A measure of how much a stock is correlated with the market
Broker
A person that handles transactions between the trader and the exchange
Debt
Also known as bonds, a loan given to a company that must be paid back at some point
Dividend Yield
The ratio of a company's payment to shareholders (dividend) over the share price
EPS
Also known as earnings per share, the amount a company earns per outstanding share
Equity
Also known as stocks, a measure of ownership of a company's assets
ETF
Also known as an exchange-traded fund, an investment similar to mutual funds, except that stocks can be traded throughout the day, instead of at the end of the day
Futures Contract
An agreement to buy or sell an asset at a specified price and future date
Index
A measure of how a group of stocks are doing
Index Fund
A passive investment to purchase stocks that follow a certain index
Limit Order
A trade that's executed at a certain price or better
Liquidity
A measure of cash a company has
Market Cap
The value of a company's shares (share price * # of shares)
Market Exchange
A system where goods and services are exchanged
Market Order
A trade that's executed immediately after a deal is made
Mutual Fund
An active, or managed, investment to purchase stocks from a fund manager
P/E Ratio
Also known as the price-to-earnings ratio, the ratio of a company's earning to the share price (share price / EPS)
Portfolio
A collection of investments held by a trader
Risk
The probability of incurring a loss from an investment
ROI
Also known as return on investment, the amount of profit made on an investment
Share Price
The value of one stock
Stop-Limit Order
A trade that becomes a limit order once a certain price is reached
Stop-Loss Order
A trade that becomes a market order once a certain price is reached
Trader
A person requesting to buy or sell assets
Volatility
A measure of fluctuations in the stock price
Volume
A measure of how much a stock has been traded after a certain period of time