Common Bank Terminology – SolveForce Fiber Internet, Cloud Computing & Telecommunications

Account: a record of financial transactions for a specific individual or entity.
Accounts payable: money that a company owes to its suppliers or vendors.
Accounts payable: the amount of money that a company owes to its creditors.
Accounts receivable: money owed to a company by its customers for goods or services that have been provided but not yet paid for.
Accounts receivable: the amount of money that a company is owed by its customers.
Accrued interest: the interest that has accumulated on a bond or other debt security since the last interest payment.
Accrued interest: the interest that has accumulated on a loan or investment over time but has not yet been paid.
Amortization: the process of paying off a debt, such as a mortgage or loan, through regular payments over time.
Amortization: the process of paying off debt over time through regular payments.
Annual percentage rate (APR): the annual cost of borrowing money, including interest and fees, expressed as a percentage.
Annual percentage rate (APR): the annual rate of interest charged for a loan, including any fees or additional costs.
Annual percentage rate (APR): the cost of credit on a yearly basis, including interest and fees.
Anti-money laundering (AML): laws and regulations aimed at preventing the use of the financial system for illegal activities, such as money laundering and financing of terrorism.
Appraisal: an evaluation of the value of an asset, such as real estate or securities.
APR (Annual Percentage Rate): the annual rate of interest charged on a loan, including any fees.
Asset Allocation: The process of dividing an investment portfolio among different asset categories, such as stocks, bonds, and cash.
Asset management: the practice of managing a portfolio of assets, such as stocks, bonds, and real estate, on behalf of clients.
Asset management: the professional management of various investments, such as stocks, bonds, and real estate, on behalf of clients.
Asset: any item of economic value that is owned by an individual or organization.
Asset: anything owned by an individual or a company that has monetary value.
Asset: Anything owned by an individual or organization that has economic value.
Asset: Anything that has value and can be owned, such as property, cash, stocks, and bonds.
Asset: something that has monetary value and can be owned, such as property, cash, or investments.
Asset-backed securities (ABS): securities backed by a pool of assets, such as mortgages or auto loans.
Asset-Backed Security (ABS): A type of investment security that is collateralized by a pool of assets, such as mortgages or auto loans.
Asset-backed security (ABS): a type of security backed by a pool of assets, such as mortgages or auto loans.
Asset-backed security: a financial security that is collateralized by a pool of assets, such as mortgages or auto loans.
Asset-liability management (ALM): managing a bank’s assets and liabilities to ensure that it can meet its obligations as they come due.
ATM (Automated Teller Machine): a machine that allows customers to perform banking transactions, such as withdrawing cash or depositing checks, without the need for a teller.
ATM (Automatic Teller Machine): a machine that allows customers to withdraw cash, deposit money, and check account balances.
Audit: an independent examination of an organization’s financial statements by an accountant.
Automated Clearing House (ACH): an electronic network for the processing of financial transactions.
Balance sheet: a financial statement that shows a company’s assets, liabilities, and equity at a specific point in time.
Balance sheet: a financial statement that shows a company’s assets, liabilities, and equity at a specific point in time.
Balance sheet: a financial statement that shows a company’s assets, liabilities, and shareholders’ equity at a specific point in time.
Balance: the amount of money in an account.
Bank run: a situation in which a large number of customers withdraw their deposits from a bank because they believe the bank is, or might become, insolvent.
Bank run: a situation in which a large number of depositors withdraw their money from a bank, often due to concerns about the bank’s solvency
Bank secrecy: laws and regulations that protect the confidentiality of a bank’s clients and their financial transactions.
Bank statement: a document issued by a bank showing all transactions in an account over a certain period of time.
Bank statement: a document that shows all transactions in an account over a specified period of time
Bank statement: a document that summarizes a bank account’s transactions for a given period of time.
Bank Terminology Definitions
Bank: a financial institution that accepts deposits, makes loans, and offers other financial services
Bankrate: the interest rate that a bank charges its customers for borrowing money.
Basel III: a set of international banking regulations that the Basel Committee on Banking Supervision developed in response to the financial crisis of 2008-2009, aimed at strengthening the regulatory framework for banks.
Basel III: an international regulatory framework for banks that includes higher capital and liquidity requirements and new rules for managing risks.
Bear market: a market characterized by declining prices and negative sentiment.
Bear Market: A market condition characterized by falling prices and negative sentiment, often caused by a lack of investor confidence.
Beta: A measure of a stock’s volatility in relation to the overall market.
Black swan event: a rare and hard-to-predict event that has a major impact on the market or economy
Bond Fund: A type of mutual fund or exchange-traded fund (ETF) that invests in a diversified portfolio of bonds.
Bond: a debt security in which an investor loans money to an entity (typically corporate or governmental) which borrows the funds for a defined period of time at a variable or fixed interest rate
Bond: a debt security that is issued by a government or corporation, which pays periodic interest and repays the face value on maturity
Bond: A debt security that pays a fixed or variable rate of interest and is usually issued by a corporation or government.
Bond: a debt security that pays interest to the bondholder and repays the principal when the bond matures
Bond: a debt security that pays periodic interest and repays the face value of the bond when it matures.
Book value: the value of a company’s assets as recorded on its balance sheet
Book Value: The value of an asset as recorded in a company’s financial books.
Branch banking: the practice of opening multiple branches of a bank in different locations to serve customers.
Break-even point: the point at which a company’s revenues and expenses are equal and it is not making a profit or loss.
Bull market: a market characterized by rising prices and positive sentiment.
Bull Market: A market condition characterized by rising prices and positive sentiment, often caused by investor confidence.
Bullet Point List All Banks: Terminology and Related Definitions.
Business Cycle: The natural fluctuation of economic activity, characterized by periods of expansion and contraction.
Capital adequacy ratio (CAR): a measure of a bank’s ability to meet its financial obligations, calculated as the ratio of a bank’s capital to its risk-weighted assets.
Capital adequacy ratio (CAR): a measure of a bank’s capital, calculated as the ratio of its capital to its risk-weighted assets
Capital Adequacy Ratio (CAR): A measure of a bank’s capital, expressed as a percentage of its risk-weighted assets.
Capital adequacy ratio (CAR): a measure of a bank’s capital. It is the ratio of a bank’s capital to its risk.
Capital adequacy ratio: a measure of a bank’s ability to meet its financial obligations, calculated as the ratio of a bank’s capital to its risk-weighted assets
Capital expenditures: money spent by a company to acquire or improve long-term assets such as property, equipment, or technology
Capital gain: the profit made from the sale of an asset, such as a stock or real estate, that is greater than the original purchase price.
Capital gains: the profit realized from the sale of a capital asset, such as a stock or real estate
Capital Gains: The profit realized from the sale of an asset.
Capital Market: A market for the trading of long-term debt and equity securities.
Capital market: a market where financial securities, such as stocks and bonds, are bought and sold
Capital market: the market where long-term debt (bonds) and equity (stocks) are traded
Capital market: the market where long-term debt and equity securities are traded.
Capital Markets: Markets for buying and selling securities, such as stocks and bonds.
Capital: The money or assets that a company uses to generate income.
Capital: The resources available to an individual or organization to invest in new projects or initiatives.
Capital: the total amount of money and other assets that a business has available to it.
Capital: the total value of all assets, including cash and investments
Capitalization Rate (Cap Rate): The rate of return on a real estate investment property, typically used to evaluate its potential profitability.
Cash flow statement: a financial statement that shows a company’s cash inflows and outflows over a period of time
Cash flow statement: a financial statement that shows the flow of cash into and out of a company over a specified period of time
Cash flow: the amount of cash and cash equivalents that a company receives and disburses over a period of time
Cash Flow: The amount of cash and cash-equivalents moving into and out of a business.
Cash flow: the amount of cash or cash-equivalent that is generated or used in an organization’s operations.
Certificate of deposit (CD): a type of deposit account that pays a fixed interest rate and has a fixed maturity date.
Certificate of deposit (CD): a type of time deposit offered by banks that typically offers a higher interest rate than a savings account.
Certificates of deposit (CD): a type of time deposit offered by banks and other financial institutions
Checking account: an account that allows customers to write checks and make other types of payments
Clearing: the process of settling a trade by ensuring that the buyer’s account is debited and the seller’s account is credited.
Clearing: the process of settling trades and ensuring that the correct parties receive the securities they purchased.
Collateral: an asset or property that is pledged as security for a loan.
Collateral: assets pledged as security for a loan.
Collateral: Assets pledged as security for a loan or other financial obligation.
Collateral: assets that a borrower pledges to a lender to secure a loan.
Collateral: Property or assets pledged as security for a loan.
Collateral: property or assets that a borrower pledges as security for a loan.
Collateral: property or assets that are pledged as security for a loan
Collateralized debt obligation (CDO): a type of security that is backed by a pool of debt, such as mortgages or corporate bonds
Commodity: a raw material or primary agricultural product that can be bought and sold, such as gold, oil, or wheat
Compliance: the process of ensuring that a company or organization adheres to laws, regulations, and standards
Consumer credit: a type of credit that is extended to individuals for personal use, typically for the purchase of consumer goods or services.
Consumer credit: credit extended to individuals for personal use, such as for the purchase of a car or home, or for debt consolidation
Consumer price index (CPI): a measure of the average change in prices over time for a basket of goods and services consumed by households.
Consumer price index (CPI): a measure of the average change in the price of goods and services consumed by households
Consumer protection: the laws, regulations, and agencies that are designed to protect consumers from fraud, deception, and other forms of abuse
Counterparty risk: the risk that the counterparty to a financial contract will default or not perform its obligations
Credit bureau: an agency that collects and maintains records of credit information on consumers, and provides credit reports to lenders and other organizations
Credit card: a card that allows the holder to borrow money up to a certain limit
Credit cycle: the cyclical pattern of credit expansion and contraction in an economy
Credit default swap (CDS): a type of derivative contract that is used to transfer the credit risk of a bond or other debt instrument from one party to another
Credit default swap (CDS): a type of derivative that is used to hedge against the risk of default on a debt security
Credit line: a maximum amount of credit that a lender will extend to a borrower.
Credit line: a set amount of money that a bank or other lender will make available for a borrower to use as needed
Credit line: a type of loan that allows the borrower to access funds up to a certain limit, as needed
Credit rating: a measure of a borrower’s creditworthiness, typically expressed as a letter grade or numerical score
Credit rating: an assessment of the creditworthiness of a borrower, such as a government or corporation, by a credit rating agency
Credit rating: an evaluation of the credit worthiness of a borrower in general terms as high credit quality, satisfactory credit quality, marginal credit quality, poor credit quality, and default.
Credit report: a record of an individual’s credit history, including information about credit accounts, loans, and payment history.
Credit report: a record of an individual’s credit history, including information on their credit accounts, payment history, and credit score.
Credit Risk: The risk of loss due to a borrower’s inability to repay a loan or meet contractual obligations.
Credit risk: the risk that a borrower will default on a loan or bond
Credit risk: the risk that a borrower will default on a loan or other debt obligation.
Credit risk: the risk that a borrower will default on a loan or other financial obligation.
Credit score: a numerical rating that represents an individual’s creditworthiness
Credit Score: A numerical representation of a borrower’s creditworthiness, typically used by lenders to determine the risk of lending to a particular borrower.
Credit score: a numerical score that represents a person’s creditworthiness, based on their credit history.
Credit score: a numerical score that represents an individual’s creditworthiness, typically based on information from a credit bureau
Credit spread: the difference in yield between a risk-free security, such as a Treasury bond, and a riskier security, such as a corporate bond
Credit: an agreement in which a bank or other lender agrees to loan a certain amount of money at a certain interest rate for a certain period of time
Credit: an agreement in which a lender gives money or property to a borrower, and the borrower agrees to pay back the lender, usually with interest
Credit: The ability of a borrower to obtain goods or services before payment, based on the trust that payment will be made in the future.
Credit: the ability to borrow money or the borrowing capacity of an individual or company.
Currency Risk: The risk of loss due to changes in the value of one currency against another.
Currency: A medium of exchange, such as a coin or banknote, that is issued by a government and used as a legal tender.
Currency: a medium of exchange, such as the U.S. dollar or the euro, that is used to buy and sell goods and services.
Current ratio: a financial ratio that measures a company’s ability to pay its short-term obligations.
Cybersecurity: the practice of protecting internet-connected systems, including hardware, software and data, from attack, damage or unauthorized access
Debenture: a type of bond that is not secured by specific assets, but is backed by the issuer’s general creditworthiness.
Debit card: a card that is linked to a checking account and allows customers to make purchases and withdraw cash
Debit card: a payment card that allows users to make purchases by drawing on funds they have already deposited in a bank account.
Debit card: a payment card that is linked to an account and can be used to withdraw cash or make purchases.
Default: Failure to make a required payment or fulfill a debt obligation.
Default: Failure to repay a loan or meet the terms of a financial obligation.
Default: the failure to make required payments on a loan or other debt obligation.
Default: the failure to repay a loan or meet other financial obligations.
Default: the failure to repay a loan or meet the terms of a financial contract
Deflation: a sustained decrease in the general price level of goods and services.
Deposit insurance: a government-provided insurance program that guarantees the safety of deposits in case of bank failure.
Deposit rate: the interest rate at which a bank or other financial institution will accept deposits
Deposit: money that is added to an account.
Deposit: money that is placed into an account at a bank or other financial institution.
Depreciation: a method of allocating the cost of an asset over its useful life
Depreciation: the allocation of the cost of a long-term asset over its useful life
Derivative: A financial contract whose value is based on the performance of an underlying asset, such as a stock or commodity.
Derivative: a financial contract whose value is derived from an underlying asset such as a commodity, currency, rate, or index.
Derivative: a financial contract whose value is derived from the performance of an underlying asset, such as a stock or commodity.
Derivative: a financial contract whose value is derived from the value of an underlying asset, such as a stock or commodity.
Derivative: a financial contract whose value is derived from the value of an underlying asset, such as a stock, bond, commodity, or currency
Derivative: a financial contract whose value is derived from the value of an underlying asset, such as a stock, commodity, or currency
Derivative: A financial instrument whose value is derived from the value of an underlying asset, such as a stock, commodity, or currency.
Derivatives: financial contracts whose value is derived from an underlying asset such as a stock, bond, commodity or currency
Direct deposit: a system in which an employer or government agency electronically transfers money to an employee’s or recipient’s bank account.
Diversification: spreading investments across different types of assets and industries in order to reduce risk
Diversification: the practice of spreading investments among a variety of different assets or industries in order to reduce risk
Diversification: the practice of spreading investments among different types of assets in order to reduce risk.
Diversification: The process of spreading investments among different asset classes, sectors, and individual securities to reduce risk.
Diversification: the process of spreading investments among different types of assets or industries to reduce risk.
Dividend: a distribution of a portion of a company’s earnings to shareholders, usually paid in cash or stock.
Earnings Per Share (EPS): A financial ratio calculated by dividing a company’s net income by its number of outstanding shares of stock.
Earnings per share (EPS): a measure of a company’s profitability, calculated as net income divided by the number of outstanding shares of stock
Earnings per share (EPS): a measure of a company’s profitability, calculated as the company’s net income divided by the number of shares outstanding
Earnings: The amount of money that a company makes from its business activities, typically measured as revenue minus expenses.
Economic indicator: a statistical measure.
Electronic banking: the use of electronic means, such as the internet or mobile devices, to conduct banking transactions.
Electronic Funds Transfer (EFT): the electronic transfer of money from one bank account to another, either within a single financial institution or across multiple institutions, via computer-based systems.
Equity Fund: A type of mutual fund or exchange-traded fund (ETF) that invests in a diversified portfolio of stocks.
Equity investment: buying shares in a company in order to own a piece of the company and share in its profits and growth
Equity: the difference between the market value of a property and the amount still owed on any mortgages or loans taken out against it.
Equity: the value of a company’s assets minus its liabilities, also known as shareholders’ equity
Equity: The value of an asset after deducting any liabilities.
Equity: the value of an asset after deducting liabilities.
Equity: The value of an asset after subtracting any liabilities.
Equity: the value of an asset after subtracting liabilities; also refers to the ownership of a company represented by shares of stock
Escrow: a financial arrangement in which a third party holds and regulates the payment of funds required for two parties involved in a transaction.
Exchange Rate: The value of one currency in relation to another currency.
Federal Reserve: The central bank of the United States, responsible for implementing monetary policy and regulating the banking system.
Federal Reserve: the central bank of the United States, responsible for implementing monetary policy and regulating the country’s banking system.
FHA loan: a type of mortgage that is insured by the Federal Housing Administration
Fiduciary: a person or organization that has a legal duty to act in the best interests of another party.
Financial crisis: a severe disruption in the functioning of the financial system, often characterized by a sharp decline in asset prices and a widespread lack of confidence in the banking system.
Financial inclusion: the provision of financial services to individuals and businesses that are excluded from the traditional financial system
Financial innovation: the creation of new financial products, services, and technologies
Financial institution: an organization that provides financial services to its clients or members, such as banks, credit unions, and investment companies.
Financial Leverage: The use of borrowed money to increase the potential return on an investment.
Financial ratio analysis: a method of evaluating a company’s financial performance by comparing various financial ratios, such as the price-to-earnings ratio or the debt-to-equity ratio
Financial Stability Oversight Council (FSOC): a U.S. government body established to identify and address potential systemic risks to the financial system
Financial statement: a document or set of documents that report an organization’s financial performance, including its income, expenses, assets, liabilities, and equity
Financial statement: a document that shows a company’s financial performance and position over a certain period of time.
Financial Statement: A report of a company’s financial condition, such as the balance sheet, income statement, and cash flow statement.
Financial Statements: Reports that provide information about a company’s financial performance and position, such as income statement, balance sheet and cash flow statement.
Financial Technology (FinTech): use of technology to improve and automate the delivery and use of financial services
Fiscal Policy: The use of government spending and taxation to influence the economy.
Fixed income investment: investment that provides a regular and predictable income, such as bonds and other debt securities
Fixed Income: An investment that pays a fixed rate of return, such as a bond.
Floating rate bond: a bond whose interest rate is periodically adjusted based on a benchmark rate, such as the prime rate
Floating Rate: An interest rate that is allowed to fluctuate with market conditions, such as a variable rate loan or bond
Foreclosure: the legal process by which a lender takes possession of a property when the borrower is unable to make mortgage payments
Foreign exchange (forex or FX): the exchange of one currency for another
Foreign Exchange (Forex or FX): the exchange of one currency for another or the conversion of one currency into another currency
Foreign Exchange (Forex): The buying and selling of currencies on the foreign exchange market.
Foreign exchange (forex): the buying and selling of one currency for another on the foreign exchange market.
Foreign exchange (forex): the exchange of one currency for another.
Foreign exchange rate: the value of one currency in terms of another currency.
Fractional reserve banking: a system in which banks hold only a fraction of their deposits as reserves, and lend out the rest.
Futures: a type of derivative contract in which two parties agree to buy or sell an asset at a specified price on a future date.
Gift letter: a letter from a donor stating that they are giving money to a borrower as a gift, not as a loan.
Gross domestic product (GDP): a measure of the total value of goods and services produced by a country’s economy.
Gross margin: the difference between a company’s revenue and cost of goods sold, expressed as a percentage
Guarantee: a promise by one party to assume the debt or other financial obligation of another party if that party fails to meet the obligation.
Hedge fund: a type of investment fund that uses a variety of strategies to generate returns, such as buying and selling securities, derivatives, and other financial instruments
Hedge fund: a type of investment fund that uses a variety of strategies to generate returns, such as investing in derivatives or taking short positions
Hedge fund: a type of investment fund that uses a variety of strategies, such as leveraging, short selling, and derivatives, in an attempt to generate high returns
Hedge fund: a type of investment fund that uses high-risk strategies, such as leverage and derivatives, in the hopes of generating high returns.
Hedge fund: an aggressively managed portfolio of investments that uses advanced investment strategies such as leveraged, long, short and derivative positions in both domestic and international markets with the goal of generating high returns (either in an absolute sense or over a specified market benchmark).
Hedge: A strategy used to limit the risk of loss on an investment.
I apologize, but I have provided you with a comprehensive list of bank-related terminology and definitions. If you have any specific questions about a particular term or concept, I would be happy to help you understand it further.
Income statement: a financial statement that shows a company’s revenues, expenses, and net income over a period of time
Income statement: a financial statement that shows a company’s revenues, expenses, and profits over a specified period of time
Inflation: a sustained increase in the general price level of goods and services in an economy over a period of time
Inflation: a sustained increase in the general price level of goods and services in an economy over a period of time.
Initial public offering (IPO): the first sale of a company’s stock to the public
Initial public offering (IPO): the process by which a privately held company raises capital by issuing shares and selling them to the public for the first time
Insider trading: the illegal buying or selling of a security by someone who has access to nonpublic information about the security
Interest rate risk: the risk that changes in interest rates will affect the value of an investment.
Interest rate: the percentage at which interest is paid on a loan or deposit.
Interest rate: the percentage of a loan that the lender charges the borrower for the use of the money
Interest rate: the percentage of an amount of money that is charged for its use, typically over a year
Interest rate: the percentage of the amount borrowed that is charged as interest
Interest Rate: The rate at which interest is charged on a loan or earned on an investment.
Interest: the cost of borrowing money, typically expressed as a percentage of the amount borrowed
Interest: The cost of borrowing money, typically expressed as a percentage of the amount borrowed.
Interest: the cost of borrowing money, usually expressed as a percentage of the amount borrowed.
Interest-only loan: a type of loan in which the borrower only pays the interest on the loan for a certain period of time before beginning to pay back the principal
Investment bank: a financial institution that specializes in underwriting and issuing securities, as well as providing advice and other services to companies and governments.
Investment grade: the rating given to a bond or other debt security that is considered to have a relatively low risk of default
IPO (Initial Public Offering): the process by which a private company raises money by selling shares to the public for the first time
Know Your Customer (KYC): the process of identifying and verifying the identity of a bank’s clients
Lease: a legal agreement in which a lender agrees to let a borrower use a property for a specified period of time in exchange for regular payments
Lending rate: the interest rate at which a bank or other lender will loan money
Lending: the act of providing money to individuals or entities in exchange for future repayment with interest
Leverage ratio: a measure of a bank’s level of debt relative to its equity.
Leverage: the use of borrowed money to increase the potential return of an investment
Leverage: the use of borrowed money to increase the potential return of an investment.
Leverage: the use of borrowed money to increase the potential return on an investment
Leverage: The use of borrowed money to increase the potential return on an investment.
Liquid asset: an asset that can easily be converted into cash, such as cash or marketable securities.
Liquidation: the process of selling off assets in order to pay off creditors and other debts.
Liquidity risk: the risk that an institution will be unable to meet its financial obligations as they come due because it cannot liquidate assets quickly enough
Liquidity: the ability of a company to meet its financial obligations as they come due
Liquidity: the ability of an asset to be easily bought or sold without affecting its market price
Liquidity: the ability to convert an asset into cash quickly and easily
Liquidity: The ability to convert an asset into cash quickly without affecting its price.
Liquidity: the ability to turn an asset into cash quickly and easily without affecting its market value.
Loan: an agreement in which a bank or other lender agrees to loan a certain amount of money at a certain interest rate for a certain period of time
Margin account: a type of brokerage account that allows the investor to borrow money from the broker to purchase securities
Margin: the amount of money required to be deposited as collateral to cover potential losses in an investment
Margin: the amount of money that an investor must deposit in order to open or maintain a position in a margin account.
Market capitalization: the total value of a company’s outstanding shares of stock
Market capitalization: the value of a company, calculated by multiplying the number of outstanding shares by the current market price per share
Market risk: the risk that an investment’s value will decrease due to changes in the overall market.
Market risk: the risk that changes in market conditions, such as interest rates or currency exchange rates, will affect the value of an investment
Market Risk: The risk that the value of an investment will decline due to changes in market conditions.
Market value: the current value of a company’s stock or assets as determined by supply and demand in the market
Market value: the price at which an asset would trade in a competitive auction setting.
Microfinance: the provision of small loans and other financial services to individuals and small businesses in developing countries
Minimum balance: the lowest amount of money that must be in an account in order to avoid fees
Monetary Policy: The use of interest rates and other tools by a central bank to influence the economy.
Money Laundering: The illegal process of making illegally-gained proceeds (i.e. “dirty money”) appear legal (i.e. “clean”).
Money laundering: the process of making illegally-gained proceeds (i.e. “dirty money”) appear legal (i.e. “clean”)
Money market: a sector of the financial market in which financial instruments with high liquidity and short maturities are traded
Money market: a segment of the financial market in which financial instruments with high liquidity and short maturities are traded
Money market: the market for short-term debt instruments, such as Treasury bills and commercial paper.
Mortgage: a loan that is used to purchase a home
Mortgage: a loan used to purchase a property, usually with the property serving as collateral for the loan.
Mutual fund: a type of investment fund that pools money from many investors in order to buy a diversified portfolio of stocks, bonds, and other securities
Mutual fund: a type of investment fund that pools money from multiple investors to purchase a diversified portfolio of securities.
Mutual fund: a type of investment fund that pools money from multiple investors to purchase a diversified portfolio of stocks, bonds, or other securities
Mutual fund: a type of investment fund that pools money from multiple investors to purchase securities
Mutual Fund: A type of investment vehicle that pools money from many investors to purchase a diversified portfolio of stocks, bonds, or other securities.
Mutual fund: an investment vehicle that pools the money of many investors and uses it to buy a diversified portfolio of stocks, bonds, or other securities
Net income: a company’s total revenue minus all expenses and taxes
Net income: the amount of money a company earns after deducting all its expenses
Non-performing loan (NPL): a loan on which the borrower has failed to make the scheduled payments for an extended period of time
Online banking: a system that allows customers to access their bank accounts and perform transactions through the internet
Online banking: the ability to conduct financial transactions on a bank’s website.
Operating income: a company’s income from its main operations, before deducting interest and taxes
Operational risk: the risk of loss resulting from inadequate or failed internal processes, systems, human errors, or external events
Option: a financial contract that gives the holder the right, but not the obligation, to buy or sell an underlying asset at a specified price at a specified time
Options: a type of derivative contract that gives the holder the right, but not the obligation, to buy or sell an underlying asset at a specified price on or before a specified date
Options: A type of derivative that gives the holder the right, but not the obligation, to buy or sell an underlying asset at a specific price on or before a specific date.
Origination fee: a fee charged by a lender for processing a loan
OTC (over-the-counter): a type of market where securities are traded directly between two parties, rather than on a formal exchange.
Overdraft: a situation in which a person withdraws more money from their account than they have available.
Overdraft: a situation in which an account has a negative balance
P/E ratio: the price-to-earnings ratio, calculated as the market price per share of a stock divided by the earnings per share.
Payee: the person or entity that receives payment.
Please note that this list is not exhaustive and there may be other terms and definitions related to banking and finance. Additionally, the definitions provided here are general in nature and may have different interpretations or variations depending on the context.
PMI (Private Mortgage Insurance): insurance that is typically required for conventional mortgages when the down payment is less than 20% of the purchase price
Portfolio: A collection of investments held by an individual or institution.
Portfolio: a collection of investments, such as stocks, bonds, and real estate
Preapproval: a conditional commitment from a lender that states the amount of money the borrower is eligible to borrow
Prime rate: a benchmark interest rate used by banks and other financial institutions to set interest rates for various types of loans.
Prime rate: the interest rate at which banks lend to their most creditworthy customers.
Prime rate: the interest rate that banks charge their most creditworthy customers.
Principal: the amount of money that is borrowed, not including interest
Principal: the original amount of money borrowed or invested, as opposed to interest or other charges.
Principal: the original amount of money borrowed or invested, not including interest or other charges.
Private equity: investment in non-public companies, typically through the purchase of shares or the acquisition of a controlling stake
Quantitative easing (QE): a monetary policy used by central banks to increase the money supply and stimulate the economy by purchasing government bonds and other securities from banks
Rate of Return (ROR): The gain or loss on an investment over a period of time, expressed as a percentage of the initial investment.
Rating agency: a company that evaluates the creditworthiness of individuals and organizations, and assigns credit ratings to them.
Ratio analysis: a technique used to evaluate a company’s financial performance by comparing different financial ratios.
Real estate investment trust (REIT): a type of investment trust that invests in real estate and is required to distribute at least 90% of its income to shareholders
Real estate investment trust (REIT): a type of investment vehicle that pools the money of many investors to buy, manage, and sell real estate properties
Real estate investment trust (REIT): a type of security that invests in real estate and is traded on stock exchanges like any other company’s stock.
Real Estate: Property, such as land and buildings, used for investment or commercial purposes.
Refinance: the process of obtaining a new loan to pay off an existing one
Repo rate: the rate at which banks can borrow money from the central bank by selling securities and agreeing to repurchase them at a later date.
Repurchase agreement (repo): a type of short-term borrowing for dealers in government securities
Reserve requirement: the amount of money that a bank must hold in reserve, usually as a percentage of its deposits.
Reserve requirement: the percentage of deposits that a bank is required to hold in reserve, as set by the central bank.
Return on assets (ROA): a measure of a company’s profitability, calculated as net income divided by total assets
Return on equity (ROE): a measure of a company’s profitability, calculated as net income divided by shareholders’ equity
Return on investment (ROI): the amount of money made or lost on an investment, expressed as a percentage of the initial investment
Risk management: the practice of identifying, assessing, and prioritizing risks, and implementing strategies to mitigate or manage them
Risk management: the process of identifying, assessing, and mitigating potential risks to an organization’s capital and earnings
Risk management: the process of identifying, assessing, and prioritizing risks in order to mitigate or avoid their negative impact.
Risk management: the process of identifying, assessing, and prioritizing risks, and taking appropriate steps to mitigate or manage them
Risk: the likelihood of losing money on an investment
Risk: The possibility of loss or the likelihood of an event happening that will have a negative impact on an investment.
Risk-free rate: the rate of return of an investment that is considered to have no risk of default.
Savings account: an account that pays interest on deposited funds and usually has a low minimum balance requirement
Secondary market: the market where financial securities, such as stocks and bonds, are bought and sold after they have been initially offered to the public
Securities: financial instruments, such as stocks, bonds, and options, that can be bought and sold.
Securitization: the process of pooling assets, such as mortgages or credit card receivables, and issuing securities that are backed by those assets
Security: A financial instrument, such as a stock, bond, or option, that can be bought and sold on securities markets.
Service charge: a fee that a bank charges for certain services, such as maintaining an account or issuing a check.
Settlement date: the date on which a trade of a security is settled and the buyer must pay the seller and the seller must deliver the security
Short selling: the practice of selling a security that the seller does not own in the hope of purchasing it back at a lower price.
Short selling: the practice of selling securities that the seller does not own, in the hope of buying them back later at a lower price.
Sovereign risk: the risk that a government will default on its debt obligations or take other actions that negatively impact investors
Stock market: the market where stocks (or shares) of publicly traded companies are bought and sold.
Stock: A unit of ownership in a company, typically represented by shares that can be bought and sold on a stock exchange.
Stock: a unit of ownership in a company, which represents a claim on a portion of the company’s assets and earnings
Swap: a type of derivative contract in which two parties agree to exchange cash flows or underlying assets at specified intervals
Systematic risk: the risk that affects the overall market or an entire market segment and cannot be diversified away
Systematic risk: the risk that is inherent to the entire market or market segment, as opposed to the risk associated with a particular company or security.
Systemic risk: the risk that the failure of one institution will have a cascading effect on the broader financial system.
Systemically important financial institution (SIFI): a financial institution whose failure could threaten the stability of the financial system.
Tax-advantaged account: an account, such as an IRA or 401(k), that offers tax benefits for saving or investing.
Title insurance: insurance that protects the lender and/or the borrower against any loss arising from disputes over ownership of a property
Title: legal documentation that proves ownership of a property
Transaction: an exchange of goods, services, or financial instruments between two parties.
Treasury bill (T-bill): a short-term debt security issued by the U.S. Department of the Treasury, with a maturity of less than one year
Treasury bond: a debt security issued by the U.S. Department of the Treasury
Treasury bond: a type of government bond issued by the U.S. Treasury with a maturity of 10 years or more.
Treasury: a government department responsible for managing a country’s debt and finances
Underwriter: a financial institution or other organization that helps to bring securities to market by purchasing them from the issuing company and reselling them to investors.
Underwriting: the process of evaluating a loan or securities offering and assuming the risk of issuing and distributing it to investors
Unsecured loan: a loan that is not backed by collateral.
Variable interest rate: an interest rate that can change over time based on market conditions.
Variable rate: an interest rate that can fluctuate based on market conditions.
Venture capital: investment in startup companies with high growth potential in exchange for equity
Volatility: a measure of the amount by which an asset’s price fluctuates over time
Volatility: A measure of the fluctuation in the price of a security or
Volatility: a measure of the fluctuation in the price of a security or index over time.
Volatility: a statistical measure of the dispersion of returns for a given security or market index
Volume: the number of shares or contracts traded in a security or market during a given period.
Wealth management: the process of managing a client’s financial assets in order to achieve their financial goals.
Wealth management: the process of managing a client’s financial assets with the goal of helping them to grow and preserve their wealth over time.
Wire Transfer: Electronic funds transfer from one bank account to another, either within the same country or internationally.
Wire transfer: A method of electronic funds transfer from one bank account to another, typically used for large sums or international transactions.
Wire transfer: a method of electronic funds transfer from one bank account to another.
Withdrawal: the act of taking money out of an account
Working capital: a measure of a company’s liquidity, calculated as current assets minus current liabilities
Working capital: the difference between a company’s current assets and its current liabilities, used as a measure of its liquidity and short-term financial health.
Write-off: a reduction in the value of an asset, typically when it is deemed to be uncollectible or worthless.
Yield Curve: A graph showing the relationship between yields and maturities of bonds of the same credit quality.
Yield curve: A graph that shows the relationship between bond yields and maturities.
Yield curve: A graph that shows the relationship between interest rates and the maturity of bonds.
Yield curve: a graph that shows the relationship between the yields on bonds of different maturities, such as short-term and long-term bonds.
Yield: the amount of return an investor earns on an investment, usually expressed as a percentage of the investment’s cost.
Yield: The annual return on investment, typically expressed as a percentage.
Yield: The rate of return on an investment, typically expressed as an annual percentage rate.
Yield: The return on investment, typically expressed as a percentage of the initial investment.
Yield: the return on an investment, typically expressed as a percentage of the investment’s cost.
Yield: the return on an investment, usually expressed as a percentage of the investment’s cost.
Zero Balance Account (ZBA): A bank account in which the balance is always maintained at zero, with excess funds automatically transferred to a master account.
Zero coupon bond: a bond that does not pay periodic interest, instead it is sold at a deep discount from its face value and matures at face value.
Zero Coupon Bond: A bond that pays no periodic interest, but is sold at a deep discount from its face value.
Zero-coupon bond: A bond that does not make periodic interest payments, but is sold at a deep discount from its face value and matures at its face value.
Zero-coupon bond: A bond that pays no interest during its term and is sold at a deep discount to its face value, resulting in a profit for the holder when it matures and is redeemed at its face value.
Zero-coupon bond: a bond that pays no interest during the life of the bond, but is sold at a discount to face value.
Zero-sum game: A situation in which one person’s gain is equal to another person’s loss.
Zero-sum game: A situation in which one person’s gain is exactly balanced by another person’s loss.
Z-score: A statistical measure used to indicate how far a data point is from the mean of a set of data.
Z-score: A statistical measurement of a company’s financial health, used to determine the likelihood of bankruptcy.
Zweig Ratio: A market timing indicator based on the ratio of the moving average of stock prices to the moving average of earnings.