stock: noun. A type of investment product (a security) that signifies ownership in a corporation and represents a claim on part of the corporation's assets.
aggressive stock: compound noun. It generates returns that vary by a larger proportion than overall market returns.
defensive stock:
compound noun. A stock purchased from a company that has maintained a record of stable earnings and continuous dividend payments through periods of economic downturn.
growth stock: compound noun. Is a stock that generates substantial cash earnings and whose revenues by taking business risks above average generally, and its earnings are expected to increase at a faster rate than the average company within the same industry. A growth company offers some sort of a new product, a breakthrough patent, overseas expansion with a competitive advantage over its competitors. Growth stocks usually pay smaller dividends, as the company typically reinvests retained earnings in capital projects
value stock: A stock that trades at a lower price relative to it's fundamentals (for example, its dividends, earnings, sales are high) and thus considered undervalued by a value investor. Common characteristics of such stocks include a high dividend yield, low price-to-book ratio and/or low price-to-earnings ratio.
bond: noun. 1. The amount of the money guaranteed to the person who lends money for financial gains. 2. An insurance agreement promising safety from financial loss
Example:
I have purchased government bonds recently because they offer higher interest and security
dividend: A sum of money paid regularly (mostly quarterly) by a company to its shareholders out of its profits; a payment divided among a number of people, for example, among its share holders.
treasury securities: compound noun. Bonds issued by the Federal Treasury to the public in exchange of money borrowed from the public.
Example: The US treasury securities do not pay high interest but they are still good investment because they are more risk free than other securities.
bear market: A market in which stock prices are falling.
brokerage service: compound noun. A business, firm, or company who acts as a broker in that provides financial services in return for a commission paid to the broker.
capital:
To an economist, capital means machinery, factories and inventory required to produce other products. To investors, capital means their cash plus the financial assets they have invested in securities, their home and other fixed assets.
capital gain or loss:
Profit or loss resulting from the sale of certain assets classified under the federal income tax legislation as capital assets. This includes stocks and other investments such as investment property.
equities: plural noun. Common stocks and preferred stocks, which represent a share in the ownership of a company.
fundamentals: plural noun. A method of evaluating a security that entails attempting to measure its real value by examining related economic, financial and other qualitative and quantitative factors. Fundamentals of a company includes everything that can affect the security's value, including macroeconomic factors (like the overall economy and industry conditions) and company-specific factors (like financial condition and management).
security: noun. 1. Something of value provided, deposited or promised to make certain the fulfillment of an obligation; 2. An instrument of investment in the form of a document such as CD (Certificate of Deposit).
stake: noun. A financial interest in this context
market collapse: compound noun. After an overly active economic activity (a bubble in a market), if demand an supply break lose their control over an expected ratio of balance, markets collapse leading to an economic chaos both for suppliers and consumers. An example: The US financial markets have collapsed recently due to the overheated economic activity by consumers and financial assets suppliers (Wall Street). The 2009 real estate bubble and collapse in the United States.
CD: compound noun, an acronym for the Certificate of Deposit. A money-market bond of a predetermined value paying fixed interest, and fully payable without penalty only on maturity
securities:
plural noun. Ownership of investment products such as notes, bonds, stocks, futures contracts and options. Securities are any form of ownership that can be easily traded on a secondary market, such as stocks and bonds. It also includes their derivatives, such as futures contracts, options, or mutual funds.
secondary market: compound noun. A market where investors purchase securities or assets from other investors, rather than from issuing companies themselves. The national exchanges - such as the New York Stock Exchange and the NASDAQ are secondary markets
SEC: Securities and Exchange Commission: compound noun, an acronym. The federal regulatory body for interstate securities transactions in the United States.
Stock Symbol: compound noun. A one-character to three-character, alphabetic root symbol, which represents an issuer listed on Toronto Stock Exchange or TSX Venture Exchange.
assets: plural noun. Property owned by a person or company, regarded as having value and available to meet debts, commitments, or legacies.
common stocks: compound noun. Am ownership of a security in a corporation. Holders of common stock exercise control by voting for a board of directors and on corporate policy. In the event of liquidation, common shareholders have rights to a company's assets only after bondholders, preferred shareholders and other debt holders have been paid in full
preferred stocks: compound noun. A class of ownership in a corporation that has a higher claim on the assets and earnings than common stock. Preferred stock holders generally have the right to a dividend before common stockholders, but they don't have have voting rights.
The New York Stock Exchange: compound noun. The oldest and largest stock exchange in the U.S., located on Wall Street in New York.
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