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
What Is a Settlement Bank? A settlement bank is the last bank to receive and report the settlement of a transaction between two entities. It is the bank that partners with an entity being paid, most often a merchant. As the merchant’s primary bank for receiving payment, it can also be referred to as the
What is Settlement Date Accounting? Settlement date accounting is an accounting method that accountants may use when recording financial exchange transactions in the company’s general ledger. Under this method, a transaction is recorded on the “books” at the point in time when the given transaction has been fulfilled. Key Takeaways Under settlement date accounting, a
What Is a Settlement Statement? A settlement statement is a document that summarizes the terms and conditions of a settlement agreement between parties. Commonly used for loan agreements, a settlement statement details the terms and conditions of the loan and all costs owed by or credits due to the buyer or seller. It also details
What Is a Settling-In Allowance? A settling-in allowance is money provided as part of relocation expenses to a person who has transferred locations or moved as part of accepting a new job. A settling-in allowance may be given as a lump sum or later reimbursed by the current or new employer upon submission of related
A settlor is the entity that establishes a trust. The settlor goes by several other names: donor, grantor, trustor, and trustmaker. Regardless of what this entity is called, its role is to legally transfer control of an asset to a trustee, who manages it for one or more beneficiaries. In certain types of trusts, the
What Is Severance Pay? Severance pay is the compensation and/or benefits an employer provides to an employee after employment is over. Severance packages may include extended benefits, such as health insurance and outplacement assistance to help an employee secure a new position. Employers offer packages to employees who are laid off, whose jobs are eliminated
