||the maximum amount that can be retained on a risk; the legal status of persons to enter into a contract|
||(Fund flow, net cash flow)
Cash flow is the change in net cash and loans between the opening day of a period and the closing day. The period is normally one month or one year.
[Net cash flow = Opening net assets – Closing net assets + Retained profit + Proceeds from sale of new equity = Opening loans – Closing loans where loans are total loans less total cash]|
||n event causing losses of insured property above a specific
monetary limit and affecting a substantial number of policyholders and
||Client means a specific person or group of persons, excluding the general public, who is or may become the subject to whom a financial service is extended.|
||the body of law developed as a result of custom and judicial decisions, as distinct from the law laid down by legislative assemblies|
||to pay for something lost or damaged|
||Complaint means a complaint relating to a financial service rendered by a FSP to the complainant after the date of commencement of the Act in which it is alleged that the FSP has contravened or failed to comply with a provision of the FAIS Act, and as a result thereof, the complainant has suffered or is likely to suffer financial damage. The complaint could also be that the FSP has willfully or negligently rendered a financial service to the complainant which has caused damage to the complainant|
||readiness to conform or agree to do something|
||The officer appointed by an FSP to ensure compliance with the Act.|
||a policy covering a wide variety of perils|
||something that logically or naturally follows from an action or condition; the relation of a result to its cause|
||a loss directly arising from another loss. The term is used to describe the class of business also known as loss of profits or business interruption insurance.|
||Contribution is the (first level of) profit remaining after direct and indirect variable costs of goods sold have been deducted from sales revenue.
[Contribution = Sales – Variable costs of sales]|
|cost of debt rate, kd%
The cost of debt rate is the after tax rate of interest the business has to pay for its borrowed money.
[Kd% = Interest rate (1 – Tax rate)]|
|cost of debt, kd
The cost of debt is the after tax interest the business has to pay to borrow money.
[Kd = Interest rate (1 – Tax rate) Loans]|
|cost of equity rate, ke%
||(Ce% ; Ke)
Cost of equity is the rate shareholders could get in share price appreciation plus dividends, in other companies of equal risk.
[Ke% = RfR + Ri (RP)]
RfR is the risk-free rate of return.
Ri is beta, the risk index.
RP is a risk premium, the difference between the RfR and the average rate of return on the stock exchange.|
|cost of equity, ke
||(Ce. , Opening equity)
Cost of equity is the amount shareholders could get in share price appreciation plus dividends in other companies of equal risk.
[Ke = Ke%]|
||Each financial adviser needs to obtain a certain number of credits depending on the type of advice he provides. Credits refer to credits on the National Qualifications Framework (NQF) and are prescribed on a particular level.|