Glossary
Options Contracts (and Futures Contracts)
Options and futures contracts are financial agreements that derive their value from an underlying asset and are used to gain exposure to price movements without owning the asset directly.
Glossary
Glossary
Certificate of Deposit (CD)
A Certificate of Deposit (CD) is a savings product that earns interest on a fixed sum of money for a set period, requiring funds to remain deposited until maturity to avoid penalties.
Glossary
Capitalization
Capitalization refers to the overall market value of a firm based on its outstanding shares and share price, and also to an accounting method where costs are added to an asset’s value and expensed over its useful life.
Glossary
Candlestick Chart
A candlestick chart is a type of price chart used in technical analysis that displays an asset’s open, high, low, and closing prices over a specific time period.
Glossary
Call Option
A call option is a financial contract that gives the holder the right, but not the obligation, to buy an underlying asset at a specified price on or before a set expiration date.
Glossary
Bond
A bond is a fixed-income investment in which an investor lends money to a government or corporation in exchange for regular interest payments and repayment of principal at maturity.
Glossary
Book Value
Book value is a company’s net asset value shown on its balance sheet, calculated as total assets minus total liabilities. It reflects an accounting-based estimate of the company’s net worth.
Glossary
Blockchain
Blockchain is a decentralized, distributed digital ledger that records data across multiple computers in a secure, transparent, and immutable way.
Glossary
Bid
A bid is an offer made by a buyer to purchase an asset at a specified price and quantity. It represents the highest price a buyer is willing to pay at a given time.
Glossary
Benchmark Index
A benchmark index is a standardized group of securities used to compare and evaluate the performance of a portfolio, fund, or investment strategy.
Glossary
Bar Chart
A bar chart is a price chart that displays the open, high, low, and close of an asset for a specific time period using individual price bars.
Glossary
Asset Class
An asset class is a group of investments with similar characteristics, risk profiles, and regulatory treatment that tend to behave similarly under market conditions.