Financial Dictionary

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price earnings ratio

Price/Earnings Ratio (P/E Ratio)

P/E Ratio Meaning The Price/Earnings Ratio (P/E Ratio) is a ratio used by investors to help evaluate how cheap or ...

real estate investment trust

Real Estate Investment Trust (REIT)

What is a REIT? A Real Estate Investment Trust, or REIT, is a pooled investment that invests primarily in income-producing ...

health savings account

Health Savings Account

What Is a Health Savings Account? A Health Savings Account, or HSA, is an account that offers individuals covered by ...

initial public offering IPO

Initial Public Offering (IPO)

What Is an IPO? An Initial Public Offering (IPO) is a company’s first public offering of stock. In an IPO, ...

adjusted gross income

Adjusted Gross Income (AGI)

What Is Adjusted Gross Income? Adjusted gross income (AGI) is one figure used in the calculation of income tax liability. ...

municipal bonds

Municipal Bond

What Are Municipal Bonds? A municipal bond, sometimes called a muni bond, is a debt security issued by a state, ...

risk tolerance

Risk Tolerance

Risk Tolerance Definition Risk tolerance is a measurement of the degree of variability in investment returns that an investor is ...

Probate

What is Probate? Probate is the court proceeding in which a deceased person’s Will is filed with the court, and ...

Rate of Return

What Is Rate of Return? The rate of return measures the performance of an investment. Rate of return is calculated ...

Liquidity

What is Liquidity? Liquidity is the ease and speed with which an asset or security can be bought or sold. ...

Net Worth

What is Net Worth? Net worth is the total value of a company’s or individual’s assets, minus the liabilities, or ...

Beneficiary

What Is a Beneficiary? A beneficiary is the person or entity who will receive benefits from a life insurance policy, ...