Finance Glossary – E & F

In the latest in the series of looking at financial terms, we tackle the letters E & F. We look at some common terms in this latest look at the finance glossary E & F, terms that often pop up when people are looking to use financial products.

Finance Glossary E & F – Economy

We all know the word, but what precisely does it refer to? Wikipedia defines it as is an area of the productiondistribution and trade, as well as consumption of goods and services by different agents.

Endowment Fund

An endowment fund is an investment fund established by a foundation that makes consistent withdrawals from invested capital. The capital in endowment funds, often used by universities, nonprofit organisations, churches and hospitals, is generally utilised for specific needs or to further a company’s operating process. Endowment funds are typically funded entirely by donations that are deductible for the donors.

Finance Glossary E & F – Equity

Equity is typically referred to as shareholder equity. It represents the total money that would be returned to a company’s shareholders if all of the assets were liquidated and all of the company’s debt was paid off. You can locate equity on a company’s balance sheet. It is one of the most common financial metrics employed by analysts to assess the well-being of a company. Shareholder equity can also represent the book value of a company. Equity can sometimes be offered as payment-in-kind.

Finance Glossary – Exchange Rate

An exchange rate is the value of one nation’s currency versus the currency of another nation or economic zone. For example, how many U.S. dollars does it take to buy one euro? As of Dec. 13, 2019, the exchange rate is 1.10, meaning it takes $1.10 to buy €1.1. Exchange rates figure in our lives mainly when we travel abroad. Other than that it plays little obvious part in our day to day planning. However, exchange rates can tell us a lot about the health of an economy. The uncertainty over Brexit for example had a profound effect on sterling exchange rates. as the pound dipped time after time.

All finance products are subject to strict financial regulation, and the standards in the UK are some of the highest in the world. This is especially so after the scandal of payday loans a few years ago. The FCA -the Financial Conduct authority is te UK organisation that overlooks and regulates UK loan providers. 

currency - Moolr

Financial Planning

Something that is important for us all. Pretty self-explanatory, financial planning is what we must all do to make the most of what money we possess. By planning your finance,s you avoid many of the pitfalls of the finance world, such as unmanageable debt and exorbitant interest rates. Make your money work for you, and you will have a brighter future. It will be less stressful too. Have a monthly budget, and be aware of what you spend money on. Always look to save money too, and determine whether you can get better deals on utilities provision, motor vehicles, insurance and more.

Flexible Loan

One of the most talked about products on this site, this is a general term. It can refer to any short-term or even longer loans that allow you the borrower to dictate the terms. A flexible loan is such as it allows you to choose the amount you wish to borrow, and the repayment period. It is a loan that the borrower can tailor to suit both their financial means and their monthly budget. Thus, they are in a better position to be able to make full repayments on the agreed dates. And that is another aspect of a flexible loan. It allows you to choose on which date each month you wish repayments to be made. Generally, borrowers choose payday, or a day soon after. This makes sense for obvious reasons.


You decide when to pay. You tailor the loan around your daily life. Read the terms and conditions thoroughly always before proceeding. Walk away of in doubt.