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Average Life

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Average Life
Average Life definition :
Also referred to as the weighted-average life (WAL). The average number of years that each dollar of unpaid principal due on the mortgage remains outstanding.

 


average life
number of years until the date when one-half of each dollar of principal value in a security will be paid. Average life is a shorthand method of computing a bond's retirement date, which determines its yield to maturity .

AVERAGE LIFE - Also referred to as the weighted-average life (WAL). The average number of years that ea...
AVERAGE MATURITY - For a bond fund, the average number of years until all negotiable instruments held b...

Yield to Average Life
Financial & Investment Dictionary:
Yield to Average Life
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Average Life
The average length of time anticipated that a bond, with a mandatory sinking fund, will be outstanding.
See: Yield To Average Life ...

Average Life
The average length of time an issue of serial bonds and/or term bonds with mandatory sinking funds and/or estimated prepayments is expected to be outstanding. It also can be the average maturity of a bond portfolio.

AVERAGE LIFE " The average length of time that a bond issue with a mandatory sinking fund is expected to be outstanding.

Average Life:
The sum of the amounts outstanding of the loan at the end of each year, throughout its entire life, divided by the total principal sum borrowed. It gives the average life of the loan in years.

AVERAGE LIFE - With respect to an issue of bonds, the weighted period of time required to repay half of the issue through scheduled principal payments (e.g., maturity, sinking fund redemption, etc.).

average life
The time-weighed for a stream of principal cash flows. See weighted average life.
average daily balance ...

Average Life - Average time before a bond is likely to be called or retired, which often is less than the time until the bond matures.

Average Life :
Average for all repayments, usually weighted by amounts outstanding.
avoided cost: ...

Average Life
The weighted-average times of payments on a loan, security or portfolio with the proportions of each payment in the aggregate payment being the weights.
B ...

The average life of each new electronic media is approximately 8 years. The CD's demise is being predicted already. Electronic publishing however is not limited to CD's
Working Capital levels are low with the exception of WIP and Plant ...

See: Average life
Weighted average maturity
The weighted average maturity of an MBS is the weighted average of the remaining terms to maturity of the mortgages underlying the collateral pool at the date issue, ...

Weighted average life
For amortizing securities, investors do not talk in terms of a bond's maturity since its principal is made over time.

Weighted average life
Weighted Average Life - WAL
Weighted Average Loan Age
Weighted Average Loan to Average
Weighted Average Market Capitalization
Weighted average maturity
Weighted average maturity
Weighted Average Maturity - WAM ...

Weighted Average Life - Is the measurement of a Mortgage Backed Securities time horizon other than maturity. It considers the impact of all principal payments both scheduled and prepaid.

Yield to average life
A yield calculation in which bonds are retired routinely during the life of the issue.

Yield To Average Life
The yield on a fixed-income security when the average maturity is substituted for the maturity date of the issue.

Weighted average life
See: Average life
Weighted average maturity ...

Yield to Average Life: A yield which assumes the entire issue amount matures on the average life date rather than the maturity date. This is a quick-and-dirty method for comparing bonds with sinking funds with straight issues.

WAL - Weighted Average Life - The average number of years for which each dollar of unpaid principal on a loan or mortgage remains outstanding. Once calculated, WAL tells how many years it will take to pay half of the outstanding principal.

An estimate of the average life of a pool of mortgage-backed securities in relation to experience tables developed by the Federal Housing Administration.
FIA
See Futures Industry Association.

[Harvey] average life (A) A factor in the pricing decisions by an underwriter, relating to the average of 12 calendar month periods of all the maturities of an issue, measured from the date of the issue.

Regulatory accounting procedures (RAP) Accounting principles required by the FHLB that allow S&Ls to elect annually to defer gains and losses on the sale of assets and amortize these deferrals over the average life of the asset sold.

Weighted average life
Weighted Average Market Capitalization
Weighted average maturity
Weighted average portfolio yield
Weighted average remaining maturity
Weighting
Well''s Notice
Well-diversified portfolio
When issued
When issued (W.I.) ...

During the 1960s the Soviet Union became the first industrial country in history to suffer a prolonged peacetime fall in average life expectancy, a symptom of its disastrous misallocation of resources.

Duration represents the average life of the coupon payments and redemption of a bond and links changes in interest rates to the volatility of a bond's value. One year later, J.R.

On a nationwide basis, the average life of a bond is 4 to 6 months, with 90 percent of all bonds falling within this category.

They are never reissued after being once returned to the bank, and their average life is very short, about six weeks, so that a dirty or worn Bank of England note is practically never seen.

Actual maturity of these certificates is 40 years, but the average life is approximately 12 years because of prepayments. The minimum denomination of certificates is $25,000 and issuance is registered form only.

It is calculated as the average life of the present values of all future cash flows of an instrument with the time delay until receipt of each cash flow weighted by the contribution of that cash flow to the total present value of the instrument.

studies for a strong positive impact on economic growth by the investment rate (especially the rate of investment in plant and equipment) and by various measures of human capital (such as the literacy rate, school enrollment ratios, and average life ...

Variables applied to data used to project expected outcomes. In the life insurance business this might include assumptions on average life expectancy or policy surrender rates.
Assurance ...

The average time to maturity of securities held by a mutual fund. Changes in interest rates have greater impact on funds with longer average life.
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Unlike a conventional mortgage-backed security, which has an interest rate and maturity date, the pool of mortgages behind a CMO is subdivided into four tranches, each with a different interest rate and what is known as an average life.

Accounting principals required by the F.H.L.B. that allow S&Ls to elect annually to defer gains and losses on the sale of assets and amortize these deferrals over the average life of the asset sold.
Regulatory pricing risk ...

Average Maturity The average time to maturity of securities held by a mutual fund. Changes in interest rates have greater impact on funds with longer average life.

collateralized mortgage obligations (CMO): A more complex MBS designed to lessen uncertainty in cash flow by not having a specific maturity date and sold on an 'average life' basis.

In this scenario, your money may last you 15 years, or until about 80 years of age, the average life expectancy. But, what if by 80 you are in perfect health and perfectly broke?

with stronger credit usually refund debts by issuing new bonds. The satisfying of a debt by a single payment may be termed amortization. Amortization of a fixed asset refers to the of a nonmaterial investment over its estimated average life.

average life The length of time that will pass before one-half of a debt obligation has been retired. average nominal maturity A measure of a bond's maturity which, unlike average effective maturity, does...

See also: Values, Expense, Banks, Capital investment, Saving

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