Glossary
absolute-return fund an absolute return fund attempts to perform positively for investors regardless of general direction or market conditions by investing in a range of long and short positions with low correlation to the markets. An absolute-return fund measures the gain or loss of the portfolio as a percentage of capital invested.
ABX also known as the asset-backed securities index, is a credit derivative with asset-backed securities underlying it.
accredited investor rule 501 or Regulation D of the Securities Act of 1933 defines an accredited investor as any of the following:
- A bank, insurance company, registered investment company, business development company, or small business investment company.
- An employee benefit plan, within the meaning of the Employee Retirement Income Security Act, if a bank, insurance company, or registered investment adviser makes the investment decisions, or if the plan has total assets in excess of $5 million.
- A charitable organization, corporation, or partnership with assets exceeding $5 million.
- A director, executive officer, or general partner of the company selling the securities.
- A business in which all the equity owners are accredited investors.
- A natural person who has individual net worth, or joint net worth with the person's spouse, that exceeds $1 million at the time of purchase.
- A natural person with income exceeding $200,000 in each of the two most recent years or joint income with a spouse exceeding $300,000 for those years ...
