National Association of Securities Dealers (NASD): A self-regulatory organization that regulates the over-the-counter market.
Negative Carry: Negative carry occurs when the cost of borrowing to finance the holding of securities is in excess of the income on those securities. Compare also Positive Carry.
Negotiable: A term used to designate a security, the title to which is transferable by delivery. The term also indicates that the securities can be exchanged for cash or near-cash instruments.
Negotiated Sale: An arrangement in which the terms of a securities issue are made privately between the parties involved, without competitive public bidding.
Net Change: The difference in the closing price of a security from one day to the next.
Net Debt: The gross debt of a state or governmental agency, not including sinking-fund accumulations and all self-supporting debt.
Net Interest Cost (NIC): The average interest rate an issuer must pay in order to borrow funds over the life of a bond.
Net Yield: See Yield.
New Issue: The first offering of a security.
New Issue Market: The market for new issues of securities, as opposed to the secondary market, in which securities that have already been issued are sold. New York Stock Exchange: A corporation operated by a board of directors responsible for setting policy, supervising exchange and member activities, listing securities, overseeing the transfer of members’ seats on the exchange, and judging whether an applicant is qualified to be a specialist.
No Par Value: Describes a security issued with no stated face or par value.
No-Litigation Certificate: A statement issued by the bond attorney and the issuer’s counsel that no legal suits are pending against the bond issue, nor is there any knowledge of threatened litigation that might affect the validity of the bonds.
Noncallable: Describes a security that does not contain a call provision. See Call Provision.
Nonlegals: Securities that do not conform to the requirements of a state’s legal list of lawful investments for savings banks and trust funds. See Legal List.
Nonnegotiable: Describes a security whose title or ownership is not transferable through simple delivery or endorsement. See Negotiable.
Note: A written document that contains a promise to pay a specified amount to a certain entity on a particular date.