Vacancy Rates (Real Estate):

The amount of vacant space divided by the total inventory, and expressed as a percentage.

Vacant Space (Real Estate):

The total amount of office space currently vacant. This statistic does not include space which is being marketed and not yet available. It does, however, include space which has been leased but not yet occupied. These definitions prevent double-counting of vacancy and absorption.

Valuation:

Act of establishing the value of a property whether tangible or intangible.

Value Averaging:

You determine how much you want at a future date and the growth rate required to get you there. Periodically value your account and top up or draw down to get back on track

Value Manager:

A manager who seeks to buys stocks that are at a discount to their “ fair value” and sell them at or in excess of that value. Also called contrarians because they see value where many other market participants do not.

Value at redemption:

This is the dollar amount of your investment at the time you decide to sell, or redeem, your mutual fund. A back-end load calculated on the value of your investment when you sell, or redeem, it can significantly reduce your investment return. Refer to the example above under.

Variable Life Annuity:

An annuity providing a fluctuating level of payments, depending on the performance of its underling investments.

Variable-Rate Loan:

Loan made at an interest rate that fluctuates with the prime.

Variable Life Insurance:

This type of insurance provides coverage for your entire life and builds up savings over time, much like "whole life insurance". People you name as beneficiaries collect a death benefit if you die while covered. Unlike "whole life" and "universal life insurance", you can invest your savings in one of several mutual funds, which often are managed by the insurance company.

Variable-Rate Mortgage:

A mortgage loan for which the rate of interest changes as money market conditions change, usually not more than once a month. The monthly payment stays the same for a specified period. However, the amount applied towards the principal changes according to the change (if any) in the rate of interest.

Vendor Take Back (Real Estate):

Vendor Take Back Mortgage is where the seller (vendor) of a property provides some or all of the mortgage financing in order to sell the property.

Venture Capital:

A common term for funds that are invested by a third party in a business either as equity or as a form of secondary debt. In the event of failure or business wind-up. These funds rank behind all other secured creditors.

Vested:

You are vested if you are entitled to receive benefits (normally a pension plan or a deferred profit sharing plan) from a current or former employer.

Some companies may grant full benefits, others gradually increase the benefits ("percentage of vesting") after you work for them a predefined number of years.

Vesting:

The process by which an employee obtains full credit for the employer contributions into a benefit plan (normally a pension plan or a deferred profit sharing plan).

Viatical Settlement:

The proceeds received from the sale of a life insurance policy, on the life of a terminally ill individual, to a third party.

Viatical settlement companies purchase these policies at a discount of the face vale and the insured receives a lump sum payment.

The company becomes the owner and beneficiary of the policy, pay all future premiums and collects the proceeds when the insured dies.

Volatility: :

In its standard definition, volatility is a measure of the rate of change in the price of a security over a specified time. The usual yardstick is standard deviation from average price. Volatility also has become a sophisticated security in the over-the-counter market where investors take on risks of volatility in security, the process that works much like an expensive insurance policy in high-risk markets.

Voluntary Accumulation Plan :

A plan offered by financial institutions whereby an investor over agrees to purchase investment units or make contributions towards an RRSP, the amount is normally predetermined and make via a Pre-authorized Cheque (PAC).

Voting Rights:

Shareholders are given voting rights if they own common stock and this right allows the shareholder a voice in determining the directors of the company and company policy. .

This Glossary of financial terms was created by Fiscal Agents Financial Information Services, Research Department. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, mechanical, electronic, photocopying, recording, or otherwise, without the prior written permission of Fiscal Agents. Copyright Fiscal Agents © 2000. All Worldwide Rights Reserved. Click to contact Glossary editor or see the permissions page.