Negative Gap

Negative Gap,

How Do You Define Negative Gap?

  1. The definition of Negative Gap is: Negative spread is a situation where interest rate liabilities of a financial institution are higher than interest rate sensitive assets. Negative spread does not necessarily worsen because when interest rates fall, the company's liabilities are assessed at lower interest rates. In this scenario, the revenue will increase. However, if interest rates rise, liabilities will be overestimated and revenues will decline.

    • A negative spread occurs when a company's interest rate-sensitive liabilities exceed its interest-sensitive assets.
    • When interest rates fall, obligations are priced lower, which increases revenue. When interest rates rise, the opposite happens.
    • The size of a financial institution's spread is an indication of the effects of a change in interest rates on its interest income.
    • Negative spread is a component of asset and liability management that controls the flow of funds to settle liabilities.
    • Zero-period spread occurs when there is no positive or negative spread and the company is protected from fluctuations in interest rates.

Literal Meanings of Negative Gap


Meanings of Negative:
  1. Words or statements expressing disagreement, disagreement or disagreement.

  2. A specially made film or a photographic image painted on glass, showing the ultimate amount of light and shadow or the original color and giving a positive impression.

  3. The result of a test or experiment that shows that no specific substance is present or that certain conditions do not exist.

  4. The part of the circuit that has less electrical capacity than other parts is called zero electrical capacity.

  5. Number less than zero.

  6. Characteristic of the absence and absence of prominent or prominent features.

  7. (Unwanted or optimistic person, attitude or situation).

  8. (Plus) less than or less than others

  9. D, which contains or identifies the type of electrical charge by electrons.

  10. (Photographic images) highlighted and showing the inverted color of the shadow or the original.

  11. Refers to or identifies any traces of land or water that are considered inactive.

  12. No (usually used in military context)

  13. Refusal to veto.

  14. Neutrality is disabled

Sentences of Negative
  1. He answered in the negative

  2. Photos and negatives must be provided for expansion.

  3. The percentage of false-negative results in cancer tests is alarming.

  4. The problem that arises when trying to think of zero and negative numbers as numbers is, in fact, how they interact with mathematical operations, in addition, subtraction, multiplication and division.

  5. The new tax has had a devastating effect on car sales.

  6. The Arabs did not know the progress of the Hindus, so they did not have negative numbers or abbreviations for foreigners.

  7. Each electron has one unit of negative charge and has the same number of electron protons, so the atom as a whole is neutral.

  8. The monk takes a picture of a perfect negative photography. Is that what we should do?

  9. The plan was rejected by 129 to 130 votes

  10. Does the criminal law allow refusal to consent to what crime should be committed?

Synonyms of Negative

counteract, turn down, antipathetic, bleak, squash, defeatist, fatalistic, refuse, gloomy, rejection, negate, nullify, veto, anti, gloom-ridden, neutralize, cancel out, obstructive, pessimistic, reject, no, say ‘no’ to, uncooperative, refusal, cynical, dismissive, render ineffective


Meanings of Gap:
  1. An interval or hole in an object or between two objects.

  2. Space or space is broken continuously.

Sentences of Gap
  1. Through holes in the hedge

  2. There are many gaps in our understanding of what happened.

Synonyms of Gap

divide, interval, respite, cranny, crack, crevice, delay, breathing space, fissure, opening, fracture, cavity, slot, space, interstice, rift, aperture, breather, cleft, intermission, break, hiatus, pause