Gross Interest.

Gross interest is the total interest earned on an investment before taxes or other deductions are taken out. For example, if you invest $100 in a savings account that pays 2% interest per year, your gross interest would be $2. After taxes and other deductions are taken out, your net interest would be less than … Read more

Loan Stock Definition.

Loan stock definition: Loan stock is a type of debt security that typically pays periodic interest payments, known as coupons, and repayments of principal at maturity. Loan stock may be issued by companies, governments, or other entities as a means of borrowing funds from investors. Loan stock typically pays periodic interest payments, known as coupons, … Read more

Purchase Price.

The purchase price is the price at which an asset is bought. It is usually lower than the selling price, which is the price at which the asset is sold. The difference between the purchase price and the selling price is called the profit or loss. What is bid buying? Bid buying is the act … Read more

Stock Pick.

A stock pick is a security that is selected by an investor to buy or sell. A stock pick can be based on a number of different criteria, such as technical analysis, fundamental analysis, or a combination of both. Which indicator is best for 5 min chart? There is no definitive answer to this question … Read more

Capital Loss.

A capital loss occurs when an investment declines in value. Capital losses can be used to offset capital gains and lower your tax bill. If you sell an investment for less than you paid for it, you have a capital loss. How does capital loss works? Capital loss occurs when the sale price of a … Read more

Lame Duck Definition.

A “lame duck” is a term used to describe a company or individual who is no longer able to perform their duties effectively. This can be due to a number of reasons, such as retirement, resignation, or being fired. The term is often used in the business world to describe a company that is struggling … Read more

Trailing Definition.

A trailing definition is a term used to describe an investment strategy in which an investor purchases shares of a stock or other security and then holds on to those shares for an extended period of time, regardless of fluctuations in the market. The investor’s goal is to benefit from the long-term growth potential of … Read more

Swap Dealer.

A swap dealer is a firm that engages in swap transactions with counterparties as a business. Swap dealers must register with the CFTC and are subject to CFTC regulation. What is ECP in CFTC? The Commodity Futures Trading Commission (CFTC) is an independent agency of the US federal government that regulates the commodity futures and … Read more

Holding Period Definition.

The holding period definition is the minimum amount of time that an investor must hold a security before selling it. The definition varies depending on the security and the exchange on which it is traded. For example, stocks traded on the New York Stock Exchange have a minimum holding period of 30 days, while those … Read more

Buying Forward Definition.

The definition of buying forward is an investing strategy whereby the investor buys a security at a current price in order to sell it at a higher price at a later date. This strategy is often used when the investor believes that the price of the security will increase in the future. What determines the … Read more