Stock
A share of ownership in a corporation.
Stock Market
A general term used to describe all transactions involving the buying and selling of stock shares issued by a company.
NYSE
New York Stock Exchange
AMEX
American Stock Exchange
NASDAQ
A major stock exchange that handles trades through a computerized network
Dividend
A portion of the net profits paid directly to the stockholders paid at a fixed amount.
Stockholder
An owner of one or more shares of a corporation
Ticker Symbol
A short abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market
Diversify
To divide up money into different investments so that if one area turns for the worse then you will be protected.
Investment Portfolio
The collection of investments you personally hold, including stocks, bonds, money market accounts, and savings accounts.
Securities Exchange Commision
an independent federal agency that oversees the exchange of securities to protect investors
Net Change
Difference between closing price of previous day and current day.
IPO
Initial Public Offering
Publicly Traded Company
A company that issues shares of ownership, or stocks, that are traded on the open market
Closing Price
The last price for a stock traded at the end of the trading day or session on an exchange.
P/E Ratio
Price to earnings ratio shows the relationship between the stock price and it's company's earnings (profits)
Return on Investment
(ROI) the ratio of money gained or lost on an investment relative to the amount of money invested. (usually stated in percentage form)
Equity
Amount of owners' or shareholders' portion of a business.
Blue-Chip
stock from nationally recognized companies which dominate the industry often having annual revenue of one billion or more
Stockbroker
A licensed professional who handles stock purchases and sales
Investment Risk
the possibility that an investment will fail to pay the expected return or fail to pay a return at all