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A detailed schedule of financial activity, such as an advertising budget, a sales budget, or a capital budget.
Budget deficit
The amount by which government spending exceeds government revenues.
Build a book
Used in the context of general equities. Develop customer orders to gather demand/supply in order to make
a bid or an offer.
Builder buydown loan
A mortgage loan on newly developed property that the builder subsidizes during the early years of the
development. The builder uses cash to buy down the mortgage rate to a lower level than the prevailing
market loan rate for some period of time. The typical buydown is 3% of the interest-rate amount for the first
year, 2% for the second year, and 1% for the third year (also referred to as a 3-2-1 buydown).
Bull
An investor who thinks the market will rise. Related: bear.
Bull-bear bond
Bond whose principal repayment is linked to the price of another security. The bonds are issued in two
tranches: in the first tranche repayment increases with the price of the other security, and in the second
tranche repayment decreases with the price of the other security.
Bull CD, Bear CD
A bull CD pays its holder a specified percentage of the increase in return on a specified market glossary while
guaranteeing a minimum rate of return. A bear CD pays the holder a fraction of any fall in a given market
glossary.
Bulldog bond
Foreign bond issue made in London.
Bulldog market
The foreign market in the United Kingdom.
Bullet contract
A guaranteed investment contract purchased with a single (one-shot) premium. Related: Window contract.
Bullet loan
A bank term loan that calls for no amortization.
Bullet strategy
A fixed income strategy in which a portfolio is constructed so that the maturities of its securities are highly
concentrated at one point on the yield curve.
Bullish, bearish
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