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Investments glossary

Mill Rate

The mill rate is the amount of tax payable per dollar of the assessed value of a property. The mill rate is based on mills. It is a figure that represents the amount per $1,000 of the assessed value of the property, which is used to calculate the read more

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Investments glossary

Qualifying Disposition

Qualifying disposition refers to a sale, transfer, or exchange of stock that qualifies for favorable tax treatment. Individuals typically acquire this type of stock through an incentive stock option (ISO), or through a qualified employee stock purchase read more

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Investments glossary

Guaranteed Lifetime Withdrawal Benefit (GLWB)

A Guaranteed Lifetime Withdrawal Benefit (GLWB) is a rider to a variable annuity contract that allows for withdrawals, either regular or occasional, to be made from an annuity during the accumulation phase without penalty. The annuitant pays for the read more

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Investments glossary

Hard Skills

Hard skills are learned abilities acquired and enhanced through practice, repetition, and education. Hard skills are important because they increase employee productivity and efficiency and subsequently improve employee satisfaction. However, hard read more

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Investments glossary

Breadth Indicator

Breadth indicators are mathematical formulas that measure the number of advancing and declining stocks, and/or their volume, to calculate the participation in a stock index’s price movements. By evaluating how many stocks are increasing or decreasing read more

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Investments glossary

Smurf

A smurf is a money launderer or someone who seeks to evade scrutiny from government agencies by breaking up a transaction involving a large amount of money into smaller transactions below the reporting threshold. Smurfing involves depositing illegally read more

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Investments glossary

Deregulation

Deregulation is the reduction or elimination of government power in a particular industry, usually enacted to create more competition within the industry. Over the years the struggle between proponents of regulation and proponents of no government read more

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Investments glossary

Active Management

Active management is the use of a human element, such as a single manager, co-managers or a team of managers, to actively manage a fund’s portfolio. Active managers rely on analytical research, forecasts, and their own judgment and experience read more

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Investments glossary

Forecasting

Forecasting is a technique that uses historical data as inputs to make informed estimates that are predictive in determining the direction of future trends. Businesses utilize forecasting to determine how to allocate their budgets or plan for anticipated read more

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Investments glossary

Inflationary Gap Definition

An inflationary gap is a macroeconomic concept that describes the difference between the current level of real gross domestic product (GDP) and the anticipated GDP that would be experienced if an economy is at full employment. This is also referred read more