Contingent claim

Contingent claim

A claim that can be made only if one or more specified outcomes occur.
References in periodicals archive ?
Specifically, some state laws have significantly higher CUSO investment limits than the Federal Credit Union Act, which would cause the CUSO investment to represent a significant contingent claim on the net worth of an undercapitalized FISCU, Leggett said.
Let [PI](t, n) denote the time t price of a contingent claim with payoff DOG payable at time n (t [less than or equal to] n).
Once it is established that a contested or contingent claim is bona fide and enforceable, amounts actually paid in satisfaction of or in settlement thereof may be deducted after taking post-death events into account.
Others in the "don't give a hoot, let us pollute" contingent claim that cutting greenhouse gas emissions will hurt the poor, diverting from other needs in developing countries.
But some of the foreign contingent claim they have not worked hard enough and that they have not done enough fitness work because they have concentrated on ball work.
The subsidy in this version is still a mortality contingent claim because one has to be alive after retirement to be eligible for it.
As stated by a federal bankruptcy court in a recent case involving unasserted asbestos claims, a contingent claim is one in "which the debtor will be called upon to pay only upon the occurrence or happening of an extrinsic event.
Noise tends to slow the rate of information arrival, reduce contingent claim value, and provide incentives to purposefully acquire additional information.
The market prices did not always fully aggregate the available information, as one can infer from Figure 5, which plots the evolution of the transaction prices of the winning contingent claim (only) in each period.
One place to start is simply to assume that the present value of any contingent claim is the product of the expected value of the claim, given the contingency and the probability of the contingency.
Should the contingent claim ultimately be honored, the taxpayer should, of course, include the recovered amount in income.
Here it represents a contingent claim of the pension fund on the sponsor that becomes in the money if the pension fund becomes underfunded.