A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Brokerage AccountAn account you open with an investment firm to buy and sell stocks, bonds, funds, and other investments.
- BrokerA firm or person that carries out your orders to buy and sell investments, often for a fee or commission.
- Cash AccountA brokerage account where you pay in full for investments and cannot borrow to trade.
- Market OrderAn instruction to buy or sell an investment right away at the best price currently available.
- StockA share of ownership in a company that you can buy and sell, giving you a small stake in its profits and growth.
- LiquidityHow quickly and easily you can turn an investment into cash without moving its price much.
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Plain-English education — not personalized legal, tax, or investment advice.