An investment strategy for an individual portfolio or pooled funds vehicle such as a mutual fund. Only equity securities are considered for investment…

A monthly weighted average of the interest rates paid on checking and savings accounts offered by financial institutions operating in the states of Arizona…

Home loans that are more than 60 days past due on their monthly mortgage payments. 60-plus delinquency rates are typically expressed as a percentage of…

Probability calculated by logically examining existing information. A priori probabilities are most often used within the counting method of calculating…

A statistical term describing the total number of trials or observations within a given interval or frequency bin. The frequency bins can be of any size…

The risk that the assumptions that actuaries implement into a model to price a specific insurance policy may turn out wrong or somewhat inaccurate. Possible…

A statistical property that states the probability of one and/or two events occurring at the same time is equal to the probability of the first event…

A professional organization for academics and associates in the insurance industry. The American Risk and Insurance Association consists of carriers…

A statistical analysis tool that separates the total variability found within a dataset into two components, random and systematic factors. The random…

The return an investment provides over a period of time, expressed as a time-weighted annual percentage. Sources of returns can include dividends, returns…

A mathematical representation of the degree of similarity between a given time series and a lagged version of itself over successive time intervals. It…

The simple mathematical average of a series of returns generated over a period of time. An average return is calculated the same way a simple average…

A shipping and trade index created by the London-based Baltic Exchange that measures changes in the cost to transport raw materials such as metals, grains…

A multi-factor model created by Barra Inc., which is used to measure the overall risk associated with a security relative to the market. Barra Risk Factor…

A formula for determining conditional probability named after 18th-century British mathematician Thomas Bayes. The theorem provides a way to revise existing…

A mathematical model that uses financial ratios and eight variables to identify whether a company has manipulated its earnings. The variables are constructed…

A probability distribution that summarizes the likelihood that a value will take one of two independent values under a given set of parameters or assumptions…

A metric used to evaluate the relationship between bond yields and earnings yields in the stock market. The Bond Equity Earnings Yield Ratio (BEER) has…

An exchange-traded fund that invests in stocks and listed securities associated with the countries of Brazil, Russia, India and China. BRIC ETFs are designed…

A research center at the University of Chicago Graduate School of Business. The Center for Research In Security Prices (CRSP) is a vendor of historical…

A statistical theory that states that given a sufficiently large sample size from a population with a finite level of variance, the mean of all samples…

A monthly survey of 100 CEOs from a variety of industries in the U.S. economy. The survey is conducted, analyzed and reported by the Conference Board…

A line formed using regression analysis that summarizes a particular security or portfolio's systematic risk and rate of return. The rate of return is…

A measure used in statistical model analysis to assess how well a model explains and predicts future outcomes. It is indicative of the level of explained…

A statistical measure that calculates the degree of peak of a variable's probability distribution in relation to another variable's peakedness. All other…

An oscillator used in technical analysis to help determine when an investment vehicle has been overbought and oversold.  The Commodity Channel Index…

The rate of return, usually expressed as a percentage, that represents the cumulative effect that a series of gains or losses have on an original amount…

Probability of an event or outcome based on the occurrence of a previous event or outcome.  Conditional probability is calculated by multiplying the probability…

A term used in inferential statistics that measures the probability that a population parameter will fall between two set values. The confidence interval…

An annualized rate of default on a group of mortgages, typically within a collateralized product such as a mortgage-backed security (MBS). The constant…

A quarterly survey report produced by the Conference Board and TNS NFO that records, analyzes and reports on the internet usage of 10,000 U.S. households…

A statistical measure that represents a multivariate uniform distribution, which examines the association or dependence between many variables. Although…

A statistical measure that calculates the symmetry of a variable's probability distribution in relation to another variable's probability distribution…

A type of model used by financial institutions to determine the likelihood of a default on credit obligations by a corporation or sovereign entity. These…

Studies of a population based on factors such as age, race, sex, economic status, level of education, income level and employment, among others. Demographics…

A set of brief descriptive coefficients that summarizes a given data set, which can either be a representation of the entire population or a sample. The…

In forecasting models, the process of removing the effects of accumulating data sets from a trend to show only the absolute changes in values and to allow…

A term used in statistics that refers to the location of a set of values relative to a mean or average level. In finance, dispersion is used to measure…

The amount of capital that a firm, usually in financial services, needs to ensure that the company stays solvent. Economic capital is calculated internally…

A piece of economic data, usually of macroeconomic scale, that is used by investors to interpret current or future investment possibilities and judge…

A weekly report provided every Thursday by the Energy Information Administration. The report applies to natural gas reserves that are stored underground…

A form of probability that is based on some event occurring, which is calculated using collected empirical evidence. An empirical probability is closely…

A statistical rule stating that for a normal distribution, almost all data will fall within three standard deviations of the mean. Broken down, the empirical…

A type of weighting that gives the same weight, or importance, to each stock in a portfolio or index fund. The smallest companies are given equal weight…

An phenomenon that describes the anomalously higher historical real returns of stocks over government bonds. The equity premium, which is defined as equity…

A variable in a statistical and/or mathematical model, which is created when the model does not fully represent the actual relationship between the independent…

A statistical term describing that a probability, or return distribution, has a kurtosis coefficient that is larger then the coefficient associated with…

A type of mathematical analysis that attempts to identify patterns or cycles in a time series data set which has already been normalized. By first removing…

A representation, either in a graphical or tabular format, which displays the number of observations within a given interval. The intervals must be mutually…

When an individual erroneously believes that the onset of a certain random event is less likely to happen following an event or a series of events. This…