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Tip of the Day

Tip of the Day Save Enough

Save Enough - When your children are young is the time to start planning for your children's college and/or universities costs and plan to save one-third to one-half of the...

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Wash Sale

Wash Sale - A Wash Sale is stock, approved by the Federal Reserve and an investment broker to serve as collateral for margin debt. A margin debt is achieved when someone is buying stock with borrowed money. They are put in separate accounts; so called margin accounts and it is an effective way for a broker to reduce financing charges. The criteria to use securities for margin debts are usually strict. The Federal Reserve has a set of standards for this kind of stock accounts. Brokers often use standards that are even stricter than the Federal Reserve's set of standards.

 

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Definition of the Day Average Down

Average Down - The average down means that the stockholder who is buying additional shares in stock that is already in his/her portfolio, has dropped in price since the he/she purchased of the earlier stock. These stocks are generally owned, a long position, or owed, a short position, by an...

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