Typically, stocks issued by corporations with a market capitalization of $8 billion or greater.
LEAPS (Long Term Equity Anticipation Securities)
Long term options. Regular options contracts tend to go out only as far as nine months. For the investor who wants to make an options play on a security that goes out a year or longer.
Letter of Intent
A promise by a mutual fund shareholder to invest a specified sum of money within a specified period of time. In return, the shareholder is entitled to lower sales charges.
A sales charge to a mutual fund that remains constant over time.
A provision of an adjustable rate mortgage (ARM) that limits the highest interest rate allowed over the life of the loan. For example, a 6% interest rate with a 5% lifetime cap cannot exceed an 11% interest rate for the life of the loan. ARM lifetime caps vary and can be used for comparison when shopping for a loan.
Limited Tax G.O.
A general obligation pledge to pay which has some statutory limit. (Most often a pledge to levy ad valorem taxes up to a specific millage rate.)
"Equity: An order where the investor indicates a specific execution price. A buy price is usually set at or below the current market ask price, whereas a sell price is usually set at or above the current market bid price. Because limit orders are only executed at the specified price or better, it is possible that the order may not be executed. See also Market Order, Stop Order, Stop/Limit Order. Fixed Income: Orders at a specific price set by the client, rather than at the market. Orders where the customer has changed price, settlement, or asked for a quantity greater than available will be treated as subject."
Cash, or assets that can be quickly converted to cash.
A security traded on a securities exchange, such as the New York Stock Exchange or American Stock Exchange. The various stock exchanges have different standards for listing.
Mutual funds sold by sales representatives. For the shares they sell, there is a sales charge, or load.
"The type of sales charge on a particular, mutual fund investment. There are basically four types of loads:
- Front-End Load is a sales charge applied upon initial purchase of shares (typically ""A"" shares).
- Back-End Load is a sales charge applied when an investor withdraws money from an investment within a specified time period (typically ""B"" shares). The amount and duration of the charge is specific to each security.
- Level Load is a sales charge that remains constant over time (typically ""C"" shares).
- No-Load indicates the nonexistence of any type of sales charge."
The amount you borrow from a lender to purchase a home or refinance an existing mortgage loan.
Loan Participation Funds
A mutual fund that invests a minimum of 65% of its assets in loan interests.
An investor's ownership of securities held by a brokerage firm.
A type of loan defined by its term and repayment features. Examples include: 30-year fixed rate mortgage, 10/1 ARM mortgage.
The term used to describe the collection and management of your monthly mortgage payment, which includes principal and interest. This typically includes processing payments, sending statements and managing escrow accounts.
Long Term Bond
Bond with duration of 10 or more years.
Long Term General Bond Funds
Long Term General Bond Mutual Funds seek income by investing in corporate debt, government debt and preferred securities with maturities over 10 years or an average duration over 6 years.
Long Term US Government Fund
Long Term US Government Mutual Fund invests a minimum of 65% in securities issued or guaranteed by the Government, its agencies or instrumentalities with maturities over 10 years or an average duration over 6 years.
A reduction in the value of an investment. Opposite of gain.
Loss Mitigation -A process to avoid foreclosure
usually, when the lender assists a homeowner who has missed a number of payments. Loss mitigation methods include repayment plans, modification of mortgage terms, and bankruptcy.