|
B
|
|
|
|
Back End Load
|
|
Mutual fund term for a sales charge that is
paid at the sale of mutual fund shares. The most common back end load is a
Contingent Deferred Sales Charge (CDSC) which is calculated as a percentage
of assets if shares are sold within a given time period the position is
held.
|
|
|
|
|
|
Beta Coefficient
|
|
Measure of a stock's relative volatility.
The beta is a covariance of a stock in relation to the rest of the stock
market. The S&P 500 Index has a beta of 1. Any stock with a higher beta
is more volatile, and a stock with a lower beta is less volatile—it can be
expected to rise and fall less.
|
|
|
|
|
|
Bid
|
|
Price a prospective buyer is ready to pay.
|
|
|
|
|
|
Bid Price
|
|
A mutual fund term used to describe the
price at which mutual fund shares are redeemed or bought back, by the fund.
The bid or redemption price is usually the current net asset value per
share.
|
|
|
|
|
|
Blackout
|
|
Sales restricted on a particular security at
the discretion of the financial institution.
|
|
|
|
|
|
Blue-Sky Law
|
|
Law passed by various states to protect
investors against securities fraud. The law requires sellers of new stock
issues or mutual funds to register their offerings and provide financial
details on each issue so investors can base their judgements on relevant
data.
|
|
|
|
|
|
Bond
|
|
Any interest-bearing or discounted
government or corporate security that obligates the issuer to pay the
bondholder a specified sum of money, usually at specific intervals, and to
repay the principal amount of the loan upon maturity.
|
|
|
|
|
|
Bond Ladders
|
|
Investment strategy where an investor would
diversify the bond portion of a portfolio by buying bonds with differing
maturities.
|
|
|
|
|
|
Bond Swap
|
|
Simultaneous sale of one bond issue and the
purchase of another.
|
|
|
|
|
|
Book Entry Form
|
|
Securities not represented by a physical
certificate.
|
|
|
|
|
|
Bulletin Board Stock
|
|
A security that is not listed and traded on
an organized exchange. Also called
“pink sheets”
|
|
|
|
|
|
Buying Power
|
|
Amount of credit available to a client in a
brokerage account for the purchase of additional securities, which is
determined by the dollar amount of securities that are marginable.
|