Financial Dictionary
Thousands of investors have told us they are confused by the investment jargon that is used by financial advisors. We also know some terms, that investors don't understand, are used by advisors as sales ploys. They establish themselves as experts when they define a term you may not understand.
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Definition of 'Asset Allocation'
The process by which assets are invested in multiple categories such as stocks, bonds, and cash equivalents. Allocation is the same as diversification and its primary purpose is to minimize the risk of large losses. There are also sub-categories of assets such as domestic stocks and international stocks.
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Accelerated Depreciation
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Accredited
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Accredited Investor
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Accrual Basis
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Accrued Interest
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Accumulation Years
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Acid test Ratio
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Acknowledged Fiduciary
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Acquisition
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ACRS - Accelerated Cost Recovery System.
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Active Account
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Active Management
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Actuary
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Administrator
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Advance-Decline
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Advisor
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Advisory Fee
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After The Bell
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After-Tax contribution
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After-Tax Return
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After-Tax Returns
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Aggressive Growth
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Alpha
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Alternative Investments
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Alternative Minimum Tax
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American Depository Receipt (ADR)
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American Institute of Certified Public Accountants (AICPA)
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American Stock Exchange (AMEX)
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Amortization
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Amortizing Security
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Angel Investor
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Angel Network
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Annual Percentage Rate (APR)
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Annual Percentage Yield (APY)
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Annual Report
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Annual Return
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Annualize
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Annuitant
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Annuitize
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Annuity
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Appraisal Ratio
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Approved List
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Arbitrage
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Arbitration
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ARRA - American Recovery & Reinvestment Act
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Ask
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Asset
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Asset Allocation
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Asset Class
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Asset Management Account
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Asset-Based Fee
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Assets Under Management (AUM)
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At Par
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Auction market
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Auditor's report
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Average Return
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Averaging