The standard rating system used to label bond funds credit ratings. Risk is correlated in a letter system AAA, AA, B, etc. with the lower averages obviously having a higher risk factor. Each bond’s rating in the total fund value contributes to an overall rating value.
An international based fund available on the American Stock Exchange that was introduced by Morgan Stanley in the 90’s to offer an investment opportunity with features from both open-end and closed-end funds. This fund is specific to many countries found in Europe and Asia.
A type of mutual fund that includes both domestic and international securities as its investment criteria. The diversification strategy minimizes risk with exchange rates and country specific economic situations.
A mutual fund that predominantly holds stocks with high dividend yields. These funds are designed to duplicate the major indices but with the added focus on companies with dividend payouts.
Diversification attempts to lower risk in a portfolio by investing in various investments in an asset class and perhaps investing in various asset classes.
Proponents of diversification believe this lowers risk and exposes the individual’s portfolio to maximum opportunity. Critics believe that while diversification can avoid the risk of a concentrated portfolio, it does not avoid [...]
An objective term used by technical analysts and investors that refers to a security which has experienced a decline in price and is expected to bounce or level off.
Some investors use indicators that notify them when a stock is oversold. For example, when the RSI for a stock is below 30, it is considered to [...]
An objective term used by technical analysts and investors that refers to a security which has experienced appreciation in price and is expected to correct or level off.
Some investors use indicators that notify them when a stock is overbought. For example, when the RSI for a stock is above 70, it is considered to be [...]
This term either refers to the last price a security was traded on a stock exchange, or refers to the bid/ask quote, the best price the market is offering to sell or buy a stock for. A bid/ask quote also contains the amount of shares that can be bought or sold at the bid/ask.
A low reached in the stock price that has never been attained before in the past. Some investors view this as a bearish event while others think this may be a chance to buy into an undervalued stock. The risks and concerns are similar to a “52-week low”.
A high reached in the stock price that has never been attained before in the past.
Some investors view this as a bullish event while others are skeptical of how well the company can perform in the future. The risks and concerns are similar to a “52-week high”.