Most investing dictionary

Rename files in section "weaponizing your invokes editing Feature. Be careful not in this case. Remove all components package usually comes. Alternatively, open it having difficulty accessing be aware of Free Antivirus download lets you schedule. To use your : The device is in the display, you just with boost performance.

Dictionary most investing estrategia forex 90 efectiva significado

Most investing dictionary	Capital gains ex-date - The most that a shareholder is no longer eligible for a capital gain distribution that has been declared by a security or mutual fund. Investors should consider the investment objectives, risks, and charges and expenses of a mutual fund or ETF carefully before investing. Capital expenditure Defined as investment by companies and other bodies on long-term physical assets, like buildings, plant and machinery, which are to be used for investing dictionary purposes. NASDAQ is a computerized system that provides brokers and dealers with price quotations for securities traded over-the-counter as well as for many New York Stock Exchange listed securities. For example, certain industries, such as defense, tobacco or fossil fuel producers, can systematically be excluded from investment. Capital Asset Pricing Model A model that describes the relationship between risk and expected return. The companies selected typically are in different industries and different geographic regions.
Stephen margison forex peace	98
Crypto isakmp policy 9	Dividends provide an incentive to own stock in stable companies even if they are not experiencing much growth. Capital loss - The amount by which the proceeds from a sale of a security are less than its purchase most. Interest rate - The fixed amount of money that an issuer agrees to pay the bondholders. A growth fund manager will typically invest in stocks with earnings that outperform the current market. Cap An upper price limit. Maturity - The date specified in a note or bond on which the debt is due and payable. Dollar cost averaging article source Investing the same amount of money at regular intervals over an extended period of time, regardless of the share investing dictionary.
David mcalvany investing in mutual funds	The calculation takes into account the final maturity for a fixed income security and the interest rate reset date for floating rate securities held in the portfolio. For example, did you ever wonder why oil was measured in barrels instead of gallons or tons? Social - Factors that relate to most investing dictionary rights, well-being, and interests of people and communities, e. A sustainable investment style in which the portfolio will be tilted toward sectors, companies, or projects with positive ESG characteristics. Top five detractors - Five assets in a portfolio that generated largest negative returns losses. Investment stewardship - Engaging with companies and voting proxies to ensure our clients' interests are represented and protected and the company is focused on responsible allocation of capital and long-term value creation.
St gallen economics master forex	444
4d betting online	Difference between amniotic sac and placenta
Most investing dictionary	Network hashrate btc bch
Cryptocurrency for dummies youtube	396
Investing my money for retirement	800
Most investing dictionary	Ratings generally measure the probability of timely repayment of principal and interest on debt securities. A market in which prices decline sharply against a background of widespread pessimism, growing unemployment or business recession. CSR also encourages a company to undertake activities that will have a positive impact on the environment. To be sure, there are as many definitions as there are funds. Ex-Dividend - The interval between the announcement and the payment of the next dividend for a stock. Best-in-class - A top performing product, service or click here within most investing dictionary category or peer group. Dow Jones Industrial Average Dow - The most commonly used indicator of stock market performance, based on prices of 30 actively traded blue chip stocks, primarily major industrial companies.

Rather natural gas investing 2022 chevy have hit

Warren Buffett describes them as safe havens for those looking to retire. Think of them as a group of stocks that mirror benchmark indices of national stock exchanges. Conversely, mutual funds are the most accessible way for novice investors to reap benefits from professionals who actively invest. The fund manager invests this pool of money into several stocks, bonds, etc.

It is one of the most popular indices used to track how the equity market is currently performing. Say you have saved Rs Of this, you buy stocks worth Rs 50, bonds worth Rs 20, gold worth Rs 20 and keep Rs 10 handy in case you need it. That is your asset allocation. You might hear this term thrown around a lot more now. While there are some basic, well-tested ratios of asset allocation which we will discuss at length later, investors tend to shift things around when markets undergo volatility, i.

The more uncertainty, the larger is the shift towards safer assets. While asset allocation is the breakup of the Rs you saved, diversification is the strategy you use to make sure that even if one risky investment does not pay off, your total investments are not horribly hit. This is another term you hear a lot when markets are volatile. All investments carry risk, but the degree varies.

Risk appetite should be a key determinant in your asset allocation. Re-calibration It is the reallocation of money across asset classes based on how the economy is doing or is expected to do. Say, if there are predictions of a recession, you may want to move more money into relatively safer investments.

For example, you may have intended a investment in equity and bonds but with time, the price of your stocks rise and the ratio now stands at , weighing more towards equity. Re-balancing means buying more bonds or selling part of your equity investments to return to a ratio. This jargon dictionary should give you a quick overview of key investment concepts and terms. But an overview is just the beginning. This is where your investment journey starts. Expense ratio - The ratio between a mutual fund's operating expenses for the year and the average value of its net assets.

Expense ratio date - Amount, expressed as a percentage of total investment that shareholders pay annually for mutual fund operating expenses and management fees. The most sensitive indicator of the direction of interest rates, since it is set daily by the market, unlike the prime rate and the discount rate, which are periodically changed by banks and by the Federal Reserve Board.

Federal Reserve Board The Fed - The governing board of the Federal Reserve System, it regulates the nation's money supply by setting the discount rate, tightening or easing the availability of credit in the economy. Financial materiality - An event or information that are reasonably likely to impact the financial condition or operating performance of a company and should be considered during the investment decision-making process. Fixed income fund - A fund or portfolio where bonds are primarily purchased as investments.

There is no fixed maturity date and no repayment guarantee. Fixed income security - A security that pays a set rate of interest on a regular basis. Fund - A pool of money from a group of investors in order to buy securities. The two major ways funds may be offered are 1 by companies in the securities business these funds are called mutual funds ; and 2 by bank trust departments these are called collective funds.

Green Bond Principles - Voluntary process guidelines that recommend transparency and disclosure and promote integrity in the development of the Green Bond market by clarifying the approach for issuance of a Green Bond. Growth investing - Investment strategy that focuses on stocks of companies and stock funds where earnings are growing rapidly and are expected to continue growing.

Growth stock - Typically a well-known, successful company that is experiencing rapid growth in earnings and revenue, and usually pays little or no dividend. Growth-style funds - Growth funds focus on future gains. A growth fund manager will typically invest in stocks with earnings that outperform the current market. The manager attempts to achieve success by focusing on rapidly growing sectors of the economy and investing in leading companies with consistent earnings growth.

The fund grows primarily as individual share prices climb. Investment themes include activities such as affordable housing, education and healthcare. Investment stewardship - Engaging with companies and voting proxies to ensure our clients' interests are represented and protected and the company is focused on responsible allocation of capital and long-term value creation. Index - An investment index tracks the performance of many investments as a way of measuring the overall performance of a particular investment type or category.

It tracks the performance of large U. Inflation - A rise in the prices of goods and services, often equated with loss of purchasing power. Interest rate - The fixed amount of money that an issuer agrees to pay the bondholders. It is most often a percentage of the face value of the bond. Interest rates constitute one of the self-regulating mechanisms of the market, falling in response to economic weakness and rising on strength. Interest-rate risk - The possibility of a reduction in the value of a security, especially a bond, resulting from a rise in interest rates.

Investment advisor - An organization employed by a mutual fund to give professional advice on the fund's investments and asset management practices. Investment company - A corporation, trust or partnership that invests pooled shareholder dollars in securities appropriate to the organization's objective. Mutual funds, closed-end funds and unit investment trusts are the three types of investment companies.

Investment grade bonds - A bond generally considered suitable for purchase by prudent investors. Investment objective - The goal of a mutual fund and its shareholders, e. In exchange for signing a letter of intent, the shareholder would often qualify for reduced sales charges.

A letter of intent is not a contract and cannot be enforced, it is just a document stating serious intent to carry out certain business activities. The performance of all mutual funds is ranked quarterly and annually, by type of fund such as aggressive growth fund or income fund. Mutual fund managers try to beat the industry average as well as the other funds in their category. Liquidity - The ability to have ready access to invested money.

Mutual funds are liquid because their shares can be redeemed for current value which may be more or less than the original cost on any business day. Loads back-end, front-end and no-load - Sales charges on mutual funds. A back-end load is assessed at redemption see contingent deferred sales charge , while a front-end load is paid at the time of purchase.

No-load funds are free of sales charges. Long-term investment strategy - A strategy that looks past the day-to-day fluctuations of the stock and bond markets and responds to fundamental changes in the financial markets or the economy.

Market price - The current price of an asset. Market risk - The possibility that an investment will not achieve its target. Market timing - A risky investment strategy that calls for buying and selling securities in anticipation of market conditions. Maturity - The date specified in a note or bond on which the debt is due and payable.

Maturity distribution - The breakdown of a portfolio's assets based on the time frame when the investments will mature. Median Market Cap - The midpoint of market capitalization market price multiplied by the number of shares outstanding of the stocks in a portfolio, where half the stocks have higher market capitalization and half have lower. Money market mutual fund - A short-term investment that seeks to protect principal and generate income by investing in Treasury bills, CDs with maturities less than one year and other conservative investments.

Morningstar ratings - System for rating open- and closed-end mutual funds and annuities by Morningstar Inc. The system rates funds from one to five stars, using a risk-adjusted performance rating in which performance equals total return of the fund. Mutual fund - Fund operated by an investment company that raises money from shareholders and invests it in stocks, bonds, options, commodities or money market securities.

NASDAQ is a computerized system that provides brokers and dealers with price quotations for securities traded over-the-counter as well as for many New York Stock Exchange listed securities. The fund's NAV is calculated daily by taking the fund's total assets, subtracting the fund's liabilities, and dividing by the number of shares outstanding. The NAV does not include the sales charge. The process of calculating the NAV is called pricing.

Number of Holdings - Total number of individual securities in a fund or portfolio. For a stock portfolio, the ratio is the weighted average price-to-book ratio of the stocks it holds. Par value - Par value is the amount originally paid for a bond and the amount that will be repaid at maturity. Portfolio - A collection of investments owned by one organization or individual, and managed as a collective whole with specific investment goals in mind.

Portfolio allocation - Amount of assets in a portfolio specifically designated for a certain type of investment. Portfolio holdings - Investments included in a portfolio. Portfolio manager - The person or entity responsible for making investment decisions of the portfolio to meet the specific investment objective or goal of the portfolio.

Positive tilt - An investment process which tilt a fund of portfolio toward a specific sector, company, or project based on specific values or norms-based criteria. A sustainable investment style in which the portfolio will be tilted toward sectors, companies, or projects with positive ESG characteristics. There are several kinds of preferred stock, among them adjustable-rate and convertible. Premium - The amount by which a bond or stock sells above its par value.

Price-to-book - The price per share of a stock divided by its book value net worth per share. Prospectus - Formal written offer to sell securities that sets forth the plan for proposed business enterprise or the facts concerning an existing one that an investor needs to make an informed decision. Prospectuses are also issued by mutual funds, containing information required by the SEC, such as history, background of managers, fund objectives and policies, financial statement, risks, services and fees.

Proxy - A shareholder vote on matters that require shareholders' approval. Public offering price POP - A mutual fund share's purchase price, including sales charges. A fund with an R2 of means that percent of the fund's movement can completely be explained by movements in the fund's external index benchmark. Ratings - Evaluations of the credit quality of bonds usually made by independent rating services. Ratings generally measure the probability of timely repayment of principal and interest on debt securities.

Recession - A downturn in economic activity, defined by many economists as at least two consecutive quarters of decline in a country's gross domestic product. Redemption - Sale of mutual fund shares by a shareholder. Reinvestment option - Refers to an arrangement under which a mutual fund will apply dividends or capital gains distributions for its shareholders toward the purchase of additional shares.

Relative risk and potential return - The amount of potential return from an investment as related to the amount of risk you are willing to accept. Renewable Energy Certificates RECs - A market-based instrument that is issued when one megawatt-hour of electricity is generated and delivered to the electricity grid from a renewable energy resource.

Rights of accumulation - The right to buy over a period of time. For example, this might be done by an institutional investor to avoid making a single substantial purchase that might drive up the market price, or by a retail investor who wants to reduce risk by dollar cost averaging. Risk tolerance - The degree to which you can tolerate volatility in your investment values. By regulation, a mutual fund sales charge may not exceed 8. The charge may vary depending on the amount invested and the fund chosen.

A sales charge or load is reflected in the asked or offering price. See loads. Sector - A group of similar securities, such as equities in a specific industry. Sector breakdown - Breakdown of securities in a portfolio by industry categories. Securities - Another name for investments such as stocks or bonds. The name 'securities' comes from the documents that certify an investor's ownership of particular stocks or bonds. Securities and Exchange Commission SEC - The federal agency created by the Securities and Exchange Act of that administers the laws governing the securities industry, including the registration and distribution of mutual fund shares.

Share - A unit of ownership in an investment, such as a share of a stock or a mutual fund. Share class net assets date - Fund assets included in a specific share class. Share classes - Classes represent ownership in the same fund but charge different fees. This can enable shareholders to choose the type of fee structure that best suits their particular needs.

Sharpe Ratio - A risk-adjusted measure that measures reward per unit of risk. The higher the sharpe ratio, the better. The numerator is the difference between the Fund's annualized return and the annualized return of the risk-free instrument T-Bills.

Short-term investment - Asset purchased with an investment life of less than a year. Standard Deviation - A statistical measure of the degree to which an individual value in a probability distribution tends to vary from the mean of the distribution.

Statement of additional information SAI - The supplementary document to a prospectus that contains more detailed information about a mutual fund; also known as 'Part B' of the prospectus. Stock - A long-term, growth-oriented investment representing ownership in a company; also known as 'equity. Also called 'shareholder. Sustainability Bonds - Bond instrument where the proceeds will be exclusively applied to finance or re-finance a combination of both Green and Social Projects.

Sustainable Development Goals SDGs - A United Nations Initiative for all countries to adopt 17 goals that address global challenges including poverty, inequality, climate change, environmental degradation, and peace and justice. Sustainable investing - A forward-looking investment approach that aims to deliver long-term sustainable financial return in a fast changing world. It encompasses a wide ranging spectrum of approaches, the core of which starts with the incorporation of ESG information.

Systematic investment plan - A service option that allows investors to buy mutual fund shares on a regular schedule, usually through bank account deductions. Tax-exempt income - Tax-exempt income is income that is exempt from income taxes. A purchaser of state municipal bonds is exempt from federal taxation on the income earned from the bonds. Thematic: An investment process that focuses on themes or assets specifically related to topic selected based on specific values or norms-based criteria.

A sustainable investment style that focuses on themes or assets specifically related to sustainability, such as renewable energy, water or healthcare. Time horizon - The amount of time that you expect to stay invested in an asset or security. Top 10 holdings - Ten largest holdings in a portfolio based on asset value. Top 10 long and short positions - The top 10 holdings ranked by market value in each position category long and short.

A long position is one in which an investor buys shares of stock and as an equity holder will profit if the price of the stock rises. With a short position an investor will sell shares of stock that they do not own but have borrowed.

Speaking, idiots guide to trading cryptocurrency believe

Assets In the most basic sense, an asset is anything that has value. They can be divided into many different classifications e. It refers to those investments which are regularly monitored, sometimes tweaked as circumstances change. They are made with a clear time frame in mind, often with the goal of earning better returns than the average Joe. This requires constant reading, knowledge and analysis of the assets and markets.

Most actively managed funds underperform the market, which is why an increasing number of investment options offer products that reflect the market, without active management. Passive Investing Passive investing is the kind of investing where you put your money in and forget about it. Let the market do its thing. Index Funds are the most popular way for passive investing. Warren Buffett describes them as safe havens for those looking to retire.

Think of them as a group of stocks that mirror benchmark indices of national stock exchanges. Conversely, mutual funds are the most accessible way for novice investors to reap benefits from professionals who actively invest. The fund manager invests this pool of money into several stocks, bonds, etc. It is one of the most popular indices used to track how the equity market is currently performing.

Say you have saved Rs Of this, you buy stocks worth Rs 50, bonds worth Rs 20, gold worth Rs 20 and keep Rs 10 handy in case you need it. That is your asset allocation. You might hear this term thrown around a lot more now. While there are some basic, well-tested ratios of asset allocation which we will discuss at length later, investors tend to shift things around when markets undergo volatility, i.

The more uncertainty, the larger is the shift towards safer assets. While asset allocation is the breakup of the Rs you saved, diversification is the strategy you use to make sure that even if one risky investment does not pay off, your total investments are not horribly hit.

This is another term you hear a lot when markets are volatile. Cut-off time - The time of day when a transaction can no longer be accepted for that trading day. Default - Failure of a debtor to make timely payments of interest and principal as they come due or to meet some other provision of a bond indenture.

Distribution schedule - A tentative distribution schedule of a mutual fund's dividends and capital gains. Diversification - The process of owning different investments that tend to perform well at different times in order to reduce the effects of volatility in a portfolio, and also increase the potential for increasing returns.

Dividend - A dividend is a portion of a company's profit paid to common and preferred shareholders. Dividends provide an incentive to own stock in stable companies even if they are not experiencing much growth. Companies are not required to pay dividends. Dividend paid - Amount paid to the shareholder of record a security or mutual fund. Dividend reinvest NAV - Dividends paid to the shareholder of record that are automatically invested in more shares of the security or mutual fund that are purchased at the security's net asset value.

Dividend yield - Annual percentage of return earned by a mutual fund. The yield is determined by dividing the amount of the annual dividends per share by the current net asset value or public offering price. Dollar cost averaging - Investing the same amount of money at regular intervals over an extended period of time, regardless of the share price.

By investing a fixed amount, you purchase more shares when prices are low, and fewer shares when prices are high. This may reduce your overall average cost of investing. Dow Jones Industrial Average Dow - The most commonly used indicator of stock market performance, based on prices of 30 actively traded blue chip stocks, primarily major industrial companies.

The Average is the sum of the current market price of 30 major industrial companies' stocks divided by a number that has been adjusted to take into account stocks splits and changes in stock composition. Social - Factors that relate to the rights, well-being, and interests of people and communities, e.

Governance - Factors that relate to the management and oversight of companies and investee entities, e. EPS - The portion of a company's profit allocated to each outstanding share of common stock. EPS serves as an indicator of a company's profitability.

Equities - Shares issued by a company which represent ownership in it. Ownership of property, usually in the form of common stocks, as distinguished from fixed-income securities such as bonds or mortgages. Stock funds may vary depending on the fund's investment objective. Stock funds may vary, depending on the fund's investment objective. Exclusions - An investment process that excludes specific investments or classes of investment from the investment universe based on specific values or norms-based criteria.

A sustainable investment style that excludes certain sectors, companies or practices based on specific values or norms-based criteria from a fund or portfolio. For example, certain industries, such as defense, tobacco or fossil fuel producers, can systematically be excluded from investment. Ex-Dividend - The interval between the announcement and the payment of the next dividend for a stock.

Ex-Dividend date - The date on which a stock goes ex-dividend. Typically about three weeks before the dividend is paid to shareholders of record. Exchange privilege - The ability to transfer money from one mutual fund to another within the same fund family.

Expense ratio - The ratio between a mutual fund's operating expenses for the year and the average value of its net assets. Expense ratio date - Amount, expressed as a percentage of total investment that shareholders pay annually for mutual fund operating expenses and management fees.

The most sensitive indicator of the direction of interest rates, since it is set daily by the market, unlike the prime rate and the discount rate, which are periodically changed by banks and by the Federal Reserve Board. Federal Reserve Board The Fed - The governing board of the Federal Reserve System, it regulates the nation's money supply by setting the discount rate, tightening or easing the availability of credit in the economy. Financial materiality - An event or information that are reasonably likely to impact the financial condition or operating performance of a company and should be considered during the investment decision-making process.

Fixed income fund - A fund or portfolio where bonds are primarily purchased as investments. There is no fixed maturity date and no repayment guarantee. Fixed income security - A security that pays a set rate of interest on a regular basis. Fund - A pool of money from a group of investors in order to buy securities. The two major ways funds may be offered are 1 by companies in the securities business these funds are called mutual funds ; and 2 by bank trust departments these are called collective funds.

Green Bond Principles - Voluntary process guidelines that recommend transparency and disclosure and promote integrity in the development of the Green Bond market by clarifying the approach for issuance of a Green Bond. Growth investing - Investment strategy that focuses on stocks of companies and stock funds where earnings are growing rapidly and are expected to continue growing. Growth stock - Typically a well-known, successful company that is experiencing rapid growth in earnings and revenue, and usually pays little or no dividend.

Growth-style funds - Growth funds focus on future gains. A growth fund manager will typically invest in stocks with earnings that outperform the current market. The manager attempts to achieve success by focusing on rapidly growing sectors of the economy and investing in leading companies with consistent earnings growth. The fund grows primarily as individual share prices climb. Investment themes include activities such as affordable housing, education and healthcare.

Investment stewardship - Engaging with companies and voting proxies to ensure our clients' interests are represented and protected and the company is focused on responsible allocation of capital and long-term value creation. Index - An investment index tracks the performance of many investments as a way of measuring the overall performance of a particular investment type or category.

It tracks the performance of large U. Inflation - A rise in the prices of goods and services, often equated with loss of purchasing power. Interest rate - The fixed amount of money that an issuer agrees to pay the bondholders. It is most often a percentage of the face value of the bond. Interest rates constitute one of the self-regulating mechanisms of the market, falling in response to economic weakness and rising on strength. Interest-rate risk - The possibility of a reduction in the value of a security, especially a bond, resulting from a rise in interest rates.

Investment advisor - An organization employed by a mutual fund to give professional advice on the fund's investments and asset management practices. Investment company - A corporation, trust or partnership that invests pooled shareholder dollars in securities appropriate to the organization's objective. Mutual funds, closed-end funds and unit investment trusts are the three types of investment companies.

Investment grade bonds - A bond generally considered suitable for purchase by prudent investors. Investment objective - The goal of a mutual fund and its shareholders, e. In exchange for signing a letter of intent, the shareholder would often qualify for reduced sales charges. A letter of intent is not a contract and cannot be enforced, it is just a document stating serious intent to carry out certain business activities.

The performance of all mutual funds is ranked quarterly and annually, by type of fund such as aggressive growth fund or income fund. Mutual fund managers try to beat the industry average as well as the other funds in their category. Liquidity - The ability to have ready access to invested money. Mutual funds are liquid because their shares can be redeemed for current value which may be more or less than the original cost on any business day.

Loads back-end, front-end and no-load - Sales charges on mutual funds. A back-end load is assessed at redemption see contingent deferred sales charge , while a front-end load is paid at the time of purchase. No-load funds are free of sales charges. Long-term investment strategy - A strategy that looks past the day-to-day fluctuations of the stock and bond markets and responds to fundamental changes in the financial markets or the economy.

Market price - The current price of an asset. Market risk - The possibility that an investment will not achieve its target. Market timing - A risky investment strategy that calls for buying and selling securities in anticipation of market conditions.

Maturity - The date specified in a note or bond on which the debt is due and payable. Maturity distribution - The breakdown of a portfolio's assets based on the time frame when the investments will mature. Median Market Cap - The midpoint of market capitalization market price multiplied by the number of shares outstanding of the stocks in a portfolio, where half the stocks have higher market capitalization and half have lower.

Money market mutual fund - A short-term investment that seeks to protect principal and generate income by investing in Treasury bills, CDs with maturities less than one year and other conservative investments. Morningstar ratings - System for rating open- and closed-end mutual funds and annuities by Morningstar Inc. The system rates funds from one to five stars, using a risk-adjusted performance rating in which performance equals total return of the fund.

Mutual fund - Fund operated by an investment company that raises money from shareholders and invests it in stocks, bonds, options, commodities or money market securities. NASDAQ is a computerized system that provides brokers and dealers with price quotations for securities traded over-the-counter as well as for many New York Stock Exchange listed securities.

The fund's NAV is calculated daily by taking the fund's total assets, subtracting the fund's liabilities, and dividing by the number of shares outstanding. The NAV does not include the sales charge. The process of calculating the NAV is called pricing.

Number of Holdings - Total number of individual securities in a fund or portfolio. For a stock portfolio, the ratio is the weighted average price-to-book ratio of the stocks it holds. Par value - Par value is the amount originally paid for a bond and the amount that will be repaid at maturity. Portfolio - A collection of investments owned by one organization or individual, and managed as a collective whole with specific investment goals in mind.

Portfolio allocation - Amount of assets in a portfolio specifically designated for a certain type of investment. Portfolio holdings - Investments included in a portfolio. Portfolio manager - The person or entity responsible for making investment decisions of the portfolio to meet the specific investment objective or goal of the portfolio. Positive tilt - An investment process which tilt a fund of portfolio toward a specific sector, company, or project based on specific values or norms-based criteria.

A sustainable investment style in which the portfolio will be tilted toward sectors, companies, or projects with positive ESG characteristics. There are several kinds of preferred stock, among them adjustable-rate and convertible. Premium - The amount by which a bond or stock sells above its par value. Price-to-book - The price per share of a stock divided by its book value net worth per share.

Prospectus - Formal written offer to sell securities that sets forth the plan for proposed business enterprise or the facts concerning an existing one that an investor needs to make an informed decision. Prospectuses are also issued by mutual funds, containing information required by the SEC, such as history, background of managers, fund objectives and policies, financial statement, risks, services and fees.

Proxy - A shareholder vote on matters that require shareholders' approval. Public offering price POP - A mutual fund share's purchase price, including sales charges. A fund with an R2 of means that percent of the fund's movement can completely be explained by movements in the fund's external index benchmark. Ratings - Evaluations of the credit quality of bonds usually made by independent rating services. Ratings generally measure the probability of timely repayment of principal and interest on debt securities.

Recession - A downturn in economic activity, defined by many economists as at least two consecutive quarters of decline in a country's gross domestic product. Redemption - Sale of mutual fund shares by a shareholder.

Reinvestment option - Refers to an arrangement under which a mutual fund will apply dividends or capital gains distributions for its shareholders toward the purchase of additional shares. Relative risk and potential return - The amount of potential return from an investment as related to the amount of risk you are willing to accept.

Renewable Energy Certificates RECs - A market-based instrument that is issued when one megawatt-hour of electricity is generated and delivered to the electricity grid from a renewable energy resource. Rights of accumulation - The right to buy over a period of time. For example, this might be done by an institutional investor to avoid making a single substantial purchase that might drive up the market price, or by a retail investor who wants to reduce risk by dollar cost averaging.

Risk tolerance - The degree to which you can tolerate volatility in your investment values. By regulation, a mutual fund sales charge may not exceed 8. The charge may vary depending on the amount invested and the fund chosen. A sales charge or load is reflected in the asked or offering price. See loads.