Contingent claim
A claim that can be made only if one or more specified outcomes occur. |
Similar financial terms
Contingent deferred sales charge (CDSC)The formal name for the load of a back-end load fund.
Contingent immunization
An arrangement in which the money manager pursues an active bond portfolio strategy until an adverse investment experience drives the then-available potential return down to the safetynet level. When that point is reached, the money manager is obligated to pursue an immunization strategy to lock in the safety-net level return.
Contingent pension liability
Under ERISA, the firm is liable to the plan participants for up to 39% of the net worth of the firm.
Nonmarketed claims
Claims that cannot be easily bought and sold in the financial markets, such as those of the government and litigants in lawsuits.
Marketed claims
Claims that can be bought and sold in financial markets, such as those of stockholders and bondholders.
Claim dilution
A reduction in the likelihood one or more of the firm's claimants will be fully repaid, including time value of money considerations.
Claimant
A party to an explicit or implicit contract.
