What Is Nominal Quotation? A nominal quotation is a hypothetical price at which a share of stock or some other security might trade. The opposite of a nominal quotation is a firm quotation, which represents a binding offer to trade at a specific price. Key Takeaways Nominal quotations are provided by market makers to help
What Is the Nominal Rate of Return? The nominal rate of return is the amount of money generated by an investment before factoring in expenses such as taxes, investment fees, and inflation. If an investment generated a 10% return, the nominal rate would equal 10%. After factoring in inflation during the investment period, the actual (“real”)
What Is Nominal Yield? A bond’s nominal yield, depicted as a percentage, is calculated by dividing total interest paid annually by the face, or par, value of the bond. Key Takeaways A bond’s nominal yield, depicted as a percentage, is calculated by dividing total interest paid annually by the face, or par, value of the
What Is a Nominated Advisor (NOMAD)? A nominated advisor (NOMAD) is a financial services firm that assists with listing a company on the Alternative Investment Market (AIM) of the London Stock Exchange (LSE). The Alternative Investment Market is a specialized unit of the LSE catering to smaller, more risky companies. The LSE requires that a
What Is Nominee Interest? Nominee interest is interest that a person collects on behalf of someone else. When a person receives nominee interest, they are responsible for either paying tax on that interest or passing the interest on to its rightful owner. If the person who receives the nominee interest opts to pass the money
What Is the Non-Accelerating Inflation Rate of Unemployment? The non-accelerating inflation rate of unemployment (NAIRU) is the specific level of unemployment that is evident in an economy that does not cause inflation to increase. In other words, if unemployment is at the NAIRU level, inflation is constant. NAIRU often represents the equilibrium between the state
What Is a Non-Accountable Plan? The TaxCuts and Jobs Act (TCJA) of 2017 eliminated itemized deductions for employees who incur unreimbursed expenses for company business for 2018 through 2025. Formerly employees could deduct out-of-pocket expenses for things like uniform cleaning and fees for professional organizations. Companies can compensate for their employees’ loss of this deduction
What Is a Non-Accredited Investor? A non-accredited investor is any investor who does not meet the income or net worth requirements set out by the Securities and Exchange Commission (SEC). The concept of a non-accredited investor comes from the various SEC acts and regulations that refer to accredited investors. An accredited investor can be a bank or
What Is a Nonaccrual Loan? Nonaccrual loan is an accounting term in the lending industry for an unsecured loan that is no longer generating its stated interest rate because no payment has been made by the borrower for 90 days or more. For a lender in business to earn interest, it has become a nonperforming
What Is a Non-Admitted Balance? A non-admitted balance is an item on an insurer’s balance sheet that represents reinsured liabilities for which the reinsurer has not provided collateral. Nonadmitted balance entries reduce the policyholders’ surplus because they represent a liability. Key Takeaways A non-admitted balance is an item on an insurer’s balance sheet that represents reinsured
