Dictionary
- Buy Limit
- Indicates a security may be purchased only at the designated price or lower.
- Buy Stop
- A buy order not to be executed until the market price rises to the stop price. Once the security has broken through that price, the order is then treated as a market order.
- Buy-and-hold approach
- An investment strategy in which stocks are bought and then held for a long period, regardless of the market's fluctuations. The buy-and-hold approach to investing in stocks and mutual funds rests upon the assumption that in the very long term stock prices will go up.
- Cable
- Common terminology for the British Pound against the US dollar exchange rate.
- Call Option
- A contract that gives the buyer of the option the right but not the obligation to take delivery of the underlying security at a specific price within a certain time. American options can be exercised at any time up to the expiration date while European Options can be exercised only on the expiration date.