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A securities offering process in which securities firms submit competing bids to the issuer for the securities
the issuer wishes to sell.
Competitive offering
An offering of securities through competitive bidding.
Complete
Used in the context of general equities. Fill.
Complete capital market
A market in which there is a distinct marketable security for each and every possible outcome.
Complete portfolio
The entire portfolio, including risky and risk-free assets.
Completion bonding
Insurance that a construction contract will be successfully completed.
Completion risk
The risk that a project will not be brought into operation successfully.
Completion undertaking
An undertaking either (1) to complete a project such that it meets certain specified performance criteria on or
before a certain specified date or (2) to repay project debt if the completion test cannot be met.
Composition
Voluntary arrangement to restructure a firms debt, under which payment is reduced.
Compounding
The process of accumulating the time value of money forward in time. For example, interest earned in one
period earns additional interest during each subsequent time period.
Compounding frequency
The number of compounding periods in a year. For example, quarterly compounding has a compounding
frequency of 4.
Compounding period
The length of the time period (for example, a quarter in the case of quarterly compounding) that elapses
before interest compounds.
Compound interest
Interest paid on previously earned interest as well as on the principal.
Compound option
Option on an option.
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