Letter N Dictionary

Non-Farm Productivity and Unit Labor Costs – United States

Report on the efficiency of industrial workers. Key figures released in this…

NAD

The ISO currency code for the Namibian dollar. Learn more about Oman and the Namibian dollar at GoCurrency.com

NAFTA

Acronym for North American Free Trade Agreement, which refers to a 1994 agreement…

NAHB Housing Market Index – United States

A timely gauge of home sales and expectations for future home building. Based…

NAIC

Acronym for National Association of Investors Corporation, which refers to a…

naked call

A short call option position in which the writer does not own the corresponding…

naked option

See uncovered option.

naked position

The holding of unhedged securities against market risk.

naked put

A short put option position, where the writer does not have the corresponding…

named fiduciary

The individual officially designated as being responsible for a financial account or activity.

named peril coverage

An Insurance policy that covers only losses resulting from causes explicitly…

Namibia Dollar

The official currency of Namibia. Learn more about Oman and the Namibian dollar at GoCurrency.com

NAPM index

Acronym for National Association of Purchasing Managers index.

NAREIT

Acronym for National Association of Real Estate Investment Trusts. A national trade organization for REITs.

narrow market

A market with a small number of bid and ask offers, and characterized by low…

narrow money

An exclusive measure of the money supply that includes all coins, currency held…

NASD

Acronym for National Association of Securities Dealers, which refers to a self-regulatory…

Nasdaq

A computerized system established by the NASD to facilitate trading by providing…

Nasdaq Composite Index

A market-value weighted index of all common stocks listed on Nasdaq, created…

Nasdaq Small Cap Market

The market for securities of smaller, less-capitalized companies (small caps)…

NASDR

Acronym for NASD Regulation, which refers to an independent subsidiary of the…

NASD Regulation

Acronym for NASDR, which refers to an independent subsidiary of the NASD that…

National Association of Investors Corporation

Abbreviated as NAIC, refers to a non-profit organization designed to help investors create or join investment clubs.

National Association of Purchasing Managers index

Abbreviated as NAPM Inde, refers to the measure of the health of the manufacturing…

National Association of Real Estate Investment Trusts

Abbreviated as NAREIT, refers to the national trade organization for REITs.

National Association of Securities Dealers

Abbreviated as NASD, refers to a self-regulatory securities industry organization…

National Association of Securities Dealers Automated Quotations system

Abbreviated as Nasdaq, refers to a computerized system established by the NASD…

National Australia Bank Business Survey – Australia

A survey of the current state of the business sector in Australia . Based on…

National Balance Sheet – UK

The combined statement of the balance sheets of all of the various sectors of…

National Bank

A federally chartered bank, which is a member of the Federal Reserve System and the Federal Deposit Insurance Corporation.

National Consumer Price Index (CPI) – Japan

The key gauge for inflation in Japan . Simply put, inflation reflects a decline…

National Credit Union Administration

An independent federal agency, responsible for supervising the credit union system and insuring member accounts.

National Debt

The amount owed by the government. The national debt reflects the accumulated…

National Deficit

The amount of additional debt generated by the government. The amount at which…

National Futures Association

Abbreviated as NFA, refers to the private-sector, self-regulatory agency of the futures industry, established in 1981.

national income

The income earned by a nation’s people, including labor and capital investment. Also known as GDP.

nationalization

The process of the government claiming ownership of an industry or firm. Opposite of denationalization.

National Market Advisory Board

The independent board that advises the SEC in creating a national exchange market system.

National Market System

The trading system for over-the-counter stocks under the sponsorship of NASD and Nasdaq.

National Securities Clearing Corporation

Abbreviated as NSCC, refers to the securities clearing organization owned jointly…

National Securities Trade Association

Abbreviated as NSTA, refers to an organization of brokers and dealers who participate in the over-the-counter markets.

Nationwide Consumer Confidence – UK

Survey that queries economic participants on their current and future expectations…

Nationwide House Prices – UK

Gauge for costs of homes in the United Kingdom . Mortgage data is used to provide…

natural monopoly

An industry where the most efficient production is through a monopoly, usually…

natural resources

Any kind of resource in nature that can be used to create wealth (i.e. oil, coal, water, and land).

Nauru Island Dollar

The currency of Nauru Island. Although the country is independent, Nauru…

NAV

Acronym for Net Asset Value, refers to the dollar value of a single mutual fund…

NBNZ Business Outlook – New Zealand

A monthly measure of New Zealand business confidence. A representative sample…

nearby month

The futures delivery month with the soonest delivery date, or the option delivery…

near money

Very liquid assets, meaning that they can easily be converted into cash (i.e. bank deposits and Treasury Bills)

near term

Refers to a time nearby, generally within the next few weeks or months.

negative amortization

A gradual increase in mortgage debt that occur when the monthly payment is insufficient…

negative carry

The condition, where the cost of borrowing money exceeds the return obtained…

negative equity

The disparity between the value of an asset and the outstanding portion of the…

negative pledge clause

A covenant in a bond agreement whereby the borrower agrees not to pledge any…

Negative Sloping Triagle

With descending triangles, trend lines converge with a horizontal trend line…

Negative Volume Index

Abbreviated as NVI, refers to an index that tries to determine what experienced…

negative yield curve

An uncommon situation in which long-term interest rates have lower yields than…

negligence

The failure to act.

negligible

A very small or insignificant quantity.

negotiable

The ability to be sold or transferred to another party as a form of payment.

negotiable certificate of deposit

A type of CD with a very large denomination, generally over $1 million. These…

negotiable instrument

A transferable, signed document that promises to pay the bearer a sum of money…

Negotiable Order of Withdrawal

Abbreviated as NOW, refers to an interest-bearing checking account at a bank or savings and loan.

negotiable security

A security that can be transferred or sent to another party (i.e. coupon bonds,…

negotiated commission

A broker’s commission, which is negotiated based on the details of the trades that are performed.

negotiated market

A market where each transaction is negotiated between a buyer and a seller.

negotiated underwriting

A form of underwriting in which the purchase price and the public offering price are determined through negotiations.

Neil Cavuto

FOX news anchor Neil Cavuto appears on “Cavuto on Business” and Fox’s flagship…

Nellie Mae

The largest non-profit provider of parent and student education loan funds in the United States.

Nepalese Rupee

The official currency of Nepal. Learn more about Nepal and the Nepalese Rupee at GoCurrency.com

nest egg

Assets set aside in expectation for a large future expense (i.e. a college education or retirement).

net

Net value measures the liquid value of an asset after being adjusted for expenses,…

net assets

Calculated by taking total assets minus total liabilities of an individual or…

Net Asset Value

Abbreviated as NAV, refers to the dollar value of a single mutual fund share,…

net book value

The net value of an asset, equal to its original cost (its book value) minus…

net capital

The net worth of a firm, minus deductions taken for any assets that might not…

net capital ratio

The SEC requirement that all broker/dealers maintain a ratio of no more than…

net capital requirement

The SEC’s requirement that member firms and non-member securities broker/dealers…

net cash flow

A measure of a firm’s financial health, which is calculated by the following:…

net change

The difference between the close of a security or commodity on one trading day…

Net Change in Employment – Canada

The net change in the number of people employed in Canada . Increases in employment…

net current assets

An indication of how much capital is being generated or used up by day-to-day…

Net Domestic Product

A measure of a country’s national accounts to estimate how much the country…

net earnings

A measure of a firm’s performance, and calculated by the following: gross sales…

net estate

The part of an estate which remains after deducting all administration fees.

Net Foreign Security Purchases (TIC) – United States

  • Measures Capital Flow into U.S. Denominated Assets  •…

Netherlands Antillean Guilder

The official currency of Netherland Antilles Learn more about Nepal and the Antilles Guilder at GoCurrency.com

net income

In the context of business, net income refers to what remains after subtracting…

net income multiplier

A measure for judging how effective an asset is at generating income, compared…

net interest margin

The difference between interest income and interest expenses, generally expressed as a percentage of average earning assets.

net lease

A property lease in which the lessee agrees to pay all expenses which are normally…

net liquid assets

Calculated by the following: a firm’s liquid financial assets minus its current liabilities.

net margin

An indication of how effective a firm is at cost control. Calculated by the…

Net Operating Income

Abbreviated as NOI, which refers to income after deducting for operating expenses…

net operating margin

A measure of how profitably the firm is operating, and calculated by the following:…

net position

The difference between total open long and open short positions in a given security held by an individual.

Net Present Value

Abbreviated as NPV, which refers to the present value of an investment’s future…

net proceeds

The amount of money received from a sale, after subtracting transaction costs….

net profit

A measure often referred to as the bottom line, net profit is calculated by…

net profit margin

The net profit margin is an indicator comparing companies in the same industry,…

net quick assets

Net quick assets is calculated by the following: cash, accounts receivable, and marketable securities, minus current liabilities.

net sales

Net sales is calculated by the following: gross sales minus returns, discounts, and allowances.

net surplus

Net surplus is calculated by the following: profits remaining after subtracting…

net tangible assets

Net tangible assets is calculated by the following: assets minus goodwill.

net transaction

A transaction for which no fees or commissions are warranted.

net volume

Net volume is calculated by the following: Uptick volume minus downtick volume…

net worth

In the context of a firm, net worth is calculated by the following total assets…

net yield

The rate of return on an investment after taking into account all expenses (i.e. commissions, costs of purchase, and taxes).

neutral

Having the quality of being neither bullish nor bearish.

neutral hedge

A hedge that combines positions in various investments to create a risk-free…

neutral hedge ratio

The change in price of a call option for every one-point move in the price of…

neutral spread

Any profit-maximizing spread designed to create a change of zero, meaning that…

New Car Registrations – Euro-zone

Tracks the number of cars registered for the first time in the Euro Zone. Consumption…

new high

An upper level where price action has been able to establish. For example, if…

New Home Sales – United States

Records sales of newly constructed residences in the United States . The figure…

New Housing Price Index – Canada

A component of the Consumer Price Index (CPI) that measures changes in prices…

new issue

The premier of a security; the security must comply with SEC regulations.

new low

A lower level where price action has been able to establish. For example, if…

New Motor Vehicle Sales – Australia

Tracks automobile sales in Australia . Though motor vehicle sales are a small…

New Motor Vehicle Sales – Canada

The number of new cars, vans, trucks, and buses sold in Canada. It is used as…

New Romanian Leu

The currency of Romania.See GoCurrency World Currencies Page & Currency Converter

newsletter

A publication providing financial advice, such as market commentary or investment…

news ticker

A ticker machine providing scrolling, up-to-the-minute news stories.

news wire

A ticker machine providing scrolling, up-to-the-minute news stories. Also known as news ticker.

New Turkish Lira

The currency of Turkey.

New York Futures Exchange

Abbreviated as NYFE, refers to an exchange on which trading occurs for Treasury Bond futures and some currency futures.

New York Stock Exchange

Abbreviated as NYSE, refers to the oldest and largest stock exchange in the…

New Zealand Dollar

The ISO currency code for the New Zealand dollar. Learn more about…

Next Day Settlement

A transaction in which settlement occurs the day after the trade is made. For…

next month

In the context of futures trading, the month immediately after the nearby month.

NFA

Acronym for National Futures Association. The private-sector, self-regulatory…

NGN

The ISO currency code for the Nigerian Naira. Learn more about Nicaragua and the Nigerian Naira at GoCurrency.com

Nicaraguan Cordoba

The official currency of Nicaragua. Learn more about Nicaragua and the Nicaraguan Cordoba at GoCurrency.com

niche

A focused sector of a market, capable of being targeted.

NIESR GDP Estimate – UK

An unofficial estimate of UK GDP that comes out one month before the official…

Nieue Dollar

The currency of Nieue.See GoCurrency World Currencies Page & Currency Converter

Nifty Fifty

The term denoted for fifty blue chip stocks, which were so popular prior to…

Nigerian Naira

The official currency of Nigeria. Learn more about Nicaragua and the Nigerian Naira at GoCurrency.com

Niger Republic Franc

The currency of Niger.See GoCurrency World Currencies Page & Currency Converter

Nikkei Index

The index of 225 leading stocks traded on the Tokyo Stock Exchange.

Nine-Bond Rule

The NYSE stipulation requiring that orders for nine or fewer bonds be sent to the floor for one hour to seek a market.

NIO

The ISO currency code for the Nicaraguan Cordoba. Learn more about Nicaragua and the Nicaraguan Cordoba at GoCurrency.com

NLG

The ISO currency code for the Dutch Guilder.

NM

Acronym for not meaningful.

No-Action Letter

An SEC letter indicating that no civil or criminal action will be taken against an individual engaging in a particular activity.

no book

A situation that arises when there is little or no interest in buying or selling a particular security.

No-Fault

A type of automobile insurance system used in some states to discourage lawsuits,…

NOI

Acronym for Net Operating Income. Income after deducting for operating expenses…

noise

The price and volume fluctuations that do not provide meaningful information about the market’s direction.

NOK

The ISO currency code for the Norwegian krone. Learn more about Norway and the Norwegian krone at GoCurrency.com

no-lien affidavit

A written document by a property owner affirming that the property does not have any liens or mortgages on it.

no limit order

A mandate to buy or sell a predetermined quantity of a given security, without…

no-load

Having no sales charge. Opposite of load.

no-load fund

A mutual fund without a sales or redemption charge, selling and redeeming its…

no-load stock

A stock available through a direct purchase program.

nominal

A quantity that is not adjusted for inflation.

nominal asset

An asset that does not have any intrinsic value (i.e. currency).

nominal capital

The par value of shares of stock a corporation has issued.

nominal GDP

Nominal GDP reflects Gross Domestic Product in today’s prices. As opposed to…

nominal quotation

The bid and ask prices given by a market maker to indicate valuation, but not…

nominal rate

The declared interest rate on a bond, without taking into account inflation.

nominal value

The value of a share, in absolute terms, at the time that it is issued.

nominal yield

The ratio, expressed as a percentage, of the amount of income earned from a fixed-income security to the security’s par value.

nominee

The name of the individual, bank or brokerage that receives transferred securities.

nonaccredited investor

An investor who does not meet the SEC’s regulation of an accredited investor.

Non Active Money

Money and coins that are not circulated in the hands of consumers and businesses….

non-callable

Having the characteristic of being unable to be redeemed prior to maturity….

non-callable bond

A bond that cannot be redeemed before it matures. Also known as bulletbond.

non-cash expense

An income statement expense for which no cash was spent (i.e. amortization or depreciation).

non-compete agreement

A contract that prohibits participation in a certain market by a firm or individual under predetermined conditions.

noncompetitive bid

A strategy of purchasing treasury bills in which an investor agrees to buy a…

non-conforming loan

A loan that does not meet, or conform, to the standards of the lender. Opposite of conforming loan.

non-contributory plan

A type of pension plan that is fully funded by the employer, in contrast to the employee.

non-cumulative preferred

A preferred stock for which unpaid dividends do not accumulate. Opposite of cumulative preferred.

noncurrent asset

An asset that cannot be easily convertible to cash or not expected to become…

noncurrent liabilities

A debt that is not due to be paid within the next year. Opposite of current liabilities.

nondeductible contribution

The funds contributed to a qualified retirement plan, and not deductible for tax purposes. These contributions are voluntary.

non-deliverable forward

A cash-settled contract on a non-convertible or lightly traded foreign currency….

non-disclosure agreement

A contract that restricts the release of confidential information or proprietary knowledge under predetermined circumstances.

nondiscretionary trust

A trust in which the trustee does not have the right to determine how and when…

nondiversifiable risk

A type of risk that is not dependent on the class of assets or liabilities,…

nonelective contribution

Any type of contribution to a cash or deferred arrangement, outside of an elective deferral.

non-equity option

A type of option that provides the shareholder with the option to buy or sell…

Non EU Trade Balance – UK

A gauge of Britain’s trade with countries outside of Europe. The headline figure,…

non-financial asset

Any kind of physical asset with an intrinsic value (i.e. real estate or personal property). Opposite of financial asset.

nonforfeitable benefit

Any form of benefits that are vested, meaning that they belong fully to the employee and may not be rescinded.

non-insured plan

A structured type of pension plan that is not guaranteed by the provider.

non-interest-bearing note

A type of bond that does not pay coupons, and is sold at a discount to its face…

non-investment property

Any form of property that does not generate income. Opposite of investment property.

nonjudicial foreclosure

The power to foreclose on a property without court approval.

nonledger asset

An asset not carried on the general ledger. Examples include uncollected and…

nonlegal

An investment that is not on a given state’s legal list and unacceptable as an investment for savings banks.

nonmember firm

A type of firm in which none of the general partners or executives of a corporation…

nonparticipating life insurance policy

A type of life insurance policy which does not pay dividends.

nonperforming asset

A loan or lease that fails to meet its originally stated principal and interest payments.

nonperiodic distribution

Any non-recurring distribution of funds to an employee from a retirement plan.

nonproductive loan

A commercial bank loan that does not directly increase the economy’s output,…

non-profit organization

An incorporated organization, created for educational or charitable reasons,…

nonpublic information

Any kind of information about a firm that is not known by the public, and upon…

non-qualified retirement plan

A retirement plan that does not meet the IRS (or ERISA) requirements for favorable…

non-qualified stock option

Abbreviated as NSO, refers to a type of employee stock option which is less…

nonrecourse debt

A debt for which the borrower is not personally liable.

nonrecurring charge

A charge occurring one time.

nonrefundable

The condition in a bond indenture that restricts the ability of the issuer to retire the bond via the refunding of the bond.

nonrenewable

Lacking the characteristic of being reusable….

non-resident alien tax

A tax withheld on income distributed to foreign individuals or corporations from sources within the U.S., (i.e. mutual funds).

Non Resident Bond Holdings – New Zealand

The monetary value of bonds held by non residents of New Zealand . Non Resident…

non-revolving credit card

A credit card that requires the borrower to pay off the full balance at the end of each month.

non-statutory stock option

A type of employee stock option that is beneficial for the employer from a tax…

Nonstock Corporation

A type of non-profit corporation that does not have capital stock (i.e. an educational…

nonvoting stock

A type of stock that does not allow for the owner to vote on corporate matters, such as the election of the board of directors.

NOPAT

Acronym for Net Operating Profit After Tax, which refers to an estimate of what…

no quote

The stipulation that no market makers are making an inside market at the moment.

normal distribution

A statistical term referring to a bell-shaped probability distribution, which is centered on some mean (M).

normalized earnings

The earnings of an entity after being adjusted for economic cycles.

normal market

In the context of non-interest rate futures, normal market refers to a situation…

normal retirement age

The predetermined age in a retirement plan from which point, employees may begin…

normal yield curve

The case in which long-term debt instruments have higher yields than short-term…

North Africa Peseta

A currency used in North Africa. See GoCurrency Currencies Pages

North American Free Trade Agreement

Acronym for NAFTA, which refers to a 1994 agreement reached by the United States,…

North Korean Won

The official currency of North Korea. Learn more about North Korea and the North Korean Won at GoCurrency.com

Norwegian Krone

The official currency of Norway. Learn more about Norway and the Norwegian krone at GoCurrency.com

nostro account

A banking term to describe an account that an individual holds with a bank in…

notarize

The process of having a notary public witnessing a person signing a document.

Notary Public

An individual who is authorized by the State to notarize certain documents.

note

A short-term debt security, generally with a maturity of five years or less.

note loan

An unsecured loan.

not-for-profit organization

An integrated organization that exists for educational or charitable reasons,…

notice

An official declaration of a legal action or intent to take a legal action.

Notice of Default

A formal advisory given to a borrower, declaring that a default has occurred and that legal action may be taken.

Notice of Sale

The notice that a lender is obligated to provide before foreclosure sale of collateral.

notice period

The period of time before the expiration of a futures contract during which the buyer may be called upon to accept delivery.

notional

See notional principal amount.

notional principal amount

In the context of an interest rate swap, the specified amounts on which the exchanged interest payments are based.

notional value

The value of a derivative’s underlying assets at the spot price. In the context…

notorious possession

The occupation of real estate owned by another, without permission.

not rated

In the context of a security or firm, refers to the quality of having not been…

novation

The substitution of a new contract for an old one; or the substitution of one party in a contract with another party.

NOW

Acronym for Negotiable Order of Withdrawal. An interest-bearing checking account at a bank or savings and loan.

NPR

The ISO currency code for the Nepalese Rupee. Learn more about Nepal and the Nepalese Rupee at GoCurrency.com

NPV

Acronym for Net Present Value. The present value of an investment’s future net…

NSCC

Acronym for National Securities Clearing Corporation. Securities clearing organization…

NSO

Acronym for Non-Qualified Stock Option. A type of employee stock option which…

NSTA

Acronym for National Securities Trade Association. An organization of brokers…

null and void

No longer valid or enforceable.

numismatics

The practice of coin collecting.

NVI

Acronym for Negative Volume Index. An index that tries to forecast what experienced…

NYFE

Acronym for New York Futures Exchange. An exchange on which trading occurs for Treasury Bond futures and some currency futures.

NYSE

Acronym for New York Stock Exchange. The oldest and largest stock exchange in…

NYSE Composite Index

A market-value weighted index of all stocks on the NYSE.

NZD

The ISO currency code for the New Zealand dollar. Learn more about…