Face Amount – The amount stated on the face of the policy that will be paid in case of death. It does not include additional amounts payable under accidental death or other special provisions, or acquired through the application of policy dividends.
Face value – The principal amount, or value at maturity, of a debt obligation. Also known as the par value or denomination.
Fair market value – The price a willing buyer would pay a willing seller if neither was under any compulsion to buy or sell. The standard at which property is valued for a deemed disposition.
Fiduciary – An individual or institution occupying a position of trust. An executor, administrator or trustee. Hence, “fiduciary” duties.
Fiscal policy – The policy pursued by government to manage the economy through its spending and taxation powers.
Fixed assets – Assets of a long-term nature, such as land and buildings.
Fixed dollar withdrawal plan – A plan that provides the mutual fund investor with fixed-dollar payments at specified intervals, usually monthly or quarterly.
Fixed liability – Any corporate liability that will not mature within the following fiscal period. For example, long-term mortgages or outstanding bonds.
Fixed income investments – Investments that generate a fixed amount of income that does not vary over the life of the investment.
Fixed-period withdrawal plan – A plan through which the mutual fund investor’s holdings are fully depleted through regular withdrawals over a set period of time. A specific amount of capital, together with accrued income, is systematically exhausted.
Front-end load – A sales charge levied on the purchase of mutual fund units.
Fundamental analysis – A method of evaluating the future prospects of a company by analyzing its financial statements. It may also involve interviewing the management of the company.