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Information is the key to trade, and the first step for you is to understand the jargon in the stock trading business. Here is a list of banking and trading terminologies to equip you as you muscle your way to online trading. You may go through the entire list, or click on a letter below to display the words with prefix of your chosen letter.

A B C D E F G H I J K L M N O P Q S T U V W X Y Z


Rate of Return
on Securities
The rate of return involving the computation of the present values of future cash flows the security is expected to pay, the basis frequently used when evaluating and selecting an investment
Rating Grade; classification; such as a credit rating denoting the ability and disposition of various businesses to meet their financial obligations, as illustrated her for long-term debt ratings:
S&P Moody's Fitch Description of Rating
AAA Aaa AAA Highest credit quality
AA Aa AA High credit quality
BBB Baa BBB Average but adequate
BB Ba BB Below investment grade but considered likely to meet obligations
B B B Below investment grade but obligations may not be met when due
CCC Caa CCC Well below investment grade
CC Ca CC  
C C C  
D DDD Defaulted debt obligations
    DD  
    D  
+ 1 + Additional symbols representing gradation
  2    
- 3 -  
Registration Statement The application for the registration of securities required to be filed with the SEC
Regular Dividend A dividend on stock established on a periodic basis
Regular Lot A standard unit of trade on a stock or commodity exchange; the full or board lot
Reinvestment Buying additional securities with the interest and dividends on present holdings, or new securities with the proceeds of sale or funds realized upon maturity of old ones
Return The yield on bond or stock as found by dividing the price into the annual dividend or interest payment
Return on Common Stockholder's Equity Net income divided by the average common stockholders' equity to measure the return on the investment by common stockholders
Reverse Repurchase
Agreement
A transaction involving the sale of securities along with an agreement to repurchase the securities at an agreed upon price, date, and interest payment
Reverse Stock Split Increases the par value per share with a corresponding reduction in the number of shares outstanding, with no change in common stock.

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