tax-exempt security


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Noun1.tax-exempt security - a security that is not subject to taxation
certificate, security - a formal declaration that documents a fact of relevance to finance and investment; the holder has a right to receive interest or dividends; "he held several valuable securities"
References in periodicals archive ?
If the coefficient in the tax-exempt security Fisher equation is unity, then the greater than unity coefficient (in the taxable Fisher relation) must have been the result of the tax effects (the Darby hypothesis).
TEY is the rate earned on a taxable investment that would put the bank in the same after-tax position as the rate being earned on the tax-exempt security. To determine the TEY, the following formula can be used: