Financial Lexicon: T-Z

A-F  |  G-L  |  M-S


Thin Market:

  • situation whereby there are very few buy orders and very few sell orders in place, thus reducing liquidity.

  • may refer to market of an entire class of securities or commodities, or could deal with a particular stock.

  • prices are more volatile in such markets, since the few trades that are actually completed could be done at severe swings from one another.




Unlisted Security

  • a security (eg. stock or option) not listed on organized exchange (eg. New York Stock Exchange).

  • such security is traded over-the-counter (OTC).


Unrealized Profit (Gain) or Loss:

  • profit or loss on investment which has not been materialized or collected.

  • also known as paper gain or loss.

  • become realized once investment has been sold or cleared off the books.

U.S. Nonfarm Payrolls:

  • measure of the change from the previous month in the number of people employed in American goods, construction and manufacturing companies.

  • not included in the measure are jobs in the farming industry, private household employees or non-profit organization employees.

  • good indicator of job creation, which affects consumer spending and thus economic growth.


Value Investing:

  • investing strategy based on buying assets deemed to be trading at a price below calculated expectations and holding the investments until such time they reach the calculated expected value.

  • calculations are based on fundamental analysis.

  • value investors may be attracted by a low price/book value ratio, a high dividend yield or a low price/earnings ratio, to name a few possible criteria.


Venture Capital:

  • important source of funding for start-up companies or existing companies beginning new operations/initiatives.

  • higher risk investment (due to risk of failure of unproven venture) but may result in above average to significant future profits (if venture proves groundbreaking).

  • generally sourced from investment banks, investment pools, and/or wealthy individual investors.


  • tendency for change in price of an asset or security to be extreme and very quick.

  • as it rises, so does the risk associated with the investment.

  • reasons are various and include such factors as an uncertain outlook or lack of interest.




  • general: return on money invested.

  • bond yield: rate of return on amount of money invested in a bond, taking into consideration purchase price, annual interest payments, and maturity (redemption) value.

  • stock (dividend) yield: rate of return of dividend in relation to stock's market price.

A-F  |  G-L  |  M-S