What Is the Bimetallic Standard? A bimetallic standard, or bimetallism, is a monetary system in which a government recognizes coins composed of both gold or silver as legal tender. The bimetallic standard backs a unit of currency to a fixed ratio of gold and/or silver. The mint ratio, or gold/silver ratio, is the price of an
What Is a Bimonthly Mortgage? A bimonthly mortgage payment is a mortgage plan in which half of the scheduled monthly payment is made twice a month. This plan is not to be confused with a biweekly plan, where half of the scheduled monthly payment is made every two weeks. Sometimes spelled as “bi-monthly” mortgage payments
What Is Binance Coin (BNB)? Binance Coin is the cryptocurrency issued by Binance exchange and trades with the BNB symbol. As of Q2 2022, Binance Exchange is the largest cryptocurrency exchange in the world, with a volume of $7.6 billion. Key Takeaways Binance Coin is the cryptocurrency issued by the Binance exchange and trades with
What Is the Binance Exchange? The Binance Exchange is a leading cryptocurrency exchange founded in 2017 in Hong Kong. It features a strong focus on altcoin trading. Binance offers crypto-to-crypto trading in more than 600 cryptocurrencies and virtual tokens, including Bitcoin (BTC), Ether (ETH), Litecoin (LTC), Dogecoin (DOGE), and its own token Binance Coin (BNB).
What Is a Binomial Tree? A binomial tree is a graphical representation of possible intrinsic values that an option may take at different nodes or time periods. The value of the option depends on the underlying stock or bond, and the value of the option at any node depends on the probability that the price
What Is Binomial Distribution? Binomial distribution is a probability distribution used in statistics that summarizes the likelihood that a value will take one of two independent values under a given set of parameters or assumptions. The underlying assumptions of binomial distribution are that there is only one outcome for each trial, that each trial has
What Is the Binomial Option Pricing Model? The binomial option pricing model is an options valuation method developed in 1979. The binomial option pricing model uses an iterative procedure, allowing for the specification of nodes, or points in time, during the time span between the valuation date and the option’s expiration date. Key Takeaways The
What Is Best Execution? Best execution is a legal mandate that requires brokers to seek the most favorable options to execute their clients’ orders within the prevailing market environment. Best execution is a significant investor protection requirement that obligates a broker to exercise reasonable care when executing an order to obtain the most advantageous terms
What Was the Best-Interest Contract Exemption (BICE)? The best-interest contract exemption (BICE) allowed fiduciaries to be paid in ways that were otherwise prohibited, such as commissions or revenue sharing. The rule was passed as part of a new, more stringent definition of a fiduciary by the Department of Labor in a ruling that was subsequently vacated in
What Is Beta? Beta (β) is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market as a whole (usually the S&P 500). Stocks with betas higher than 1.0 can be interpreted as more volatile than the S&P 500. Beta is used in the capital asset pricing model (CAPM), which
