Stocks and
bonds that represent a secured (asset&-based) claim against
their issuers.
The market in
which new stocks and bonds are bought and sold.
A financial
institution engaged in purchasing and reselling new securities.
The market in
which existing stocks and bonds are bought and sold.
An
organization that invests for itself and its clients, frequently
by buying large blocks of a corporations stock.
The mix of
securities and other investments held by an investor.
The fate value
of a share of stock set by the issuing company's board of
directors
The current
price of a share of stock in the stock market.
A profit
earned by selling a share of stock for more than it cost.
The value of a
stock expressed as total shareholders' equity divided by the
number of shares of common stock
Common stocks
issued by well&-established companies with sound financial
histories and stable patterns of dividend payouts to
shareholders.
Preferred
stock on which dividends not paid in the past must be paid to
stockholders before any dividends tan be paid to common
stockholders.
A voluntary
organization of individuals formed to provide an institutional
setting in which stock can be bought and sold.
A person who
receives and executes buy and sell orders in return for a
commission.
The process of
spreading investable funds among a variety of investments to
reduce risk.
(OTC) market A
voluntary organization of securities dealers formed to buy and
sell stock outside the formal institutional setting of the
organized stock exchanges.
Bonds issued
by the federal government.
Bonds issued
by state and local governments.
A bond issued
by a business in which the issuing company pays the holder a
certain amount of money on a certain date, with stated interest
payments in the interim.
Bonds that are
backed by pledges of assets to the bondholders.
Unsecured
bonds; bonds in which no specific property is pledged as
security.
A bond that
may be called in and paid for by the issuer prior to the
maturity date.
A provision in
a bond contract that requires the issuer to put a certain amount
of money into a bank account each year; this money is used to
redeem the bonds at maturity.
A bond issue
in which the issuer redeems portions of the issue at different
predetermined dates.
A bond that
can be paid off in (converted to) common stock at the option of
the bondholder.
A company that
pools investments from individuals
and other firms to purchase a portfolio of stocks, bonds,
and short&-term securities.
A mutual fund
in which investors are not charged a sales commission when they
buy into or sell out of the fund.
A mutual fund
in which investors are charged a sales commission when they buy
into or sell out of the fund.
An agreement
to purchase a specified amount of a commodity at a given price
on a set date in the future.
The market in
which futures contracts are bought and sold.
The percentage
of the total sales price that a buyer must put up to place an
order for stock or a futures contract.
The right to
buy or sell a stock.
The right to
buy a particular stock at a certain price until a specified
date.
The right to
sell a particular stock at a certain price until a specified
date.
The current
price of a stock divided by the firm current annual earnings per
share.
A bond's
annual dollar coupon amount divided by the current market price
of that bond.
In OTC
markets, the price an OTC dealer pays for a share of stock.
In OTC
markets, the price an OTC dealer changes for a share of stock.
A measure of
the overall market value of stocks provides a summary of price
trends in a specific industry or the stock market as a whole.
A period of
rising stock prices a period in which investors act on a belief
that stock prices will rise.
A period of
falling stock prices; a period in which investors act on a
belief that stock prices will fall.
A market index
based on the market prices for 30 of the largest industrial
firms listed on the NYSE.
A market index
based on the performance of 500 stocks: 400 industrial firms 40
utilities, 40 financial institutions, and 20 transportation
companies.
A brokerage
firm that executes purchases and sales for a reduced commission.
A brokerage
firm that performs a variety of services for its clients,
including but not limited to investment advice and research.
An order to
buy or sell a certain security at the prevailing market price at
the time the order is placed.
An order
authorizing a broker to purchase a stock only if the price of
that stock is equal to or less than a specified amount.
An order
authorizing a broker to sell a stock if its price falls to or
below a specified level.
The purchase
or sale of stock in units of 10
The purchase
or sale of stock in units of other than 10
A stock sale
in which investors sell securities that they have borrowed from
their brokers. These securities must be replaced at a specified
date in the future.
The purchase
or sale of a group of stocks valued at $1 million or more, often
triggered by computerized trading programs that can be launched
without human supervision or control.
A registration
statement filed with the SEC before the issuance of a new
security.
The illegal
practice of using special insider's knowledge about a firm for
profit or gain.
State laws
regulating the securities industry by requiring securities
dealers to be licensed and registered with the state.
