What Is A Coupon?

In Wall Street coupons are understood to be the obligations for interest on bonds. They are a printed part of the bond, attached in ticket form so that they may be conveniently cut off as the interest becomes due.

What Is A Coupon Bond?

It is a bond payable to bearer without registration of the owner's name, carrying a coupon covering the interest which is clipped at each interest period, and deposited for collection, the same as a check, or presented for payment at the office of the corporation issuing the bond of the corporation's agent. Railroads and other corporation bonds sold to investors are usually coupon bonds. Coupon bonds are much more available for speculative dealings and for selling generally, and as a rule are quoted at slightly higher prices than registered bonds for the simple reason that a change in ownership involves no formal transfer beyond the mere delivery of the bond itself. Sometimes they are convertible into registered bonds and vice-versa.

What Is Covering Of Shorts?

When stock has been sold and the market advances, the seller, to protect himself, buys where he can in order to make delivery. This is called "covering short sales" or "running to cover," at a loss. If, however, the stocks decline, then they are bought in at a profit, which process is also covering one's shorts.

What Is A Craze?

When one has an extravagant desire to buy or sell, he is said to have a craze. It is a common disease in Wall Street.

What Is Meant By Credit Mobilier?

It was a financial institution incorporated in France in 1852 to place investments on security of personal property, and for general financial operations. The one chartered in Pennsylvania in 1863, which undertook the construction of the Union Pacific railroad, and collapsed amid a political scandal involving many prominent financiers and politicians, was a Credit Mobilier.

What Is A Cross Trade?

When a broker has an order to buy and sell stock at the same price, the fulfillment of the orders by entering one against the other is called a cross trade.

Such trading is not sanctioned, and to legalize the transactions, the broker makes a nominal purchase and sale through another broker.

What Is The Curb Market?

The curb market consists of a number of brokers in miscellaneous and unlisted stocks and bonds who do most of their trading in Broad Street, just below the New York Stock Exchange. Usually these brokers are the representatives of Stock Exchange firms, but many are independent, dealing in mining securities.

What Are Curbstone Or Curb Brokers?

Some years ago the name was applied to speculators who carried their offices in their hats, buying and selling puts and calls. Now, however, more dignity is attached to the name as it includes all those brokers who deal in New York's curb market. Curb brokers are not necessarily members of any recognized exchange.

What Are Current Assets?

A term used in connection with the balance sheet of a railroad or other corporation distinguishing the so-called shifting or changeable assets from capital assets. In steam railroads, current assets usually include cash on hand, loans, bills and accounts receivable, amounts due from other companies and individuals, companies' agents, and advances to other companies, etc. The "capital assets" as distinguished from the "current assets" include cost of road and equipment, permanent investments, etc.

What Are Current Liabilities?

Current liabilities of corporations or railroads include loans and bills payable, accounts payable, payrolls and vouchers, interest and dividends accrued, amounts due to other companies, etc. Capital liabilities on the cover capital stock, bonded debt, mortgages, etc.

What Is Meant By Cutting A Melon?

When a corporation makes an extra distribution to its stockholders, either in the form of an extra large cash dividend or stock dividend, it is remarked that the company is "cutting a melon."