Secured Loans
A bond issued on the domestic capital market of another company.
Foreign bond market
That portion of the domestic bond market that represents issues floated by
foreign companies or governments.
Foreign Credit Insurance Association (FCIA)
A private U.S. consortium of insurance companies that offers trade credit
insurance to U.S. exporters in conjunction with the U.S. (Ex-Im Bank) Export-
Import Bank.
Foreign currency
Foreign money.
Foreign currency forward contract
Mainly applies to international equities. Agreement that obliges its parties to
exchange given quantities of currencies at a pre-specified exchange rate on a
certain future date.
Foreign currency futures contract
Mainly applies to international equities. Standardized and easily transferable
obligation between two parties to exchange currencies at a specified rate during
a specified delivery month; standardized contract on specified underlying
currencies, in multiples of standard amounts. Purchased and traded on a
regulated exchange to which margins are posted.
Foreign currency option
An option that conveys the right (but not the obligation) to buy or sell a specified
amount of foreign currency at a specified price within a specified time period.
Foreign currency translation
The process of restating foreign currency accounts of subsidiaries into the
reporting currency of the parent company in order to prepare consolidated
financial statements.
