Denomination

Filed Under:
Dictionary Says

Definition of 'Denomination'


A classification for the stated or face value of financial instruments, including currency notes and coins, as well as bonds and other fixed-income investments. Denomination may also refer to the base currency in a transaction, or the currency in which a financial asset is quoted. This further classification helps clarify acceptable payment options in transactions.



Investopedia Says

Investopedia explains 'Denomination'


For example, currency notes dispensed by most ATMs in the U.S. are only available in certain denominations such as $20 bills or $100 bills. In a trade transaction, an exporter based in Europe may invoice the buyer in U.S. dollars, making the transaction a U.S. dollar-denominated one. While most commodities were quoted in terms of the greenback, as of 2011, commodities such as crude oil could be quoted in other currencies of denomination such as the euro.







comments powered by Disqus
Hot Definitions
  1. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
  2. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  3. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  4. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  5. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  6. Momentum Investing

    An investment strategy that aims to capitalize on the continuance of existing trends in the market. The momentum investor believes that large increases in the price of a security will be followed by additional gains and vice versa for declining values.
Trading Center