Letter T Dictionary

T+3

This refers to the fact that securities transactions must usually be settled within three days of the execution date.

tacit

When something is unspoken but understood as a result of physical symbolism.

tactics

Strategic actions taken in order to solve specific problems or accomplish certain goals.

Taft-Hartley Act of 1947

http://www.fxwords.com/t/taft-hartley-act-of-1947.html

tailgating

This is when a broker places the same orders as a customer, hoping to profit…

Taiwan Dollar

The name of the Taiwan currency.

Tajikistan Somoni

The currency of Tajikistan. Learn more about currencies at GoCurrency.com

take a bath

Slang terminology for incurring a significant loss on an investment.

take a flier

This is when one invests in a high-risk business opportunity or security, called a flier.

take a position

Enter into the market. See postion

take-home pay

The pay an employee actually receives after accounting for bonuses, taxes, health care premiums, and retirement savings plans.

take-or-pay contract

An agreement between a buyer and a seller where the buyer pays some amount to the seller regardless whether the product or service is provided.

takeover

To acquire control of a corporation, called a target, by stock purchase or exchange. A takeover may be either hostile or friendly.

takeover target

The company that is being subjected to an either friendly or hostile takeover.

take profits

This is when investors sell their stocks while prices are rising in order to…

tangible asset

An asset that has a physical form. Examples of tangible assets are cash, equipment,…

tangible net worth

The value of a person or a corporation, not including any intangible assets.

Tankan Survey – Japan

The Tankan Survey queries firms on the prevailing business climate and is conducted…

Tanzanian Shilling

The currency of Tanzania. Learn more about Tanzania and the Tanzanian Shilling at GoCurrency.com

tape

This is a service that provides quote and volume figures for all transactions…

tape is late

This is when real time quotes are delayed due to the great trade volume of a…

target

An aim or an end goal that is worked towards.

targeted repurchase

This is when a target company repurchases its own stock at a significant premium in order to prevent a hostile takeover.

target price

The price at which a holder of a stock plans to sell the stock.

tariff

A tax imposed on a product upon when it is imported into a country.

task force

A small team that is responsible for achieving specific goals on a short-term assignment.

tax

A fee that is charged by a government on a product, income, or activity. A tax…

taxable event

Any transaction or event that has tax implications.

taxable income

This is a person’s gross income less any non-taxable deductions such as for retirement funds.

taxable wage base

This figure indicates the greatest dollar amount of wages that is subject to…

tax-advantaged

To have any form of tax benefits.

tax anticipation note

Securities that tend to be short-term and are issued in anticipation of future…

taxation

The government acquisition of funds from a person’s wages and assets.

tax audit

An examination and verification of a company’s documents, financial records,…

tax base

The taxable value of assets, investments, or income. Many different assets have tax bases related to their assessed values.

tax basis

The purchase price used to determine capital gains and capital losses for tax…

tax bracket

This is the level of taxation a given individual experiences. It is evident…

tax credit

This is a dollar-for-dollar reduction of an individual’s tax liability, rather…

tax-deductible

This is when an item or expense is subtracted from adjusted gross income, reducing…

tax deduction

An expense that is subtracted from adjusted gross income when calculating taxable…

tax deferral

This is when somebody chooses to pay for present taxes in the future. Differed…

tax-deferred

This term is used in reference to taxes on income and capital gains that can…

tax-efficient

Such items are subject to less taxation than other similar investments.

tax equivalent yield

The pretax yield that an investment needs to have in order to provide the yield…

taxes

Multiple fees levied on individuals and corporations responsible for funding government actions.

tax evasion

Not paying taxes, failing to report, or reporting inaccurately. Tax evasion…

tax-exempt

Something that is not taxed.

tax-exempt bond

A bond that is issued by the government; its interest payments are not subject…

tax-free bond fund

This is a tax-free mutual fund that specializes in municipal bonds.

tax haven

A country whose tax policies are favorable for foreign businesses and individuals.

tax identification number

This is an individual’s Social Security or a business’s Employer Identification Number.

tax lien

This is when the federal government enforces the liquidation of an individual’s…

tax loss carryback

A technique that makes it possible for a company to receive a tax refund by…

tax loss carryforward

This is the application of current year losses or credits to a future year. This tax loss is also called a carryforward.

tax lot

The tax implications of a set of transactions involving a particular security…

tax-managed fund

A mutual fund that attempts minimize the taxation for its investors.

Taxpayer Relief Act of 1997

A new piece of tax legislation signed into law by President Clinton on August 5, 1997.

tax planning

To plan business decisions paying consideration to the tax implications of any…

tax preference item

This Item often subjects taxpayers to alternative minimum taxes.

tax rate

The percentage of an entity’s income, goods, services or assets that is paid…

Tax Reform Act of 1986

This act mandated many significant changes to the U.S. tax system.

Tax Reform Act of 1993

A law that increased tax rates in order to decrease the federal budget deficit….

tax refund

The government’s return of any excess taxes that may have been paid in a previous period.

tax renevue anticipation note

A short-term debt that is taken on to improve cash flow and is secured by future…

tax return

This refers to the form that is filed in order to collect any excess tax payments from the previous period.

tax roll

This is a list of all taxable property within a given area.

tax sale

Selling an asset for which taxes have not been paid for a period of time.

tax schedule

An IRS forms used to itemize deductions, dividend and interest income, capital…

tax shelter

Tax shelters are investments or activities that reduce one’s taxable income….

tax shield

The reduction of income tax liabilities through allowed deductions on taxable…

tax swap

An attempt to crystallize capital losses through the sale of a security that…

tax tables

People with incomes below $100,000 use these tables in order to determine the quantitative values of their tax burdens.

T-Bill

A short-term obligated investment that is backed by the U.S. government. These…

TD ARCS

Developed and trade marked by Tom DeMark, TD Arcs combine a percentage retracement…

TD Securities Inflation – Australia

A monthly estimate of inflation in the Australian economy. The report replicates…

tear sheet

This is an alternate named used for Standard & Poor’s Stock Reports. These…

teaser rate

A low but temporary introductory rate assessed on an adjustable rate mortgage…

technical analysis

The art of forecasting price movements through the study of chart patterns,…

technical analyst

A person who invests based on technical information. This type of analyst is also called a technician.

technical decline

Decreasing security prices caused by technical factors that affect security…

technical indicator

A short-term trend that analysts can use to forecast future price movements…

technical rally

Increasing security prices caused by technical factors that affect security…

technicals

Short-term trends that analysts use to predict minor fluctuations of securities and/or commodities.

technician

A person who bases investment decisions on technical analysis. This person attempts…

TED spread

The difference between the rate for three month Treasury Bills and the rate…

telemarketing

The act of soliciting customers for the sale of a product or service over the telephone.

temp

A temporary or contract employee. Temps usually receive fewer benefits than permanent employees.

tenancy

The possession and use of real estate that is owned by another party.

tenancy at will

A tenancy arrangement under which the tenant occupies real estate, with the.

tenancy by the entirety

This type of joint tenancy of property provides the right of survivorship and is only available to married couples.

tenancy in common

A type of joint tenancy of property that does not provide the right of survivorship;…

tenant

An entity, such as an individual or a business, which possesses real estate…

ten-bagger

A stock which rises to a value ten times as great as its original value.

tender

A notice from a futures contract seller, requesting the delivery of the money or goods agreed upon in a futures contract.

tender offer

A takeover bid that publicly invites shareholders to sell their stock, often at a price above the market price.

tenure

A person’s duration of employment with a given company.

term

The period of time assigned as the lifespan of any investment. When referring…

term bond

A set of bonds that are issued and mature at the same time. Most corporate bonds are term bonds.

term CD

A CD with a maturity date that is at minimum one year after the date the CD is issued.

term certain method

A distribution calculation method based on life expectancy and used in relation…

term deposit

A savings account or CD that is held by a financial institution, usually a bank,…

terminal value

The value of an item at the end of a specified time period. Some examples of…

terminate

To end or discontinue an agreement or position. This term is used most often in relation to contracts.

Termination Statement

In asset-based lending, this is the statement that the lender signs to signify…

term insurance

Insurance that only provides protection for a specified period of time. There…

term life insurance

Term Life Insurance refers to a traditional life insurance policy, set to expire…

term loan

A loan that is repaid through regular periodic payments. The most common repayment term is ten years.

term repo

A short period loan with a term of more than one day.

terms

The specific conditions and exact details of an agreement or contract of any sort.

term sheet

A document summarizing the details of a potential venture capital investment….

Terms of Trade Index – New Zealand

Measures how favorable New Zealand ‘s terms of trade are. The terms of trade…

term to maturity

The amount of time left on the term of a bond before it matures.

term trust

A closed-end fund conditioned upon a fixed termination or maturity date.

Tertiary Industry Index – Japan

Evaluates the monthly change in output produced by Japan’s service sector….

test

Test – A term used in technical analysis for price movement when it approaches…

testament

A legally enforceable declaration containing instructions regarding the disposal…

testamentary trust

A trust that is embedded in a will. It only takes effect after the death of the grantor.

testate

To have a legally valid will at the time of death. Someone who dies without such a will is intestate.

testator

Somebody who has a legally valid will.

testimony

A statement given by a competent witness under oath. Such a statement often serves as a piece of evidence.

Thai Baht

The name of the Thai currency.

THB

The ISO currency code for the Thai Baht.

theoretical value

This is the hypothetical price of an option as calculated by the Black-Scholes…

The Street

An informal name for Wall Street that is often used in reference to the major markets as a larger composite entity.

theta

The ratio of the change in an option’s price to the amount of time that has…

thinly traded

This refers to the infrequent or low volume trading of a security.

thin market

A market is thin when there are few bids and offers. Such a market condition…

third market

Over-the-counter trading of listed securities among institutional investors…

third party

A party that is directly involved in a transaction or agreement in addition to the principals.

Third World

Nations whose economies are still in their economic developmental stages. These…

thrift

An organization formed for the purpose of holding deposits for individuals….

tick

This is the smallest possible movement in the price of a security. A tick may also be called a minimum fluctuation.

ticker

A scrolling display of current security prices and/or volumes.

ticker symbol

A combination of letters used to uniquely identify a stock or mutual fund listed and traded on an exchange.

ticker tape

A scrolling line that provides quote and volume information for select securities…

ticket

A form that is completed by a Registered Representative of a brokerage upon…

tick test

Restrictions on when a short trade may be executed. According to these restrictions,…

tier

A class of securities.

tight market

A market characterized by high volume and small spreads.

tight monetary policy

A central bank policy designed to curb inflation by increasing the reserves…

tight money

A central bank policy designed to curb inflation by increasing the reserves…

time decay

The ratio of the change in an option’s price to the decrease in its time to…

time deposit

A savings account or CD held in a financial institution, usually a bank. It…

time draft

A draft that is payable at a specified time in the future, or under particular circumstances.

time horizon

The expected length of time of an investment prior to liquidation. It is also called the investment horizon.

time note

A draft that is payable at a specified time in the future, or under particular circumstances.

time order

An order to execute a specified transaction at a precise time. If the order…

time premium

The amount by which an option’s premium is greater than its intrinsic value. This is also referred to as time value.

time-sharing

The renting of a single piece of real estate, often a vacation home, to many…

times interest earned

This is a measure of the creditworthiness of a company. It is equal to Earnings…

time spread

An option strategy involving the purchase and sale of put options and call options…

time stop

An instruction to exit a position after a specific time period has passed if…

time to market

The period of time that is necessary to get a product to marketplace.

time value

The amount by which an option’s premium exceeds its intrinsic value. This is also called a time premium.

time value of money

The idea that a dollar now is worth more than a dollar in the future because…

timing the market

Attempting to predict future market directions by examining recent price and…

tip

An optional payment that supplements a required payment. Such a payment is supposed…

TIPS

An acronym for Treasury Inflation-Protected Security. This security is identical…

title

A legal document that provides evidence of ownership.

title binder

A temporary insurance binder for a piece of real estate that is pending closing and the issuance of a permanent title.

title company

A company that exams and insures title claims, usually for real estate, on behalf of its customers.

title defect

Any encumbrance or claim that might invalidate a title to a property; a cloud on title.

title insurance

This insurance protects a lender or property owner against loss in the event of a property ownership dispute.

TJS

This is the ISO currency code for the Tajikistan Somoni. Learn more about currencies at GoCurrency.com

TMM

This is the ISO currency code for the Turkmenistan Manat. Learn more about currencies at GoCurrency.com

TND

The ISO currency code for the Tunisian Dinar. Learn more about Tunisia and the Tunisian Dinar at GoCurrency.com

toehold purchase

To buy less than 5% of a company’s outstanding stock as a possible precursor…

Togo Republic Franc

The name of the Togo currency.

Tokelau Dollar

The name of the Tokelau currency.

Tokyo Condominium Sales – Japan

The annualized change in the value of condominiums sold each month within the…

tombstone

This term refers to an advertisement that an investment bank places in a business…

ton

This is an informal term for $100 million in bonds.

Tonga Pa'Anga

The name of the Tonga currency.

top

This is the highest price a security reaches over a given period of time. It is also the opposite of bottom.

top-down

This investing strategy begins with an analysis of the overall performance of…

top hat plan

A nonqualified retirement plan which is limited to select employees. This plan…

top line

This term refers to the total revenues figure which appears at the top of an income statement.

top out

The plateau that occurs at the conclusion of a rally and signifies the end of a trend of increasing prices.

tort

A civil unlawful act other than a breach of contract. Tort usually refers to…

total assets

All current and long-term assets owned by a person, company, or other entity.

total asset turnover

This is a figure derived by dividing net sales by total assets. This figure…

total cost

In economics, this is the sum of fixed costs, variable costs, and semi-variable costs.

total return

The return on an investment. This includes income from dividends and interest,…

total return index

An index that calculates the performance of a group of stocks. In this calculation,…

tout

To promote a particular security in an aggressive manner. This is usually done…

tracking

To monitor a group of stocks in order to learn how the prices move or to profit…

tracking error

When indexing or using any other benchmarking strategy, this is the amount by…

tracking stock

Common stock issued by a parent company that tracks the performance of a particular…

trade

A transaction of a good, service or security. Although widely accepted as the…

trade association

An organization of individuals or firms who organize themselves with the objective of promoting common interests.

trade balance

A country’s trade balance reflects the difference between exports and imports…

Trade Balance – Australia

The trade balance figure is simply the difference between the amount of export…

Trade Balance – Germany – Euro-zone

The difference between the value of exports and imports in Germany. Trade Balance…

Trade Balance – Euro-zone

The difference between exports and imports of Euro-zone goods and services….

Trade Balance – Japan

The difference between the total value of exports and the total value of imports….

Trade Balance – Switzerland

The difference between the total value of Swiss exports and imports. Due to…

Trade Balance – UK

The difference between exports and imports of British goods and services. The…

Trade Balance – United State

The US Trade Balance refers to the difference between exports of goods and services…

trade barrier

Any government policy or regulation that restricts international trade (i.e. import quotas, tariffs).

trade credit

A firm’s open account arrangements with its vendors.

trade date

The date on which the transaction occurs. The trade date ranges from one to…

trade deficit

A negative balance of trade (i.e. imports exceed exports). Also known as a trade gap

trade house

A particular firm that that mediates the sale of commodities.

trade-in allowance

A deduction in the price of a new item as a result of the handover of an old item.

trade journal

Any publication printed with the intention of target marketing to a specific industry or type of business.

trademark

A specific symbol or design that legally identifies a firm and/or its products,…

trade name

The official name denoted to a product or service.

trader

One who buys and sells goods, services, or securities.

trade secret

Any mechanism that provides a firm with a competitive advantage (i.e. a formula, system, tool).

trade show

An exhibition of a specific industry’s goods and services.

trade surplus

A positive balance of trade (i.e. exports exceed imports).

trading

The buying and selling of securities or commodities for the purpose of gaining profit.

trading authorization

A client’s permission granting his or her brokerage the power of attorney in making trades.

trading costs

The costs associated with a transaction, including both the commission and the bid/ask spread.

trading curb

An ad hoc temporary impediment to trading to reduce dramatic price movements of a certain security (i.e. the tick test).

trading dividends

The practice by some corporations of buying and selling other corporations’…

trading floor

The site of a trading transaction.

trading halt

A temporary stoppage of trading in a particular security for a specific reason,…

Trading Index

TRIN. A market indicator calculated by the following: Arms Index = [(# of advancing…

trading on the equity

A business endeavor involving the borrowing of funds to increase capital investment….

trading pattern

The graphical depiction of a security’s price over a specified time period….

trading profit

The profit gained from a position held for less than one year. The profit is…

trading range

Range refers to the area between high and low prices a currency pair tends to…

trading session

The period in which trading activities occurs, spanning from the time the market opens until the closing of the market.

trading volume

The quantity of shares, bonds or contracts traded during a designated time period for a security or an entire exchange.

trailing

The most recently completed time period. For example, trailing twelve months…

trailing P/E

The price to earnings ratio, quantified by using earnings for the four most recently completed quarters.

trailing stop loss

Trailing stopThe trailing stop is a feature attached to stop-loss orders, where…

tranche

A portion of a deal or structured financing, which is one of several related…

transaction

An agreement between a buyer and a seller to exchange an asset for payment.

transaction costs

The costs incurred in the process of buying or selling assets (i.e. commissions and the spread).

transfer

The change of ownership from one party to another.

transfer agent

An agent employed by a corporation or mutual fund to maintain shareholder records.

transfer payments

Any form of cash inflow given by the government to its citizens (i.e. Social…

transfer pricing

The price charged by one division of a company for products and services it…

transfer tax

A state or local tax to be paid upon the transfer of a title.

transmittal letter

A letter attached to a shipment of securities, explaining the purpose for the shipment.

transmittal letter

A letter attached to a shipment of securities, explaining the purpose for the shipment.

transparent market

A market in which trade information is readily available to the public.

traveler's check

A check issued by a financial institution that functions as cash, but is protected…

treasurer

The position in a firm or organization that is responsible for the collection,…

Treasuries

Negotiable U.S. Government debt obligations issued by the U.S. government in…

Treasury

The name given to the center of financial operations of a firm, which is responsible for issuing new securities.

Treasury auction

An auction in which Treasury Bills are sold to the public.

Treasury Bill

One of three types of Treasuries. Treasury Bills have a maturity of one year…

Treasury Bond

One of three types of Treasuries. Treasury Bonds have a maturity of more than…

Treasury Direct

A system operated through Federal Reserve Banks, which allows retail investors…

Treasury index

An index that determines interest rate changes for certain adjustable rate mortgages.

Treasury Inflation-Protected Security

TIPS. A security similar to a treasury bond, with the difference being that…

Treasury Note

One of three types of Treasuries. Treasury notes have a maturity of between 1 and 7 years. Also called U.S. Treasury Note.

Treasury Stock

Stock that is reacquired by a corporation to be resold to the public. Treasury…

trend

The general pattern of movement for prices or rates.

trend analysis

A graphical analysis of a firm’s financial data over time.

trendline

A form of technical analysis formation created by drawing a line that connects…

trend reversal

The change in the general pattern of a market, such as a rally. Also called reversal.

Treynor Index

The measure of a portfolio’s excess return per unit of risk, calculated by the…

trial balance

The summation of total debit balances and credit balances, to confirm that total debits equal total credits.

trial offer

A temporary offer, either free or heavily discounted, to encourage customers to purchase the product after the trial period.

Triangle Chart Pattern

A triangle is formed between converging trend lines. One ascending support line,…

trickle-down theory

An economic theory, which states that the positive externalities and spillover…

trigger

An event signifying that an investor will make a specific trade (i.e. reaching a specified price target).

TRIN

Trading Index. A market indicator calculated by the following: Arms Index =…

Trinidad/Tobago Dollar

The currency of Trinidad/Tobago.

triple bottom

A technical analysis term used to describe a chart on which the price of a security…

triple exemption

A bond whose dividends and interest are exempt from federal, state and local income taxes for investors in certain locations.

triple net lease

A lease, where the lessee pays rent to the lessor, as well as all taxes, insurance,…

triple witching day

The day on which triple witching hour occurs.

triple witching hour

The last hour of the stock market trading session on the third Friday of March, June, September, and December.

TRIX – Triple Exponential Smoothing Oscillator

As a momentum indicator, this oscillator is based on smoothed moving averages…

TRL

The ISO currency code for the Turkish Lira.

troubleshooting

The act of problem solving

trough

A local minimum point.

trust

A legal arrangement in which the trustor gives fiduciary control of property to a predetermined trustee.

trust company

An organization that acts as a fiduciary, trustee or agent in the administration of trust funds, estates and custodial arrangements.

trustee

An individual or organization that holds assets for the benefit of another….

trustee in bankruptcy

A court-appointed trustee who is assigned the duty of administering the affairs of a bankrupt company or individual.

trust fund

Assets held in a trust.

trustor

An individual who sets up a trust. Also known as a grantor.

trust-preferred security

A security possessing characteristics of both equity and debt issues.

Truth in Lending

A federal law requiring lenders to fully disclose in writing the terms and conditions…

TRY

The ISO currency code for the New Turkish Lira.

TTD

The ISO currency code for the Trinidad/Tobago Dollar.

TTM

An Acronym for Trailing Twelve Months. The timeframe of the previous twelve months used for reporting financial figures.

Tunisian Dinar

The currency of Tunisia. Learn more about Tunisia and the Tunisian Dinar at GoCurrency.com

Turkish Lira

The currency of Turkey.

Turkmenistan Manat

The currency of Turkmenistan. Learn more about currencies at GoCurrency.com

Turks & Caicos Dollar

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

turnaround

An acute, positive reversal in a given firm’s financial performance.

turnkey

A compound term originating from the expression, ‘turning the key.’ Turnkey…

turnover

“In the context of a firm, the inventory turnover represents the ratio of annual…

turnover ratio

A measure of the number of times a company’s inventory is replaced during a…

Tuvalu Dollar

The currency of Tuvalu. Although the country is independent, Tuvalu uses…

TWD

The ISO currency code for the Taiwan Dollar. Learn more about Taiwan and the Taiwan Dollar at GoCurrency.com

twisting

The unethical practice employed by some brokers to maximize their commissions…

two-sided market

A market in which the market makers are required to give both a bid price and…

two-step mortgage

A type of adjustable mortgage plan in which there are two distinct interest…

two-way market

A market in which the market makers are required to give both a bid price and…

tycoon

A wealthy, powerful businessperson. Also known as magnate.

type

The classification of an option contract as one of the following: a put or a call.

TZS

The ISO currency code for the Tanzanian Shilling. Learn more about Tanzania and the Tanzanian Shilling at GoCurrency.com