Examlex
For each historical identification question, define the term and briefly describe its historical significance.
Pearl Harbor
A Credit Rating
This is an evaluation of the credit risk of a prospective debtor, predicting their ability to pay back the debt and an implicit forecast of the likelihood of the debtor defaulting.
Note
Unsecured debt, usually with a maturity under 10 years.
Protective Covenant
A clause in a financial contract that restricts certain actions of the borrower to protect the lender's interests.
Liquidity Premium
The additional return investors demand for holding a security that is not easily convertible into cash without loss of value.
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