Financial Glossary – D

3D Printing – a sort of additive manufacturing in which items are made by depositing or adding material layers. It doesn’t start with a block of something and gradually remove pieces of it, like subtractive manufacturing does. A computer-generated (digital) file provides the 3D printer with its instructions. In the future, we’ll be able to 3D print almost anything.

Dark Pools – trades that are not visible to the public and are kept private. As opposed to regular public stock exchanges like the NYSE or NASDAQ, certain equities are traded in dark pools, exchanges that are hidden from the general public.

Data – information that we gather for analysis, reference, and to aid in future planning, i.e., to make strategic decisions, such as facts, numbers, measurements, amounts, trends, and dimensions. Information that describes something or someone’s behaviours, appearance, hair colour, etc. is considered descriptive data.

Database Marketing – a method of obtaining and analyzing a large amount of information about a company’s customer base. The aim is to then for businesses to tailor their marketing plans and sales decisions.

Day Trader – Someone who buys and sells financial instruments, or securities, on the same trading day. To put it another way, any activity that began on a trading day must terminate by the end of that day. They mostly operate in the stock and foreign exchange markets. A day trader, however, can operate in any market.

Debit Card – a plastic card that debits the holder’s bank account after each transaction. Unlike a credit card, it does not lend the money for a purchase.

Debt – refers to a debt of gratitude, such as being forever indebted to someone who saved your life, or a debt of money (or another material object) owing to the lender. The borrower or debtor is the party who receives the debt. According to some experts, the amount of debt in the world is far too great, and they believe a new debt crisis will soon break out and spread quickly over the globe.

Debt Ceiling –  also known as the debt limit or statutory debt limit, a debt ceiling is the maximum amount of money the U.S. Treasury is allowed to borrow. This limit is set by the US Congress.

Debt Equity Ratio – a measurement of the proportion of capital that originated with shareholders as opposed to money that was obtained from creditors. It is a formula that shows the proportion of debt and stockholder equity that went into financing a company’s assets. also known as the D/E ratio or debt-to-equity ratio.

Debtor – If I owe money to a bank, for example, I am the debtor and the bank is the creditor. We can used the term for a person, company, organization, government, or any entity that owes money.

Debt Ratio – a calculation that shows us what proportion of a company’s or individual’s assets consists of debt. It reveals the extent of a business’ (or person’s) leverage. At national level, the term may also refer to the ratio of government debt to GDP.

Debt Service Coverage Ratio – The proportion of available cash for debt servicing to interest, principal, and lease payments is called the debt servicing cash ratio (DSCR) or debt coverage ratio. It is the amount of export revenue necessary to pay a nation’s external debt obligations in government finance. When considering whether to lend money, banks closely consider a loan applicant’s DSCR.

Default – to fail to pay back a debt. We can also use the term as a noun, as in: “ACME Inc. fell prey to default two years ago.” In computing language, the term refers to reverting automatically to its original state.

Defensive Shares – equities whose fluctuations are far less when the economy performs well or poorly. They work for businesses that offer necessities like power, natural gas, water, and basic meals that people always need, regardless of their financial status. Also referred to as defensive equities or non-cyclical stocks.

Deflation – when the price of goods and services decreases (it is the opposite of inflation).

Demand – an economics phrase that describes a measure of want to possess or own a good or service, or, when speaking nationally, all goods and services. Supply is opposed by it. Demand decreases as prices increase, but demand grows as prices decrease. In contrast to command economies, which rely on a central authority to control prices, market economies are driven by the forces of supply and demand.

Demand Loan – a loan with no maturity date or payment schedule. The lender can ask for full payment of the remaining debt at any time. Also known as a demand note, call loan or broker loan.

Demography – the study of human populations and the factors that make them change, such as births, deaths and migration. A demography specialist is called a demographer. He or she studies populations and the people within them.

Dental Tourism – traveling to a different country for dental care. It is a subset of the medical tourism sector.

Depreciation – when assets decline in value over time. It is also an income tax deduction that enables a taxpayer to recover the cost of certain assets.

Depression – A recession turns into a depression when it lasts for more than three years. GDP decreases by at least 10% during a depression. A recession lasts less time than a depression. Recessions and depressions, however, began at the same times. Additionally, we call it a “economic downturn.”

Derivative – a legal agreement between two or more parties that is based on or derived from a particular asset. What that asset will be is decided by the parties involved in the derivative. The value of commodities, currencies, stocks, bonds, real estate, or interest rates is the basis for the majority of popular derivatives. Derivatives come in a variety of forms, such as futures, forwards, options, and swaps.

Devaluation – A devaluation occurs when the government makes its native currency lose purchasing power against other currencies. Only currencies with a fixed exchange rate are susceptible to this. The dollar and the pound are examples of free-floating currencies, which appreciate and depreciate but do not devalue.

Developing Country – a country or economy that is less “developed” than one with a developed economy. A developing nation has a low level of industrialisation and performs poorly on the Human Development Index. The precise definition of the phrase is contested by many people.

Development Economics – the study of how low-income and emerging economies become more developed, i.e. countries that are changing from being agricultural economies to industrial ones. Also known as Economics for Development.

Device – a device is something that people created or adapted for a specific purpose.

Digital Assistant – a voice-activated computer program that carries out electronic tasks. It can also answer questions, arrange your schedule, talk to you, and much more.

Digital Currency – a type of currency that only exists electronically. It is not available in physical form, unlike banknotes and coins. In other words, digital currency is intangible. We can use digital money to buy products and services.

Digital Marketing – Internet and other digital technology-based marketing of goods, services, brands, and businesses. It is comparable to online and Internet marketing. The way businesses approach marketing has changed substantially since the Internet’s inception.

Digital Wallet – a system that securely keeps a user’s payment information. It is sometimes referred to as an electronic wallet or e-wallet. Cards used for payments are digitally stored in the user’s wallet. Online payments are done via a computer, iPad, or other electronic device.

Diluted Share – a share in a company after it has issued additional shares. Ownership, voting rights, earnings per share and possibly its value are ‘diluted’, just like concentrated syrup is if you add water.

Discount – (Noun) 1. A price reduction on an item or service from its standard cost. 2. A reduction from the invoice sum if the customer pays ahead of schedule. (Verb) 3. To take a certain amount out of the cost of anything. 4. To cross something off a list of issues that required attention. 4. To decrease the cost of stocks and shares as a result of a shift in market sentiment. The main article contains further definitions.

Discount Loan – with this type of loan the lender discounts interest and other charges first from the face value, before lending to the borrower. Only used for short-term loans.

Discount Rate – has a number of meanings: 1. The interest rate that a central bank assesses on loans with very short terms to commercial banks. 2. The rate of interest applied in discounted cash flow calculations. 3. A discount applied on an invoice if the customer pays early or purchases more than a minimum amount. 4. The reduction on a draught or bill of exchange that applies if it is cashed before its due date.

Distributed Ledger – a digital system for keeping track of asset transactions. Each transaction’s data is simultaneously recorded in numerous locations. There is no administrator or central authority. A distributed ledger database is a blockchain. Distributed ledger is the same thing as shared ledger and distributed ledger technology.

Diversification – refers to expanding into new disciplines, industries, or regions to distribute risk across a wider area. If one industry faces a decrease, the corporation still has other profitable ventures. Following the proverb “Don’t put all your eggs in one basket,” diversification is important. Today, however, a lot of big businesses claim that specialisation, not variety, is the way of the future.

Dividend – payment made to shareholders from a company’s profits. In most countries, it comes from a company’s net profits, i.e., profit after paying corporate tax.

Dividend Payout Ratio – the proportion of a business’ profit that is paid out as dividends to stockholders over a specified period. The ratio can be expressed as a decimal or percentage.

Dividend Price Ratio – a calculation that shows a stock’s dividend as a percentage of its price. It can alternatively be calculated by dividing a company’s total dividend payments in one year by its market capitalization. Also known as dividend yield.

DIY – an abbreviation of do-it-yourself – the activity of carrying out home repairs, maintenance, and improvements yourself instead of hiring a professional. It is considered distinct from arts and crafts.

Dogecoin – a cryptocurrency that began as a joke. Hence its nicknames the ‘joke currency’ or the ‘fun cryptocurrency.’ It features a Shiba Inu, a Japanese fighting dog, which is also its mascot. Today, Dogecoin has a market cap of $2 billion.

Domestic Market – where transaction in goods and services takes place within a company’s home country. The domestic market for Ford, for instance, is the US market, whereas the domestic market for Renault is the French market. sometimes referred to as the internal or domestic market.

Dotard – an old man or woman, especially one who is weak and confused. Dotards are in their dotage; a period of senile decay, marked by weakening alertness and poise.

Dow Jones Industrial Average (DJIA) – commonly known as “the Dow,” this is an index that represents the weighted average of the 30 major stocks listed on the New York Stock Exchange or the NASDAQ Stock Market.

Down payment – a down payment is an upfront payment made at the time of purchasing something.

Downsizing – refers to the reduction in the size and of operating costs of a company. In most cases, this involves reducing the workforce.

Due Diligence – a thorough investigation of the operational and financial standing of any organisation, person, or other entity with whom you intend to do business. Simply put, it refers to conducting due diligence to confirm that the other party is dependable, honest, and committed to upholding their end of the bargain.

Dumping – this refers to companies exporting products at a lower price than their domestic price or the cost of production.