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Style drift is the divergence or difference of a fund from its investment style or from its goal. Style drifts are often the results of capital appreciation. Can also be a result of a change in the management of the fund.

 

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Discount bond is a type of bond that is issued and sold for less than its face or par value. It can also refer to a bond that is currently traded for less than it is worth in the secondary market. Similar to zero-coupon bonds, although discount bonds also have an interest payment.

 

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Liquidating of the dividends is a process that is initiated by the company towards its shareholders and investors during the shutdown of the company. These are monetary distribution which are primarily taken from the base fund of the company. These monetary gains are usually not taxed as they are accounted as return of the capital.

 

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Deferment period is a period of time after a loan where the taker of the loan doesn’t have an obligation to pay up the percentage it can also refer to the time when the security cannot be called by the issuer.

 

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