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Capitalization rate 
The Discount rate  used to determine the present value of a stream of future earnings. Equals Normalized earnings  after taxes divided by present value, expressed as a percentage.
 
 
Semi Related Terms: 547  CLICK HERE TO VIEW 
10-Q , 
Adjustable rate , 
Accreted value , 
Accrual of discount , 
Accrued market discount , 
After-tax basis , 
Amortization of premium , 
Amortized value , 
At par , 
All or any part , 
At best , 
At call , 
Accumulated earnings tax , 
Adjustable rate preferred stock , 
Accumulated earnings , 
At risk , 
Abstract of title , 
Action to quiet title , 
As is , 
Assignment to creditors , 
Attorney in fact , 
Adjustable Rate Mortgage , 
Advance rate , 
After acquired clause , 
After-acquired collateral , 
Amortization term , 
Annual Percentage Rate , 
Applicable federal rate , 
Assignment of mortgage , 
A shares , 
Average price per share , 
At the money , 
Absorption rate , 
After-tax contributions , 
Age-weighted plan , 
Average contribution percentage , 
Across the board , 
Additional paid-in capital , 
Abusive tax shelter , 
After-tax , 
Alternative Minimum Tax , 
Assessed value , 
After-hours trading , 
Against the box , 
At the bell , 
At the close , 
At the figure , 
At the full , 
At the market , 
At the opening order , 
Away from the market , 
Below the line , 
Books of final entry , 
Books of original entry , 
Book value per share , 
Burn rate , 
Banking Act of 1933 , 
Benchmark interest rate , 
Bid-to-cover ratio , 
Bureau of Public Debt , 
Brought over the wall , 
Buy the book , 
Basic earnings per share , 
Balance of payments , 
Bank Rate , 
Base interest rate , 
Board of Governors , 
Breaking the syndicate , 
Bill of exchange , 
Bill of sale , 
Breach of trust , 
By the book , 
Bank term loan , 
Base rate , 
Blended rate , 
Broker loan rate , 
Breakup value , 
B shares , 
Back taxes , 
Before-tax income , 
Break-even tax rate , 
Breadth-of-market theory , 
Beat the gun , 
Cash earnings , 
Cost Of Goods Sold , 
Cost of sales , 
Certificate of Participation , 
Conversion value , 
Coupon rate , 
Current market value , 
Current production rate , 
Call money rate , 
Code of procedure , 
Capitalization of income , 
Capitalization rate , 
Cap rate , 
Civilian unemployment rate , 
Cost of Living Adjustment , 
Cost-of-living index , 
Council of Economic Advisers , 
Chasing the market , 
Cheapest to deliver , 
Chicago Board of Trade , 
Cash surrender value , 
Cash value , 
Cash value life insurance policy , 
Convertible term insurance , 
Cost-of-living rider , 
Certificate of stock , 
Cost of carry , 
Certificate of title , 
Cancellation of debt , 
Certificate of Claim , 
Cost of debt capital , 
Cost of funds , 
C shares , 
Class of options , 
Close to the money , 
Certificate of Occupancy , 
Cash or Deferred Arrangement , 
Class A Shares , 
Class B Shares , 
Crash of 1929 , 
Crash of 1987 , 
Capital gains tax , 
Consolidated tax return , 
Coefficient of determination , 
Certificate of delivery , 
Close a position , 
Cornering the market , 
Curbs in , 
Deferred tax , 
Deposit in transit , 
Date of issue , 
Date of payment , 
Deep-discount bond , 
Discount bond , 
Deep discount broker , 
Discount broker , 
Division of Enforcement , 
Division of Investment Management , 
Division of Market Regulation , 
Date of record , 
Dividend discount model , 
Dividend in arrears , 
Dividend rate , 
Desk (the) , 
Discount rate , 
Division of labor , 
Decreasing term life , 
De-escalation clause , 
De facto , 
Doing business as , 
Durable Power of Attorney , 
Date of maturity , 
Debtor in possession , 
Debtor-in-possession financing , 
Deed of Release , 
Deed of Trust , 
Discharge of bankruptcy , 
Discharge of lien , 
Discount loan , 
Deep in the money , 
Deep out of the money , 
Deed of Surrender , 
Department of Housing and Urban Development , 
Dogs of the Dow , 
Depth of market , 
Discount yield , 
Earning asset , 
Earnings report , 
Economic value , 
Effective annual interest rate , 
Eurodollar certificate of deposit , 
Escrowed to maturity , 
Ex-legal , 
Either-or order , 
Exchange rate , 
Earnings yield , 
Economic growth rate , 
E-mini , 
Exchange of spot , 
Ex-pit transaction , 
Effective tax rate , 
Ex-all , 
Express agreement , 
Ex-warrants , 
Estate tax , 
Employee Retirement Income Security Act of 1974 , 
Ex-rights , 
Ex-rights date , 
Earned income tax credit , 
Estimated tax , 
Excess profits tax , 
Excise tax , 
First In First Out , 
Form 10-Q , 
Flight to quality , 
Floating-rate bond , 
Flow of funds , 
Fill or kill , 
Floating exchange rate , 
Foreign exchange rate , 
Forward exchange rate , 
Forward P/E , 
Fully diluted earnings per share , 
Factors of production , 
Favorable balance of trade , 
Federal Reserve Discount Rate , 
Fair market value , 
Form S-1 , 
Fixed rate , 
Fixed-rate loan , 
Fixed-Rate Mortgage , 
Floating rate , 
Forward interest rate , 
Forward Rate Agreement , 
Family of funds , 
Fund of funds , 
Free right of exchange , 
Federal ID Number , 
Federal Tax Identification Number , 
Federal tax lien , 
Flat tax , 
Franchise tax , 
Fair value , 
G-7 , 
G-8 , 
Gather in the stops , 
Gift tax , 
Hart-Scott-Rodino Act of 1976 , 
Hit the bid , 
House of issue , 
Holder in due course , 
Home equity line of credit , 
Hidden tax , 
Hammering the market , 
Held at the opening , 
Holding the market , 
Imputed value , 
In escrow , 
Interest rate collar , 
Interest rate risk , 
Interest rate swap , 
Intermediate-term , 
Intrinsic value , 
Investment value , 
In-house , 
Investment Advisor Act of 1940 , 
Investment Company Act of 1940 , 
In line , 
Inflation rate , 
Interest rate futures , 
Interbank Rate , 
Insider Trading sanctions Act of 1984 , 
Internal Rate of Return , 
Indication of interest , 
In intestacy , 
Interest rate , 
Interest rate cap , 
Interest rate ceiling , 
Interest rate floor , 
In play , 
In-process research and development , 
Interest rate option , 
I/O strip , 
Inheritance tax , 
In-service withdrawal , 
Individual tax return , 
Imbalance of orders , 
In and out , 
In sympathy , 
In the tank , 
Jumping the gun , 
Joint tax return , 
Last In First Out , 
Liquidation value , 
Lender of last resort , 
Law of one price , 
Long-term , 
Lending at a rate , 
Long Market Value , 
Look-through earnings , 
Law of demand , 
Law of supply , 
London Inter-Bank Offer Rate , 
Level term insurance , 
Long-term care insurance , 
Long-term debt , 
Long-Term Equity Anticipation Securities , 
Letter of comment , 
Legal age , 
Line of credit , 
Loan-to-cost , 
Loan-to-value , 
Loan value , 
Loan-value ratio , 
Lock-in , 
Long-term mortgage , 
Long-term lease , 
Leading the market , 
Locked in , 
Long-term gain or loss , 
Luxury tax , 
Level I quotes , 
Maturity value , 
Medium-term , 
Medium-term bond , 
Make a market , 
Margin rate , 
Mark-to-market , 
Medium of exchange , 
Marginal propensity to consume , 
Market rate , 
Money at call , 
Mortgage rate , 
Mill rate , 
Market-value weighted index , 
Net book value , 
Negotiable certificate of deposit , 
Negotiable Order of Withdrawal , 
Nominal rate , 
Normal yield curve , 
Notice of Sale , 
National Association of Securities Dealers , 
National Association of Securities Dealers Automated Quotations system , 
No limit order , 
No quote , 
Normalized earnings , 
Normal market , 
No-Fault , 
Net Asset Value , 
No-Action Letter , 
No-lien affidavit , 
Notice of Default , 
No-load , 
Non-resident alien tax , 
National Association of Real Estate Investment Trusts , 
Normal retirement age , 
No-load stock , 
Nominal value , 
Normal distribution , 
No book , 
Off the books , 
Other long term liabilities , 
Office of Thrift Supervision , 
Original Issue Discount , 
Out-of-favor , 
Over-the-Counter , 
Or better , 
Operating rate , 
Opinion of title , 
On-the-spot loan , 
Out of the money , 
Old age, survivors, and disability insurance , 
On the opening , 
Pooling of interests , 
Pre-depreciation profit , 
Pre-tax profit margin , 
Pass-through coupon rate , 
Payment-in-kind security , 
Premium over bond value , 
Premium over conversion value , 
Price Value of a Basis Point , 
P&L , 
Primary earnings per share , 
Provision for income taxes , 
Pre-existing conditions , 
Per stirpes , 
Power of Attorney , 
Prime rate , 
Prioritization of debt , 
Private Market Value , 
Prime rate fund , 
Property tax , 
Paid-in capital , 
Paid-in surplus , 
Percent held by institutions , 
Pre-syndicate bid , 
Private Investment in Public Equity , 
Preservation of capital , 
Progressive tax , 
Proportional tax , 
Painting the tape , 
Replacement value , 
Residual value , 
Retention rate , 
Return of capital , 
Run rate , 
Real interest rate , 
Regulation Q , 
Rate covenant , 
Reading the tape , 
Regulation D , 
Regulation G , 
Regulation T , 
Regulation U , 
Round of funding , 
Rules of Fair Practice , 
Rate of exchange , 
Reciprocal of European terms , 
Recast earnings , 
Retained earnings , 
Real economic growth rate , 
Regulation A , 
Right of first refusal , 
Right of rescission , 
Right to Know , 
Rate-improvement , 
Rate lock , 
Regulation Z , 
Renegotiable rate , 
Revolving line of credit , 
Right of recourse , 
Rule of 78 , 
Right of redemption , 
Retirement Equity Act of 1984 , 
Regressive tax , 
Rate of return , 
Real rate of return , 
Salvage value , 
SG&A , 
Short-term reserves , 
Sight letter of credit , 
S&L , 
Short-term , 
Spot rate , 
Straight value , 
Segregation of securities , 
Sell the book , 
Savings rate , 
Standard of living , 
Swap rate , 
Second-to-die insurance , 
Surrender value , 
Statute of Limitations , 
Satisfaction of debt , 
Start rate , 
Staggered board of directors , 
Selling the spread , 
Short market value , 
Special use property , 
Social Security Tax , 
Shareholder value , 
Selling short against the box , 
Shorting against the box , 
Sales tax , 
S Corporation , 
Self-employment tax , 
Separate tax returns , 
Short-term gain or loss , 
Sin tax , 
Standard mileage rate , 
Subchapter M , 
Subchapter S Corporation , 
Schedule C , 
Securities Act of 1933 , 
Securities Acts Amendments of 1975 , 
Securities Exchange Act of 1934 , 
Seek a market , 
S&P phenomenon , 
Term CD , 
Tax anticipation note , 
Tax-exempt bond , 
Tax renevue anticipation note , 
T-Bill , 
Term , 
Term bond , 
Term to maturity , 
Take a position , 
Trailing P/E , 
Tax haven , 
Term insurance , 
Tax , 
Tax schedule , 
Tenancy by the entirety , 
Teaser rate , 
Term deposit , 
Term loan , 
Truth in Lending , 
Tax-free bond fund , 
Tax-managed fund , 
Term trust , 
Theoretical value , 
Tax lien , 
Tax roll , 
Tenancy at will , 
Transfer tax , 
Tax deferral , 
Tax-deferred , 
The Street , 
Timing the market , 
Tax-advantaged , 
Tax audit , 
Tax base , 
Tax basis , 
Tax bracket , 
Tax-deductible , 
Tax deduction , 
Tax-efficient , 
Tax evasion , 
Tax-exempt , 
Tax identification number , 
Tax loss carryback , 
Tax loss carryforward , 
Tax lot , 
Taxpayer Relief Act of 1997 , 
Tax planning , 
Tax preference item , 
Tax Reform Act of 1986 , 
Tax Reform Act of 1993 , 
Tax return , 
Tax sale , 
Tax shelter , 
Tax shield , 
Tax swap , 
Tax tables , 
Take a bath , 
Term repo , 
Term sheet , 
U.S. Government Agency Security , 
U.S. Savings Bond , 
U.S. Treasury , 
U.S. Treasury Bill , 
U.S. Treasury Bond , 
U.S. Treasury Note , 
U.S. Treasury Securities , 
Unlimited tax bond , 
Unemployment rate , 
Unified Tax Credit , 
Unit of trade , 
Unit of trading , 
Variable rate , 
Value stock , 
Value averaging , 
Value investing , 
Value Added Tax , 
Written-down value , 
Waiver of premium , 
When, as, and if issued , 
X or XD , 
Year-To-Date , 
Yield to call , 
Yield to maturity , 
Yield to worst , 
Y shares , 
Z shares