April 2012
33 posts
1 tag
Risk Tolerance
 The ability to manage stress and expectations when the outcome of events is unknown. Usage: Different people have different levels of risk tolerance when it comes to gambling.
Apr 30th
1 tag
Window Dressing
Trading stocks to make sure the quarterly reports reflect a desired portfolio of stocks as compared to the stocks owned between reporting periods. Also refers to the use of accounting tricks. Usage: The accountants were window dressing so the results would be consistent with the executive’s compensation goals.
Apr 29th
2 notes
1 tag
Beta
A statistical measure of a company’s stock volatility, or variability, in relationship to the rest of the stocks in the stock market.  Usage: A high beta stock is one with wide swings in price from day to day or week to week.
Apr 28th
Volatility
The quality of a price, generally for a stock or security, to widely fluctuate over a short period of time. Usage: Stock portfolios with a lot of volatility tend to make investors very nervous.
Apr 27th
Uncertainty
The state of being doubtful; acknowledgment that the future is unknown. Commonly used when laws, governments, and trends are in flux. Usage: Stock market commentators frequently claim that uncertainty is the cause when stock prices fall for no specific reason.
Apr 26th
1 tag
Dealbreaker
 The one set of circumstances that will end discussions in a negotiation. Usage: The deal team did not want the owner’s son to remain with the company. But for the owner, that was a dealbreaker.
Apr 25th
1 tag
Opportunity Cost
The cost of forgoing one opportunity in favor of another. A means of describing the tradeoff between options. Usage: For the student, the opportunity cost associated with going to the movies was the homework that would not get done that evening.
Apr 24th
1 tag
Digital Native
 A person who grew up with digital technology. Usage: Students born in the 1990s are considered digital natives, since they never knew a time without cellular telephones.
Apr 23rd
1 tag
Elevator Speech
 A short speech or pitch designed to capture someone’s attention just enough to get him or her to agree to meet you again. The name comes from the duration of a short elevator ride—maybe thirty seconds. Usage: All the attendees at the networking event were giving their elevator speech.
Apr 22nd
1 tag
Front Line
Employees who work directly with customers. Usage: The sales clerks are the front line staff in a retail store.
Apr 21st
1 tag
Best Practices
Techniques, methods, incentives, policies, behaviors, and systems that perform a particular function well. Usage: According to best practices research, competitive intelligence is a continuous process that continues for the life of the product.
Apr 20th
1 tag
Collateral
The assets that a borrower pledges to a lender when taking out a loan. Usage: If the borrower does not repay the loan, then the collateral becomes the property of the lender.
Apr 19th
1 tag
GIGO
Garbage In, Garbage Out. Pronounced gee-go. The concept that if poor data goes into a process, then poor information is a result. A play on the abbreviation of depreciation methods LIFO and FIFO. Usage: The analyst ignored the black market when putting together the economic analysis. The results were GIGO.
Apr 18th
1 tag
Four 9's
.9999 or 99.99%  Describes a level of performance for a technical system that is available for use 99.99% of the time. Usage: Engineers designed the system to four nines.
Apr 17th
1 tag
Seven Figures
A number in the low millions or x,xxx,xxx. Usage: The company CEO was reported to have a seven figure salary.
Apr 16th
1 tag
IFRS
International Financial Reporting Standards. Pronounced eye-fers. Issued by the IASB. Usage: Many countries, including those in the European Union, require companies to use IFRS.
Apr 15th
1 tag
Par Value
The stated or face value of a stock or bond. Usage: The market value and par value of stock are usually different.
Apr 14th
1 tag
Dividend
A payment to stockholders that represents a share of the profits. Usage: Growth companies frequently do not pay dividends; instead they invest the money in future growth opportunities.
Apr 13th
1 tag
Matures
Becomes due; refers to a note or other debt instrument. Usage: When a note payable matures, the company must pay out the principal payment due.
Apr 12th
1 tag
Interface
The point of interaction between two computer systems and, more generally, between machines and between people. Usage: The seasoned employee was asked to serve as the interface between sales and engineering.
Apr 11th
1 tag
Fudge Factor
An undefined, possibly intangible, element in an equation, included to ensure the calculation makes sense in the real world. Usage: The analyst used a fudge factor to make sure his arithmetic answer was consistent with the seasoned executive’s experience.
Apr 10th
Accretive
Today’s column at TheStreet.com got picked up by Fidelity.com!  http://bit.ly/HuIETY
Apr 9th
1 tag
Application
The actual way that something is used. Frequently refers to computer programs. Usage: It’s not the equipment that matters as much as the applications for using the equipment.
Apr 9th
1 tag
Hidden Agenda
 The unspoken purpose or objective. Usage: One of the goals in a negotiation is to understand the hidden agendas.
Apr 8th
1 tag
Coopetition
 The relationship when rivals must work together. A combination of “cooperation” and “competition.” Usage: There is coopetition between large telecommunications companies when they work together in response to an earthquake.
Apr 7th
1 tag
Six Figures
A number in the hundreds of thousands or xxx,xxx. Usage: The concert promoters implied that the stadium event took in six figures.
Apr 6th
1 tag
SOX compliance
Adhering to or complying with the rules and requirements of the Sarbanes-Oxley Act (SOX). Usage: SOX compliance was supposed to increase confidence in the data found in annual reports of companies traded on the stock exchanges.
Apr 5th
Penn BioTech Group
Getting ready for tonight’s presentation at the University of Pennsylvania. 
Apr 4th
1 tag
Standard Cost
The amount a product or service is expected to cost to produce. Usage: Standard costs are frequently used in budgeting.
Apr 4th
1 tag
Revenue Center
 A logical subdivision of a company that is responsible only for sales. Opposite of a cost center. Usage: The telemarketing division is a revenue center.
Apr 3rd
Top Ten Words of the Quarter
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Apr 3rd
1 tag
Cost Center
A logical subdivision of the company that is responsible for controlling only costs. Opposite of a revenue center. Usage: The production department is a cost center.
Apr 2nd
1 tag
Technical Assessment
Evaluation of technologies and equipment to determine whether the hardware and software will serve the defined needs. Usage: The technical assessment should take market needs into consideration to make sure the technology will do what customers want it to do.
Apr 1st