What Is a Coiled Market? A coiled market, or coiled spring, is a market that has a lot of potential to make a strong move in one direction after being pushed in the opposite direction or held flat over some period of time. The idea is that if a market ought to be headed in
What Is Closed Corporation? A closed corporation is a company whose shares are held by a select few individuals who are usually closely associated with the business. Key Takeaways Closed corporations are companies with a small number of shareholders that are privately held by managers, owners, and even families.These companies are not publicly traded and
What Is a Closed Economy? A closed economy typically refers to a country that does not trade or engage in other financial exchanges with any other country. That means no imports come into the country and no exports leave it. The goal of a closed economy is complete self-sufficiency, providing domestic consumers with everything they need from within the
What Is a Closed-End Fund? A closed-end fund is a type of mutual fund that issues a fixed number of shares through a single initial public offering (IPO) to raise capital for its initial investments. Its shares can then be bought and sold on a stock exchange but no new shares will be created and
What Is a Closed-End Lease? A closed-end lease is a rental agreement that puts no obligation on the lessee (the person making periodic lease payments) to purchase the leased asset at the end of the agreement. A closed-end lease is also called a “true lease,” “walkaway lease,” or “net lease.” Key Takeaways A closed-end lease is
A closed-end management company is an investment company that manages closed-end mutual funds and sells a limited number of shares to investors on an exchange by way of an initial public offering. Breaking Down Closed-End Management Company The Investment Company Act of 1940 regulates closed-end managment companies. Closed-end management companies specialize in the management of
What Is a Closed-end Mortgage? A closed-end mortgage (also known as a “closed mortgage”) is a restrictive type of mortgage that cannot be prepaid, renegotiated, or refinanced without paying breakage costs or other penalties to the lender. This type of mortgage makes sense for homebuyers who are not planning to move anytime soon and will accept
What Is a Closed-Market Transaction? A closed-market transaction is an order placed by a company’s insider to buy or sell restricted securities from within the company’s own treasury. Appropriate documentation must be filed before a closed-market transaction order can be placed. Key Takeaways A closed-market transaction is an order placed by a company’s insider to
What Are Closely Held Shares? Closely held shares refers to stocks that are held by a small number of investors in a closely held corporation; a closely held corporation is one where a small number of investors possess most of the corporation’s available shares. These shareholders—also called “majority” or “controlling” stockholders—are either affiliated with the company, its management, or
What Is the Close Period? The close period (or closed period) is the time between the completion of a listed company’s financial results and the announcing of these results to the public. The close period is typically regarded as the one-month period preceding the release of a company’s quarterly results, and the two-month period before
