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Put At Least 20% Down On A Home - Your home is most likely the biggest purchase you will make in your lifetime, so when planning for the big day,...

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Investing Glossary - S

    Sales Force

    Sales Force –  The sales force are those individuals and roles (even systems, automated, technologies, in person, web-enabled), processes and people, within an organization that are tasked primarily, with the selling and closure of deals, products and services. The responsible parties and positions dealing with, transacting, trading, vending, buying/ selling, and doing business, step into the spotlight. They are effectively the point of and enabler of direct contact with customers/consumers. Base salary and sales commissions are paid, based on volume of sales, percentage of revenue sold (some are non-commissioned sales forces) Quotas as assigned (territories, clients, sectors, products etc.), taking...

    Savings Bonds

    Definition: Savings bonds are issued by the federal government to average investors.  They are non-marketable, interest-bearing securities. Advice: Savings bonds used to be popular gifts.  The interest on these securities are exempt from federal and state taxes. Furthermore,...

    Scholarship

    Definition: A monetary award, usually based on either academic merit or financial need (or both), that can be applied to educational expenses. Advice: Scholarships are great because they do not require the recipient to repay them.  However, some scholarships...

    Securities & Exchange Commission (SEC)

    Definition: The SEC was created by Congress to instill confidence in the public financial markets by regulating securities and enforcing securities laws.Advice: The SEC is meant to protect investors.  If there were no SEC, investors would not know if a security they were investing in was legitimate or not.      ...

    SEC Filing

    SEC Filing In most cases, a company must make much of its financial data available to the public so that potential investors can be informed of the company's financial status. In order to do so, the company will send this data to the SEC, which will make it available to the public. This financial information is delivered in the form of a document and is then sent out into the public eye. There are set requirements for this filing that all companies must adhere to because investors need to know this information on time so that they can make informed...

    Sector

    Definition: A sector is a group of common industries.  Examples of sector include energy, consumer discretionary, telecommunications, consumer staples, etc.Advice: Knowing what sector a company is in can help you determine how it will react to various economic trends.  For example, when interest rates are rising, the consumer discretionary sector as a whole struggles because consumers cannot finance big purchases as cheaply.      ...

    Sector Fund

    Definition: Sector funds that are restricted to investing in a particular sector.Advice: These investments may prove appealing when one particular sector is greatly outperforming the market as a whole, but as long term investments they're no better than a diversified portfolio.  If you invest in one of these, expect higher volatility.      ...

    Securities Analyst

    Securities Analyst An individual that is able to analyze the market by studying companies and then is able to make recommendations on which securities to buy and sell using this information. This individual usually works for a bank or brokerage and is able to give investors the information that they need to make informed decisions on what to buy and what to sell. There are a number of different techniques that are used by a securities analyst, but the research is always very thorough and is trusted by not only traders, but also managers who are handling the mutual funds...

    Securities and Exchange Commission

    Securities and Exchange Commission This is what the SEC stands for and it is an agency that is responsible for regulating the securities industry. This is a federal organization and it has full power to protect those who are investing against anything that could be considered illegal or even manipulative. There are a number of different Acts that outline the power that the SEC has, but mainly the organization supervised all of the trading that is going on in order to ensure that everything is done fairly. There are four different divisions of the SEC, with each division having its...

    Segregated Fund

    Segregated Fund This is a special offering by an insurance company that protects investments that are made. The insurance company is able to guarantee that an investment will yield a specific return once it has matured. If this return is not met, the investor has the right to money from the segregated fund. It is called segregated because all of the funds are completely separated from the other investments that have been made, which prevents then from getting the same return as the other investment. There are also a number of fee exemptions with this type of fund, which will...

    Sell Side

    Definition: The sell-side of Wall Street are the investment banks and brokers.  They produce research that is then disseminated to their clients.Advice: Sell-side research is burdened by conflicts of interest and  you should take it with a grain of salt.      ...

    Series Fund

    Series Fund This is a part of a group of mutual funds that is designed to get the best possible payout on the investment. This a series fund allows multiple portfolios, it is very easy to diversify with this type of fund, which can lower the risk with your investments. By investing in a number of different sectors with a number of different portfolios, the manager can minimize the chance of something going horribly wrong with the investment and can almost guarantee a return for the investor. In most cases, it is best to leave a series fund in the...

    Service Fee

    Service Fee The service fee is in place to give adequate financial compensation to any financial planners or brokers that are used over the course of an investment. This is part of the 12b-1 fee that is present in most mutual funds, but it cannot be any higher than 0.25% of the fund's value. This is a shareholder's service, so it is agreed upon by all investors before anything is implemented. In some cases, the service fees might be waived, however, as is the case with some retirement funds. In those cases, however, a yearly fee will be taken instead...

    Severance Pay

    Severance Pay -  This term refers to the form and amounts of compensation by employers, to employees/workers, losing their jobs, or going through termination process, layoffs and downsizing. Could pertain to job-loss, firing, or other reasons, form of termination (medical disability et al), dismissals, unemployment, done to reduce corporate salary/benefits burden, overhead (higher paid employees, shrinking down the workforce), bring severance pay into play. Benefits and taxation have to be taken into account. bundled package of financial compensation and benefits which is offered to some employees when they leave their positions. Also called “golden parachutes,” or golden handshakes.  These could...

    Share

    Definition: A share represents part ownership in a company.  Commonly called "stocks" and "equities." TeenAnalyst Advice: A person who owns shares of stock is called a shareholder.  Think of a share like a piece of pie.  You own a very very very very small piece of the whole company.   ...

    Shareholder

    Definition:  A person who owns at least 1 share of stock.  Can also be referred to as a "stockholder." TeenAnalyst Advice: A shareholder represents someone who owns part of the company.  Even if you own just 1 share of stock in General Electric (for example), you still own part of the company.Shareholders have voting rights and they profit when the company does well.   ...

    Sharpe Ratio

    Sharpe Ratio This ratio was developed by a man named William F. Sharpe and it is meant to figure out how much reward is involved with the risk that an investment contains. For example, an investor might believe that a high risk, high reward type of situation is worth it, but would not feel the same way about a high risk, low reward investment. This is called a risk-adjusted performance and is in place to predict how a stock could behave in the future, while applying a number value to its likelihood of return in comparison to the risk that...

    Shelf Life

    Shelf Life - The length of time that a given item, product, service, stock, investment can be or ‘remain in a selling/sell-able condition’ on a retailer's shelf, or making profit/return sense in the marketplace. Similar to expiry dates or  “use by,” “best by” or “best if used by” type descriptive properties referring specifically to the duration and time an item will still be healthy, safe and remain fresh. Purchasing assets, items or investing in instruments beyond these shelf life parameters are not recommended. It is in fact a good metric on how long something will last, be good, but also...

    Shelf Velocity

    Shelf Velocity – A robustness indicator, this term simply asks and summarizes the answer to the question: How quickly do transactions get done, materials move from provider to consumer? As such it is an effectiveness indicator, metric or measure, of how long it actually really takes, start-to-finish, from point of sale/order, to customer receipt, off-the-shelf purpose, delivery and take-home enjoyment! The rate, rapidity, swiftness and speed at which a product, service, transaction, process,  moves from a manufacturer's ‘inventory’, provider, supplier, to a distributor's, middle-man, and/ or retailer's shelf to a customer. It is extremely important to assess and monitor the...

    Short-term Investment Fund

    Short-term Investment Fund The purpose of this type of fund is to gain a return in a relatively short period of time. This is accomplished through a series of low risk investments that are more or less guaranteed to provide a certain level of return over a short period of time. This includes investments in things like notes and short term debt, that will give a payout very soon to the investor. This type of investment is also meant to protect the capital that has been invested, since the investor does not...

    Short Selling

    Definition: Selling of a stock that a person doesn't own.  They hope to profit by buying the stock back at a lower price and returning it.  Also called "shorting." TeenAnalyst Advice: Shorting a stock is basically the same as making a bet that the stock will go down.  The investor borrows the shares of stock, ...

    Side Pocket

    Side Pocket When a hedge fund opens a second account for its illiquid assets, it is called a side pocket. This keeps these assets separate from the liquid assets of the hedge fund, which provide benefits for certain members of the fund. The only people who stand to make considerable gains from a side pocket are those who are original members of the hedge fund. Anyone who has joined since the fund was started will not make any money from this type of account because this separate account will not apply to the...

    Six Sigma

    Definition: Six sigma is a set of techniques that improves business processes.  By doing so, companies can save lots of money and improve the quality of their products. Advice: Six sigma is heavily studied in business schools and many manufacturing ...

    Small Business Administration

    Small Business Administration - SBA stands for the Small Business Administration of the United States. The government agency was founded in July, 1953. Largely in response to economic turmoil and aftermath, from the major Depression and World War II. It is a program and support, to assist as well as protect small businesses. Their mandate centers around maintaining and empowering, strengthening economy, by assisting and protecting interests and investments in/of small businesses  (helping families recovering from disasters). This body provides government grants, sponsorships, contracts, loans, advisory services for target-audiences like minorities, veterans and women.  Supporting entrepreneurism in a variety of...

    Socially Conscious Investing

    Socially Conscious Investing With so many different companies out there to invest in, an increasing number of people are choosing to invest in companies that offer social benefits to society, are ethically sound, and are environmentally friendly. This type of investing eliminates any social concerns that an investor might have and can also largely prevent the chance of any companies that have been invested in from being part of a scandal that can affect the investment as a whole. A scandal can drop the value of a company significantly, so socially conscious investing is actually beneficial financially, as well as...

    Socially Responsible Fund

    Socially Responsible Fund A type of mutual fund that is invested solely in companies that are up to a predetermined social standard. In many cases, you will find that a socially responsible fund will avoid making investments in tobacco or alcohol related companies because they do not believe that these companies are ethically sound. In addition, many of these mutual funds are invested in things like care centers, hospitals, and environmentally sound organizations. While the fund will only invest in these types of companies, the boundaries are flexible, since they are self imposed by the investors, rather than through...

    Sole Proprietorship

    Definition: A business structure in which a single person owns and operates the entire business. TeenAnalyst Advice: Sole proprietorships are really easy to get started but they don't offer lots of flexibility.  It's hard to take on investors and not easy to hire employees. Sole proprietorships are taxed on the individual's income tax return. ...

    Sovereign Wealth Funds

    Sovereign Wealth Funds A type of fund that is owned by the government of a country and is invested in a foreign country. These investments are paid for by the country's foreign currency reserves and the actual money usually comes from the state operated banks in the country. These types of funds are now major participants on the worldwide market, as the major funds are now worth over 3 trillion dollars and that amount is expected to increase significantly in the coming years. Much of this money comes from OPEC countries, which means...

    S&P 500

    Definition: An index of five hundred major stocks.  This is considered a benchmark for mutual funds because fund managers want to outperform this index. TeenAnalyst Advice: As mentioned, this is essentially the benchmark for investors and mutual funds to beat.  When someone says they "beat the market," ...

    Specialist

    Definition: A person on a trading floor who is responsible for managing the inventory of certain stocks. TeenAnalyst Advice: If you went to the NYSE and saw all of the action going on, you could point out the specialist pretty easily.  The specialist is located near "booths" where specific stocks are traded.  ...

    Specialized Fund

    Specialized Fund This type of mutual fund is meant to specialize in a certain sector, industry, or area of the world. There is very little diversification with a specialized fund, so it is important that the proper decisions are made for all involved. There is a very high risk involved, since the lack of diversification puts all of the money into one basket, there is also a very high reward if the money is invested into the right sector or industry. A good advisor is needed when getting involved with a specialized fund...

    Special Purpose Entity

    Special Purpose Entity - Financial risk  isolation bodies, vehicles or entities. Oftentimes abbreviated as (SPV/SPE) - Also referred to as a "bankruptcy-remote entity" whose operations are limited to the acquisition and financing of specific assets. The SPV is usually a subsidiary company with an asset/liability structure and legal status that makes its obligations secure even if the parent company goes bankrupt. Oftentimes reeks of  financial statement manipulation, off-balance sheet activities, or used to hide debt.  A subsidiary corporation designed to serve as a counterparty for swaps and other credit sensitive derivative instruments. Also called a "derivatives product company."...

    Special Situations

    Definition: Special situations refer to event-driven strategies, such as taking positions in companies that are going to be taken over, are distressed (facing bankruptcy), or are undergoing a management change. Advice: These types of strategies can produce huge returns...

    Split Rating

    Split Rating There are many different rating agencies around that will give companies or securities a rating based on the data that is available to them. The problem is that in many cases, different agencies will have different data and, therefore, will have differing opinions on the company's prospects. If two very different ratings are given by an agency, it is called a split rating. This level of uncertainty can leave investors very weary of investing in this company because the information does not seem to add up and, therefore, investors would...

    Spot Price

    Spot Prices – Current Price of a security, typically commodities that can be bought or sold at a specified time. It can be used to calculate future contracts prices of commodities, and vice versa. Spot prices are also commonly used in some service industry such as in shipping where there’s a daily spot rate for different types of ship that don’t have long term contracts. The Baltic Dry Index (BDi) is a combination of three indices that provide daily rate for three types of ships: BCI (Cape Index), BPI (Panamax index), and BSI (Supramax Index). ...

    Stamped Security

    Stamped Security Over the life of a security or bond, many different things will change and all of this has to be documented well by the issuers so that the investor is fully aware of these changes. That is what a stamped security is used for, as this type of security is stamped for the purpose of showing that a feature has been changed since the security was originally issued. One of the more common changes that is made is to the maturity date, as this will change depending on various market factors...

    Standard Deviation

    Definition: The standard deviation of a stock measures its volatility.  In investing, volatility is synonymous with risk, so one could say standard deviation measures total risk. StockJargon Advice: The higher a stock's standard deviation, the higher the risk.  For...

    Standard & Poor's

    Definition: Standard & Poor's is a company that manages the famous S&P indices, produces independent research, and rates corporate debt. Advice: This company provides a variety of important information resources for investors.  Its credit ratings help investors determine how...

    Statement of Additional Information

    Statement of Additional Information This is a document that outlines all of the information that an investor would need to know about a mutual fund. This includes things like policies, operations, risks, management procedures and anything else that an investor would ask before deciding to invest money in the fund. This is much more detailed than a prospectus, as nothing is abbreviated and each of these aspects is considered thoroughly in order to help the investor make an informed decision. A statement of additional information will usually be included with mutual...

    Stock Bonus Plan

    Stock Bonus Plan -  An incentive plan and mechanism,  DC or defined contribution plan,  in and through which company contributions are distributable in the form of company stock. An employee-benefit plan whereby part of the employees' compensation is in the form of the employer's stock. Front-liners, to executives, even officers  view monetary reward as incentives and motivators to do more, work harder, longer, to increase morale, productivity and profits. Bonuses are typically given to entice and inspire, reward and recognize. Tangible financial reward for increased productivity empowers the working environment and bottom line. A commonplace method to rewarding and compensating...

    Stock Buyback

    Definition: A stock buyback occurs when a company returns capital to shareholders by buying back its own shares.  Because there are fewer shares outstanding afterwards, the value of each share goes up. Advice: Stock buybacks tend to be good...

    Stock Fund

    Stock Fund Mutual funds can include investment in a number of different sectors, but a stock fund is one that invests mostly in stocks. Many investors find the stock market both easier and more interesting to follow, which is why stock funds have such a great appeal. For many people, as stock find gives them the chance to get into the stock market and learn a little but about the procedures, without having to take on all of the risk involved alone. For this reason, stocks funds are becoming incredibly popular with new...

    Stockholder

    Stockholder - A stockholder also known as a shareholder is a person, group, or organization, which owns at least one share in a company. The stockholder's name will appear on the title of the stock as legal owner of the stocks or shares in question. A stockholder can also own shares of stock in a mutual fund. Stockholders cast their vote for the candidates running for directorship for the company they own stock in. They also have voting rights for certain company matters. Stockholders have the right to a portion of the company's present or retained earnings (earning which...

    Stockholder of Record

    Stockholder of record - Stockholder of record is also known as shareholder of record, owner of record, or holder of record. The issuing company will have on file, or on record the name of the individual or company who owns that stock. The name on the title of the share does not have to be the beneficial owner. For example, the registered shareholder may not be the individual who will eventually benefit from the funds, the shares may be registered to a trust fund until the owner comes of age, or it may be registered to a broker, or...

    Stockholder's Equity

    Stockholder's equity - Stockholder's equity is the segment of the company's balance sheet, representing the investor's capital that was received for the company's common stock. Stockholder's equity could be paid in capital, donated capital or retained earnings (not yet paid out by the company). Stockholders equity is the current equity investment that the stockholders have within the company. The formula for finding the stockholder's equity would be to subtract the liabilities, preferred stock, and any intangible assets from the company's total assets. A second method of calculation would be to deduct the treasury shares from the combined retained earnings...

    Stock Index

    Definition: A stock index is a measure of the performance of underlying stocks.  Changes in the index reflect changes in the value of the stocks. Advice: Stock indices provide investors with an easy way to determine if the market ...

    Stock Purchase Plan

    Stock purchase plan - A stock purchase plan is also known as an employee ownership plan. A stock purchase plan is set up so that employees can buy shares in the company they work for. The company forms the trust so that their employees can deposit money into the plan for the purchase of company stock. The employer may even match dollar for dollar. The fund is tax qualified because its contributing employees are part owners in the company. Taxes can be collected immediately or they can be deferred depending on the ...

    Stock Rating

    Stock Rating - A stock rating is a rating given by a rating agency such as Standard & Poor, which evaluates the stock's future performance and the risk level associated with that stock. A stock rating is important for potential investors so that they can see what the experts, the analysts in the field consider to be a fair value rating of the given stock since they also do the evaluation the issuing company's performance as well. The evaluation of the fair value of stock is important because the higher the fair value is over the market value the...

    Stock Simulator

    Stock Stimulator - A stock stimulator is a computerized game that will give the player a taste of what trading on the stock market is really like, the game will mimic the real life activity on the market. If a player is using the stock stimulator just for the fun of it, the stimulator generates fictional data for the purposes of the game. Players can also use the game to try their hand at trading before investing in real market securities. When a real life simulation is needed the stock stimulator will be an invaluable tool to educate the...

    Stock Split

    Definition: When the number of shares of a stock is increased but the price per share decreases.  Companies typically do this when the stock price gets too high for small investors to be able to afford a share. TeenAnalyst Advice: For example, if a stock is at $100 per share, the management might ...

    Stock Symbol

    Stock Symbol - A stock symbol is a tinker symbol. The stock symbols are the letters that represent the company issuing the stock. These symbols are mnemonic to clearly identify the company. The use of mnemonics is a proven system, which enhances the ability to remember the company in question and any other situation in life. Companies often use acronyms for their company name to make it easier to remember and to use as their stock symbol. These symbols can be made of letters or letters and numbers. Companies may also use a ticker, which is the term used...

    Stock Validation

    Stock validation - Stock validation is the system used to determine the fair market value of a stock. The fair market value is the price that an investor is willing to pay and the price that a company is willing to sell on the open market. The stock validation is carried out by statistical formulas taking in many economic factors in consideration such as share prices, a company's net worth, gross national product, retail sales and consumer price index. There are several ways of calculating stock validation. The most common methods include the discounted cash flow method, which is...

    Stop-loss Order

    Definition: An order to sell a stock at a specified price. TeenAnalyst Advice: For example, if you own XYZ stock at $40 per share and want to sell it if it drops to $35 per share, you would put in a stop-loss order.  This allows you to minimize your losses because if XYZ dropped to $30...

    Story Stock

    Story stock - A story stock is called so because there is some important news story about the company that will cause a movement of the stock of that company. The movement will be upward because of the company and its story. The stock movement is not driven by the actually value of the stock which is normally the case, instead it is based upon the news release and the favorable conditions presented by the press release. For example, a bio chemical company may have just announced that they are soon to receive quick favorable test results for treatment of...

    Straight Value

    Straight value - A straight value is also known as an investment value. A straight value would be the value remaining on a convertible security sold on the open market if the convertibility portion of the security was removed. A straight value is also called a value to the owner because it is the bottom line when it comes to its worth on the open market. Another name for a straight value is value of a convertible security. A convertible security is a preferred stock, which can be converted into common stock or convertible bonds. The shareholder chooses to...

    Strike Price

    Definition: The strike price is the price at which you can buy or sell shares of stock by exercising your options.  If the options are in the money, you have made a profit.  The exercise price is also commonly referred to as ...

    Structured Investment Vehicle

    Structured Investment Vehicle This type of investment is made in a long term security with a high yield. The money that is used to invest in this security is made by the sale of shorter term securities that have a lower yield. Any difference that comes as a result of these sales goes directly to the investors. In many cases, the money in invested into corporate debt, as this is likely to get a good return. Structured investment vehicles have, however, become very rare due to the sub prime mortgage issues that...

    Structured Product

    Structured product - A structured product is a securities and derivatives portfolio that a company may put together, or an investor can customize their own portfolio. However customizing a portfolio would also mean that the investor is willing to take on the risk involved since there is no standards adherents within the products chosen. Products will vary and so will the features and components of each product. This in turn varies the payouts and creates a high-risk environment. The payouts in a structured product are nontraditional; they do not include the usual such as an investment grade bond but...

    Student Loan

    Definition: A loan originated by the government or a private bank for educational expenses. Advice: Federal student loans are far superior to private student loans because they offer far lower interest rates.  If you take out a lot of...

    Student Loan Marketing Association

    Student loan marketing association - The Sally Mae Student Loan Marketing Association which happens to be publicly traded, is the biggest student loans provider in the USA. Salle Mae was created by the government in 2000 as one of their enterprises but was changed to a completely private organization now trading on the exchange since 2004. Sallie Mae trades on the New York Stock Exchange. SLM is the Sallie Mae tinker symbol. The Sallie Mae Student Loan Marketing Association purchases student loans from colleges and university and other student loan lenders, it then sells the students loans to interested...

    Style Box

    Definition: The style box was created by Morningstar to plot all mutual funds on a three-by-three matrix.  On one axis is the strategy (value, blend, growth) and on the other axis is the size of typical investments (small, midcap, or large-cap) Advice: This ...

    Subscription Right

    Subscription Right - A subscription right is the privilege or right of a company's existing shareholders or their transferees to keep their level of investment in the company by being given the opportunity to buy any future shares of common stock issued by the company. This is done privately before the shares become public so that they can retain their interest. They can buy these new shares on a pro rata basis. The existing shareholders will receive a subscription warrant which will indicate how many shares are available and the existing shareholders can purchase them at a lower cost than...

    Subscription Warrant

    Subscription Warrant This is a type of certificate that is given to the investor when a bond or preferred stock is purchased and it gives the investor the right to purchase a given amount of additional securities for a predetermined price. The predetermined price is usually above the current market value, but this warrant can last anywhere from a few years to a lifetime, so it could end up being viable in the future. If the price of the security ever rises above the rates that have been given to the investor, the...

    Subsequent Offering

    Subsequent offering - A subsequent offering is an offering to the public that comes after the initial offering. What an initial offering is is the first offering of securities that is done through an underwriting process to secure the offering. What happens in the underwriting process is that the underwriter will guarantee the securities before bringing them to the public. The underwriter will guarantee a price to the issuer of the securities so that the issuer can honor the price on the open market; the underwriter provides insurance for these securities for a fee. Therefore the issuer is secure...

    Supervoting Stock

    Supervoting stock - Supervoting stock is also known as control stock. Supervoting stock is a type of common stock, which allows its shareholders the right to have more votes per share, than would be normally be available for shareholders. This way the shareholders can retain their level of control in the company without having to go out and purchase more shares just for the power of the vote that will give the shareholder more clout at the board level for his/her interests in corporate activities. Usually the votes are issued in multiples of 10 but they do not have to...

    Supply Chain

    Supply Chain – Like links in a chain, there is a connected, interrelated ‘chain’ or network of retailers, distributors, delivery/logistics, transportation, warehousing/storage facilities, and suppliers that take part in the making, delivery, storage and sale of a product to consumers. This is known as the supply chain. Various different companies align and coordinate their activities to be more competitive, stronger together, optimizing and leveraging their profits.  Supply (raw material, logistics), manufacturing (conversion into finished products/assets) and distribution (delivery, storage, sale, retailers et al), are the three components and players in these systems and process dynamics in the marketplace.  When it...

    Surplus Spending Units

    Surplus spending units - Super spending units refers to either an individual or a group the will provide funding to deficit spending units, which are brokers and dealers and other entities which require a fee for their services through the financial markets; in this case stock exchanges. The surplus spending units, in this instance would be investors who will provide the funds to deficit spending units in order to obtain the ownership of securities. Surplus spending units are any person or entity, which earns more or brings in more than it spends. Therefore in the case of the stocks...

    Survivorship Bias

    Survivorship Bias In many cases, a company that has made it through a rough patch in its existence will be penalized in any reports that come out because of survivorship bias. These reports will not show that other companies have gone out of business during the same period, as these companies are usually excluded from the report, so the surviving company looks terrible in the report because there is a lack of background information on that particular industry given. Also, this might impact mutual fund families because these funds might drop certain...

    Sweat Equity

    Sweat equity - Basically sweat equity is the equity, which is the value that something is worth, by doing hard work. If you labored for hours on your car and sweated (literally or figuratively speaking) to repair it or improve it in someway and its value went up as a result of your labor that would be sweat equity. When we are talking specifically about corporations and investment policies, sweat equity is considered to be the hard work and determination that company executives put into the company to improve its value and thus the values of its shares upon...

    Swing Trading

    Swing trading - Swing trading is a form of investing where investors are attempting to make a capital gain usually within one to four days from their purchase in stock. As a result, traders must move quickly to find situations where stock can move just as quickly for the investors. Traders have a short window of opportunity to analysis the stock to find which ones meet their requirements. Swing trading is mostly a strategy used by at-home and day traders. The advantage is that small investors have an opportunity to make a capital gain without the interference of large...

    Symmetrical Triangle

    Symmetrical triangle - A symmetrical triangle is a triangle chart pattern, where a technical analysis determines the symmetrical triangle pattern of the stock movement. Symmetrical triangle patterns are a form of continuation pattern, which result in low risk investment opportunities. The top level or the smallest point of the triangle decreases and the bottom level or base of the triangle spreads out at the same time or close to it. What is happening in the market place at this time is that sellers are trying to push the prices up and buyers are trying to push the prices down...

    Syndicate Bid

    Syndicate bid - A syndicate bid is a bid, which represents the highest price the syndicate member (member of a bank, brokerage, or investment bank) will pay for the securities trading on the National Association of Securities Dealers Automated Quotations (NASDAQ) exchange. A syndicate bid is entered just prior to a secondary offering. The reason for a syndicate bid is to stabilize the market, since a secondary offering (an offering which occurs after the initial offering of stock has been made) increases the number of outstanding shares (float). Therefore the prices of that security will fluctuate and a syndicate bid...

    Systematic Investment Plan

    Systematic Investment Plan This type of investment plan allows for people to preset an amount of money that can be transferred from one account to another electronically. This cannot be an unlimited amount of money, as restrictions must be placed on it, but what it does is allow for people to automatically invest money. This money can be invested in stocks, mutual funds, and retirement plans and is basically an automatic investment plan for the investor. This makes investment much easier because the individual can simply log onto a computer, rather ...

    Systematic Risk

    Systematic risk - A systematic risk is also called a market risk or an un-diversifiable risk. This risk applies to a whole class of assets or liabilities and entire portfolios because of the global effect it has on the entire market. Even if they include diversified risks (the mixture of different kinds of securities) they may not be protected. However if the market decline is not global and some areas are still open then having diversified risks can cushion the blow. The practice of hedging (reducing the impact of negative events) can mitigate the negative affects upon a systematic risk...

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    Definition of the Day Law of One Price

    Law of One Price - The law of one price relates to the theory that any commodity, asset or security will have the same price in more than one exchange. Should the price differ in anyway, then by what are called arbitrage opportunities an equality will be achieved. Essentially the...

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