What Is Recourse? A recourse is a legal agreement that gives the lender the right to pledged collateral if the borrower is unable to satisfy the debt obligation. Recourse refers to the lender’s legal right to collect. Recourse lending provides protection to lenders, as they are assured of having some repayment, either in cash or
What Is a Recourse Loan? The term recourse loan refers to a type of loan that can help a lender recoup its investment if a borrower fails to pay and the value of the underlying asset is not enough to cover it. A recourse loan is a form of secured financing. It lets the lender
What Are Recoverable Reserves Recoverable reserves are oil and gas reserves that are economically and technically feasible to extract at the existing price of oil. Resource reserves are important to companies’ balance sheets because they are assets that the company projects it will monetize and affect the company’s value to investors. Key Takeaways Recoverable reserves
What Is a Recovery Property? A recovery property was a specific class of depreciable real estate under the Accelerated Cost Recovery System (ACRS), a U.S. federal tax break from 1980 to 1986. In 1986, the ACRS became the Modified Accelerated Cost Recovery System (MACRS). Any property that is depreciable under ACRS is considered recovery property
What Is the Recovery Rate? Recovery rate is the extent to which principal and accrued interest on defaulted debt can be recovered, expressed as a percentage of face value. The recovery rate can also be defined as the value of a security when it emerges from default or bankruptcy. The recovery rate enables an estimate
What Are Rectangles? Rectangle refers to a pattern in which the price of an asset stays within an upper and lower limit. As the price stays between these limits, bouncing back and forth, a rectangle can be drawn, or seen, around the price action. Rectangles are also referred to as ranges. Key Takeaways A rectangle
What Is a Real Option? A real option is an economically valuable right to make or else abandon some choice that is available to the managers of a company, often concerning business projects or investment opportunities. It is referred to as “real” because it typically references projects involving a tangible asset (such as machinery, land
What Is Real Property? Real property is a parcel of land and everything that is permanently attached to the land. The owner of real property has all of the rights of ownership, including the right to possess, sell, lease, and enjoy the land. Real property may be classified according to its general use as residential
What Is the Real Rate of Return? The real rate of return is the annual percentage of profit earned on an investment, adjusted for inflation. Therefore, the real rate of return accurately indicates the actual purchasing power of a given amount of money over time. Adjusting the nominal return to compensate for inflation allows the
What Is Real-Time Trade Reporting? Real-time trade reporting refers to a regulatory requirement that market makers (MMs) publicly report each transaction immediately after it is completed. Real-time trade reporting improves efficiency and transparency in the market. Real-time trade reporting should not be confused with real-time quotes (RTQs), which instead provide bid and offer information about
