Investment Terms and Concepts

Bullion Coins – Florida Precious Metals Fraud and Mismanagement State and Federal Court Litigation Attorney

Published on: June 3, 2013 | By Russell L. Forkey, P.A.

Bullion Coins – Florida Precious Metals (Gold, Silver, Platinum or Palladium) Fraud and Mismanagement State and Federal Court Litigation Attorney:

Bullion Coins are coins composed of metal such as gold, silver, platinum, or palladium. Bullion coins provide the purest play on the “up or down” price moves of the underlying metal, and are the most actively traded. These coins trade at a slight premium over their metal content, unlike Numismatic coins, which trade on their rarity and artistic value. Some of the most popular bullion coins minted by major governments around the world include the American Eagle, the Canadian Maple Leaf, the South African Krugerrand, and the Australian Kangaroo. In addition to trading bullion in coin form, nearly pure precious metals are also available in bar form.

Please keep in mind that the above information is being provided for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If the reader has any questions concerning the contents of this post, you should consult a qualified professional.

Net Asset Value (NAV) – Florida Corporate and Business State and Federal Court Litigation Attorney

Published on: June 3, 2013 | By Russell L. Forkey, P.A.

Net Asset Value (NAV) – Florida Corporate and Business Litigation Attorney (Commercial Litigation Attorney):

Net Asset Value is the book value of a company’s different classes of securities, usually stated as net asset value per bond, net asset value per share of preferred stock, and net book value per common share of common stock. The formula for computing net asset value is total assets less and intangible asset less all liabilities and securities have a prior claim, divided by the number of units outstanding.

Please keep in mind that the above information is being provided for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If the reader has any questions relative to this post, you should consult a qualified expert.

Executor – Executrix – Florida Elder Abuse and Advocate Litigation Attorney

Published on: June 1, 2013 | By Russell L. Forkey, P.A.

Executor – Executrix – South Florida Elder Abuse and Advocate Litigation Attorney:

An Executor or Executrix is the administrator of an estate that is being probated. The administrator gathers the estate assets, files the estate tax return and final personal income tax return; and distributes the balance, of the estate, in accordance with the terms of the will or, if there is no will, in accordance with the law of the state where the estate is being administrated. The executor’s responsibility is relatively short term. An executor / executrix may be a bank trust officer, a lawyer, a family member or a trusted friend.

In marshalling the assets of an estate, the executor / executrix will review bank statements, brokerage statements, annuities and other investments to file inventories and various tax returns. Frequently, these reviews will uncover abuse to which the decedent has been exposed. In such circumstances, it is important to consult with a qualified professional to determine whether or not there is any legal recourse to recover losses associated with the activity.

Contingent Deferred Sales Load – Florida Elder Abuse Mutual Fund and Breach of Fiduciary Duty FINRA Arbitration and

Published on: June 1, 2013 | By Russell L. Forkey, P.A.

Contingent Deferred Sales Load (Charge) – South Florida Elder Abuse Mutual Fund Breach of Fiduciary Duty FINRA Arbitration and Litigation Attorney:

A contingent deferred sales load (charge) is a sales charge levied by a mutual fund if a customer sell fund shares within a specified number of years. Instead of charging a traditional front end load of 5%, for example, a brokerage firm may offer the same fund with a contingent deferred sales load. Customers who sell the fund within the first year pay a 5% load. In the second year, the charge would be 4%. Each year the charge declines by one percentage point until there is no fee for selling fund shares after the fifth year.

Please keep in mind that this information is being provided for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If the reader has any questions concerning this post, you should contact a qualified professional.

Bond Discount – Florida Bond Investment Breach of Fiduciary Duty FINRA Arbitration and Litigation Attorney

Published on: May 31, 2013 | By Russell L. Forkey, P.A.

Bond Discount – Florida Bond Investment Breach of Fiduciary Duty, Breach of Contract and Negligence FINRA Arbitration and State and Federal Litigation Attorney:

A bond discount is the amount by which the market price of a bond is lower than its face value. Outstanding bonds with fixed coupons go to discounts when market interest rates rise. Discounts are also caused when supply exceeds demand and when a bond’s credit rating is reduced. When opposite conditions exist and market price is higher than face value, the difference is termed a bond premium. Premiums also occur when a bond issue with a call feature is redeemed prior to maturity and the condholder is compensated for lost interest.

Please keep in mind that the information provided in this post is for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If the reader has any questions concerning the contents of this post, you should contact a qualified professional.

Naked Option and Covered Option – Florida Securities Fraud, Misrepresentation, Breach of Fiduciary Duty FINRA Arbitration and Litigation Attorney

Published on: May 25, 2013 | By Russell L. Forkey, P.A.

Naked Option – Florida Breach of Fiduciary Duty, Negligent Supervision and Mismanagement FINRA Arbitration and Litigation Attorney:

A Naked Option is an option for which the buyer or seller has no underlying security position. A writer of a naked Call Option, therefore does not own a Long Position in the stock on which the call has been written. Similarly, the writer of a naked Put Option does not have a Short Position in the stock on which the put has been written. Naked options are very risky and are not suitable for many investors, especially risk adverse investors. However, naked options can be potentially rewarding. If the underlying stock or stock index moves in the direction sought by the investor, profits can be large, because the investor would only have had to put down a small amount of money to obtain large returns. On the other hand, if the stock moves in the opposite direction, the writer of the naked option could be subject to huge losses.

Please keep in mind that the information being provided in this post is for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as providing legal or investment advice. If the reader has any questions relative to this post, you should contact a qualified professional

Municipal Bond Insurance – Florida Municipal Security FINRA Arbitration and Litigation Attorney

Published on: May 25, 2013 | By Russell L. Forkey, P.A.

Municipal Bond and Municipal Security – Florida FINRA Arbitration and State and Federal Litigation Attorney:

A Muni is a popular designation for a municipal security, especially a Municipal Bond. Municipal Bonds are debt obligations of a state or local government entity. The funds received by the entity may support general governmental needs or special projects. Municipal Bonds are generally divided into two broad groups: (1) Public Purpose Bonds and (2) Private Purpose Bonds.

Please keep in mind that the information provided in this post is for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If the reader has any questions concerning this post, you should contact a qualified professional.

Merger – Florida Breach of Contract or Letter of Intent Commercial and Business Dispute and Litigation Attorney

Published on: May 24, 2013 | By Russell L. Forkey, P.A.

Merger – Florida Breach of Contract, Breach of Letter of Intent, and Breach of Fiduciary Duty Commercial and Business Dispute and Litigation Attorney:

A merger is a combination of two or more companies, where the amount paid over and above the acquired company’s book value is carried on the books of the purchaser as goodwill; or a consolidation, where a new company is formed to acquire the net assets of the combining companies. Strictly speaking only combinations (mergers) in which one of the companies survives as a legal entity are called mergers.

Mergers can also be classified in terms of their economic function. Thus a horizontal merger is one combining direct competitors in the same product lines and markets; a vertical merger combines customer and company or supplier and company; a market extension merger combines companies selling the same products in different markets; a product extension merger combines companies selling different but related products in the same market; a conglomerate merger combines companies with none of the above relationships or similarities.

Leverage Buyout (LBO) – Florida Breach of Contract and Fraud – Commercial and Business State and Federal Court Litigation Attorney

Published on: May 23, 2013 | By Russell L. Forkey, P.A.

Leverage Buyout (LOB) – Florida Breach of Contract and Fraud – Commercial and Business State and Federal Court Litigation Attorney:

A Leverage Buyout (LOB) is the takeover of a company using leverage. Frequently, the target company’s assets act as security for the loans taken out by the acquiring firm, which repays the loan out of cash flow of the acquired company. Management of the target company may use this technique to retain control by converting a company from public to private. A group of investors may also borrow money from banks or other sources, using their own assets as collateral, as part of the takeover. In almost all leveraged buyouts, public shareholders receive a premium over the current market value for their shares.

Please keep in mind that the information provided in this post is for educational purposes only. It is not designed to be complete in all material respects. Thus, it should not be relied upon as legal or investment advice. If you have any questions concerning the contents of this post, you should consult with a qualified professional.

Limited Partnership – Florida Breach of Contract and Breach of Fiduciary Duty State and Federal Court Commercial and Business Litigation Attorney

Published on: May 19, 2013 | By Russell L. Forkey, P.A.

Limited Partnership Breach of Contract, Breach of Fiduciary Duty, Mismanagement and Misrepresentation Commercial and Business State and Federal Court Litigation Attorney:

A Limited Partnership is an organization made up of a General Partner, who manages the entity, and limited partners, who invest money but have limited liability, are who are not involved in the day-to-day management and operation of the venture. With certain exceptions, limited partners usually cannot lose more than their invested capital. Limited partnerships are engaged in business ventures such as real estate, oil and gas and equipment leasing.

Public limited partnerships are sold through brokerage firms by the use of written offering documents. Private limited partnerships can be offered through various means. Regardless, each offering method must comply with federal and state securities laws.