PREPAYMENT Definition

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PREPAYMENT is the payment of all or part of a debt prior to its due date.

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OVERSOLD is the state of the market when much more selling occurs than is warranted by market conditions. If investors and speculators sell large amounts of securi­ties, including short sales, over a period of time, at some point the market will become oversold and buying is likely to increase. Depending upon the degree of buying, prices will either stop falling or will rise. A rise in prices under these conditions is known as a technical rally.

ACTUARIAL SCIENCE applies mathematical and statistical methods to finance and insurance, particularly to the assessment of risk. Actuaries are professionals who are qualified in this field.

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