What Is Share Of Wallet (SOW)? Share of wallet (SOW) is the dollar amount an average customer regularly devotes to a particular brand rather than to competing brands in the same product category. Companies try to maximize an existing customer’s share of wallet by introducing multiple products and services to generate as much revenue as possible
What are Service Certificates? Service certificates are similar to bonds in that they had a face value and promised payment, including compound interest, to eligible World War I veterans at the maturity date. Key Takeaways Service certificates are similar to bonds in that they had a face value and promised payment, including compound interest, to
What Is a Service Charge? A service charge is a fee collected to pay for services related to the primary product or service being purchased. The charge is usually added at the time of the transaction. Many industries collect service charges, including restaurants, banking, and travel and tourism. When collected, these charges may cover services
What Is the Service Sector? The service sector produces intangible goods, more precisely services instead of goods, and according to the U.S. Census Bureau, it comprises various service industries including warehousing and transportation services; information services; securities and other investment services; professional services; waste management; health care and social assistance; and arts, entertainment, and recreation. Countries with economies centered
What Is a Services Sector ETF? A services sector ETF is an exchange-traded fund (ETF) that aims to replicate the returns of an underlying services sector index, a hypothetical portfolio representing the industry, by investing in the same basket of securities. To achieve this goal, these funds invest primarily in the consumer services or financial services sector
What Is a Servicing Strip? A servicing strip is a type of security created by the stream of cash flows that is backed from the servicing fee on a mortgage. A servicing strip is a small percentage of periodic loan payments as part of overall loan servicing. Loan servicing refers to all of the administrative
What Is the Session Price? The term session price refers to the price of a stock over the entire trading session, which is a variable period of time. The session price is also sometimes referred to as the final price at the close of the session. Daily price data for a trading instrument usually includes
What Is a Set-Off Clause? A set-off clause is a legal clause that gives a lender the authority to seize a debtor’s deposits when they default on a loan. A set-off clause can also refer to a settlement of mutual debt between a creditor and a debtor through offsetting transaction claims. This allows creditors to
What Is the Settlement Period? In the securities industry, the trade settlement period refers to the time between the trade date—month, day, and year that an order is executed in the market—and the settlement date—when a trade is considered final. When shares of stock, or other securities, are bought or sold, both buyer and seller
What Is a Settlement Agent? A settlement agent is a party who helps complete a transaction between a buyer and a seller. This is done through the transfer of securities to the buyer and the transfer of cash or other compensation to the seller. For a real estate transaction, closing agents are professionals who function
