-on Public Offer

A public issue of shares by a company that is already listed, made after its initial public offering.

Test: the issuer is already listed and is offering further shares to the public at large qualitative Economy, Macro & Market Cycles

Foreign Exchange Reserves

Foreign currency assets, gold and reserve positions held by a central bank to meet external obligations and manage the currency.

Import Cover = Foreign Exchange Reserves / Average Monthly Imports, expressed in months ₹ crore Economy, Macro & Market Cycles

Foreign Institutional Flows

Net purchases or sales of Indian securities by foreign portfolio investors.

Net Flow = Value of Purchases - Value of Sales by foreign portfolio investors over the period ₹ crore Indian Market, Regulation & Taxation

Foreign Portfolio Investor

A non-resident investor registered with SEBI to invest in Indian securities markets.

Test: the entity holds a SEBI FPI registration in the applicable category and invests within prescribed limits qualitative Derivatives, Futures & Options

Forward Contract

A privately negotiated agreement to buy or sell an asset at a set price on a future date, not traded on an exchange.

Test: terms are bilaterally negotiated, the contract is not exchange-traded, and settlement occurs directly between the parties qualitative Fundamental Analysis & Valuation

Forward Price-to-Earnings

The price-to-earnings ratio computed using forecast earnings for a future period rather than reported ones.

Forward P/E = Current Market Price / Estimated Earnings per Share for the Forecast Period ratio (x, times) Market Psychology & Behavioural Finance

Framing Effect

The tendency for a decision to change depending on how the identical information is presented.

Test: preferences reverse when the same outcome is described as a gain rather than as a loss, or in different units qualitative